Welcome to Extreme Investor Network, where we bring you the latest updates and insights on economic trends and developments that impact your investing decisions. Today, we delve into the recent Supreme Court ruling on federal taxes and the implications it has for the future of America’s economy.
In a 7-2 decision on June 20, 2024, the US Supreme Court upheld federal taxes on foreign income, paving the way for a one-time tax on shares of undistributed profits that is expected to bring in $340 billion for the Fed. This ruling, known as Moore v. United States, has sparked controversy as it raises concerns about the government’s authority to tax unrealized gains.
While Justices Gorsuch and Thomas argued against the constitutionality of taxing unrealized income, Justice Ketanji Brown Jackson, appointed by President Biden, voiced her support for capital gains taxation. Jackson’s views on wealth in America and her advocacy for taxing unrealized income have raised eyebrows, with some critics labeling her stance as “racist” and far-left.
On the other end of the spectrum, Justice Clarence Thomas remains steadfast in upholding the Constitution’s original intentions, advocating for equal treatment under the law without regard to race. Thomas’s unwavering stance on affirmative action and racial politics serves as a counterbalance to the shifting dynamics within the Supreme Court.
President Biden’s proposal for a 25% tax on income and unrealized gains for the wealthiest Americans signals a potential shift towards a third income tax. This proposal, if enacted, could set a precedent for taxing estates with unrealized capital gains, further eroding generational wealth and impacting the average American’s financial well-being.
As we navigate through these unprecedented economic challenges, it is crucial to stay informed and vigilant about the policies and decisions that could shape our financial future. At Extreme Investor Network, we strive to provide you with unique insights and analysis to help you make informed investment choices. Stay tuned for more updates on the ever-evolving economic landscape.