Summary: Noah Smith argues that taxing unrealized gains is a complicated and unnecessary idea for addressing wealth inequality. He suggests that raising traditional income or capital gains taxes is a more effective approach, as these methods have proven successful in the past. Smith believes that new tax proposals could confuse voters and alienate wealthy donors, diverting attention from simpler solutions.
Taxing the rich is very popular, but I doubt most American voters understand the difference between the unrealized gains tax proposal and any of the more normal, tried-and-true tax hikes that Bill Clinton did back in the 90s. (View Highlight)