According to CryptoPotato, rumors are circulating online that Kamala Harris may introduce an unrealized capital gains tax if elected President, potentially affecting crypto investors' profits. However, key details indicate that the tax would not impact the majority of investors.
Kamala Harris's campaign has pledged to support tax increases on high earners and corporations, as outlined in President Joe Biden’s 2025 budget proposal. This proposal includes a minimum tax of 25% on total income, generally inclusive of unrealized capital gains. The Democratic Party’s 2024 platform also supports a 25% income tax rate on billionaires and ending preferential treatment for capital gains for millionaires. Notably, the unrealized gains tax would only apply to Americans with total income or wealth exceeding $100 million.
Despite these specifics, some crypto influencers have expressed concern. Adam Cochran of Cinneamhain Ventures clarified that Harris did not endorse an unrealized gains tax and that such a tax would not impact most people. However, others argue that any form of unrealized gains tax could harm the economy. YouTuber Farzad Mesbahi warned that stringent tax laws could lead to mass sell-offs in the stock market, negatively affecting smaller investors. Casa co-founder Jameson Lopp also criticized the notion that such taxes would only impact the ultra-wealthy, drawing parallels to the introduction of the income tax in 1913, which initially affected only the highest earners.
