• Knock_Knock_Lemmy_In@lemmy.world
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    2 days ago

    not all stock given as compensation are publicly traded yet. There may be no average price yet when they vest.

    This doesn’t stop real estate being valued for tax purposes. Use the same approach - proxy valuations.

    taking 40% of the shares

    Yeah, that would just be nationalisation. After 5 years the government would own 90% of all businesses.

    • DreamlandLividity@lemmy.world
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      2 days ago

      This doesn’t stop real estate being valued for tax purposes. Use the same approach - proxy valuations.

      There is pretty reasonable way to value real estate. Hard to do objective valuation of a company whose value is mostly hype anyway. Also, real estate value estimations are riddled with corruption in most places.

      Yeah, that would just be nationalisation. After 5 years the government would own 90% of all businesses.

      Re-read the comments up the thread, I asked about the same thing. It is not ment to be yearly.

      • Knock_Knock_Lemmy_In@lemmy.world
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        2 days ago

        Tax should be yearly. But based on the change in capital gains, not the absolute amount. Then losses can also be considered (and offset).

        Any sale or transfer of equity creates a valuation (even paying equity as salary). Just have to watch for loopholes. E.g. Make it volume weighted so that the CEO doesn’t sell 1 share to his wife for $0.01.

        Taxing unrealized capital gains is not difficult. There just needs to be a politician with enough balls to implement it.