WASHINGTON – Yesterday, Congressman Byron Donalds (R-FL) introduced legislation that bars the federal government from imposing or implementing taxation on unrealized capital gains from any taxable asset.

“Democrats have become so desperate to find the means to fund their multi-trillion-dollar spending spree, they’ve now resorted to taxing wealth that technically doesn’t exist,” said Rep. Donalds. “An unrealized capital gains tax will empower the federal government to access the private transactions of Americans, needlessly expand bureaucracy in Washington, and will stifle economic prosperity for Americans.”

“Congressional Democrats will stop at nothing to fund their socialist agenda. The idea of taxing unrealized gains makes zero sense. How can you tax something that is admittedly… unrealized? Their boondoggle of a bill is filled with gimmicky pay-for after gimmicky pay-for and this is no exception,” said Rep. Timmons. “I thank my friend Rep. Donalds for introducing this bill and am proud to join him in this effort.”

“With inflation at a 30-year high, now is the worst time to raise taxes on American families and businesses,” said Rep. Rose. “The proposed capital gains tax would lead to fewer jobs and lower wages. Rather than pushing tax increases, the Biden administration should be introducing policies that promote economic growth so that our economy can continue to grow. Businesses are flocking to Tennessee because of our pro-business and pro-family tax code. Take note, Mr. President.”

“Democrats are pitching several dangerous ideas to pay for their multi-trillion-dollar spending package, all of which will hurt our economy and pass increased costs onto consumers,” said Rep. Fitzgerald. “I’m joining Rep. Donalds on this bill to ensure a tax on unrealized capital gains does not take effect. Studies have found implementing a capital gains tax would shrink our economy, and this is an outcome our country simply cannot afford on top of skyrocketing inflation.” 

“Under the guise of making sure the rich pay their fair share, President Biden and House Democrats are pushing tax policies that take more money out of the pockets of the Middle Class and Main Street businesses,” said Congressman Webster. “Taxpayer dollars do not belong to Washington. They belong to hardworking Americans, who best know how to spend their hard-earned dollars. This bill allows small business owners to keep more of the fruits of their labor to re-invest in their business and in their employees, which empowers Americans with more money to buy a home, save for their children’s education, and invest for retirement.”

“I'm proud to support Congressman Donald’s commonsense measure in response to Washington bureaucrats' absurd push to tax unrealized capital gains at the expense of policies that promote economic growth, domestic investment, and American innovation,” said Rep. Owens.

Read this legislation in its entirety here.

House Original Co-Sponsors: Reps. Budd (NC-13), Cammack (FL-03), Fitzgerald (WI-05), Harshbarger (TN-01), Higgins (LA-03), Jackson (TX-13), Owens (UT-04), Rose (TN-06), Timmons (SC-04), Webster (FL-11)

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