That will just lead people to outsource their wealth by whatever means, so that it doesn’t formally count as their wealth anymore, but they effectively still control it.
Then I hope we can couple it with a well funded IRS.
In theory this would be difficult to do unlike the games that occur now because you don't merely need to suggest that you're not earning the income. You can't give it to a family member or it gets it with a hefty gift tax. You can't stuff it into a shell corp because you still own the shell corp. You could donate it to a charity which you control which is a thing that happens now.
You don’t think that before the Constitutional Amendment to allow taxation of wealth is ratified that there will be 1000s of CPAs and attorneys looking for loopholes?
GRATs and IDGTs will look like quaint children’s toys compared to the schemes invented to receive the benefit without formally having $10^9 of net worth.
> You don’t think that before the Constitutional Amendment to allow taxation of wealth is ratified that there will be 1000s of CPAs and attorneys looking for loopholes?
Sure
> GRATs and IDGTs will look like quaint children’s toys compared to the schemes invented to receive the benefit without formally having $10^9 of net worth.
