Vice President and Presidential candidate Kamala Harris

Listening to Kamala Harris, I remember at one point during one of her “word salad” explanations that one “New Tax Plan” she wanted to put in place is to start taxing and collecting taxes on “Unrealized Capital Gains”.   I am sure that if she had been asked to explain just how she would do this that we would have gotten a five minute “remembrance” of how she grew up in a middle class family, how hard her mother worked and how much she loved math, how she was the tallest kid in the third grade and all that she learned about adding and subtracting and how she loved her third grade teacher.

Like most “Progressives” (aka – Socialists) she believes that the government knows better how to spend the money you work so hard for than you do.  You are incompetent, you need people like her to take care of you.  Kamala also believes that if you have lived and worked here all of your life, paid taxes and been a good citizen, you should pay for your health insurance. (Even Medicare recipients pay a premium.)  But, if you are here illegally you should receive “free” healthcare.

I am also sure she has no clue as to how a “Unrealized Capital Gains Tax” plan works or the impact it would have on the economy. An explanation from an economist along with the implications of such a plan would sound like “word salad” to her.

Under current Tax Law, Capital Gains are taxed when you sell an asset and they become “realized gains” (money in hand).  Under her “vision” it would be taxed as it is earned but “unrealized” (not cashed out – “paper profits no money in hand”).

Here is a real simple example of how Kamala’s  plan could affect the average “Joe Sixpack” tax payer.  Joe buys a house for $100,000 dollars.  Two years later “Zillow”, “Google” or some other agency that tracks home values reports that Joe’s home is now worth $150,000.  Joe has a $50,000 “Unrealized Capital Gain” (profit on paper).  Under Kamala’s plan the IRS would send Joe a “Capital Gains” tax bill for taxes on his $50,000 “gain”.  And as the home continues to gain in value, our Joe would continue to get supplemental “Capital Gains” bills for taxes due.  Not to worry though, if Joe can’t pay the additional income taxes being levied, the IRS will just place a lien (plus interest) on the property until it is sold.  The IRS is so helpful that way.  

As an added bonus you can expect your State, County, even Local Government Tax Authorities to figure ways to get their share of this Tax Bonanza.  I live in California and can envision our Governor Newsom already getting “hot flashes” at the prospect of getting his hands on your “Unrealized Capital Gains” long before you do.

What if our Joe’s home value actually goes down in value.  Under some circumstance the IRS “might” let you write off some of the loss (good luck).  

This same scenario applies to other investments and assets as well.  Your 401K account, Stock Portfolios, Land, “Investment Grade” most anything.  Putting your money away in gold or silver into an account the government can monitor?  

Below is the Google / Dictionary Definition of “Unrealized Capital Gains”

“Unrealized capital gain refers to the increase in value of an investment or an asset that an investor holds but has not yet sold. These gains are “unrealized” because they exist only on paper; they only become “realized” once the asset is sold.”

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Today,  the government taxes you on everything you earn and they tax you on what’s left of what you worked for when you spend it. They tax everything at every level.  And they tax you when you die.  Oh, and Kamala also mentioned she would like to increase estate taxes which would include family farms etc. etc. etc. 

Do you really want to have the government tax “Unrealized Capital Gains” as outlined above and as viewed by the wolves at the IRS?

Bob Bandy – September 2024

Kia Niro Plug-in Hybrid

Our daughter leased a new Kia Niro Plug-in Hybrid some 3+ years ago.  She loved the car.  It was dependable and she only had to put gas in it maybe every 3-5 weeks. She liked it so much that at the end of the lease she seriously considered just purchasing it.

I went with her to the dealership and we were very fortunate in getting a candid and honest representative to handle my daughters business.  When our daughter told the lady that she was interested in now purchasing the vehicle,  the representative told her she could certainly do that but offered her some options worth considering.  First, if she purchased the vehicle on a four year payment plan, at the end of her payments she would have a 7-8 year old Hybrid E.V. and “older” models with 70,000 to 80,000 miles on them are “almost” worthless as the battery packs have a definite lifespan and can cost $20.000 to $30,000 to replace.  This discourages potential buyers for good cause.  If she went ahead and purchased it, the vehicle would have very little value as a trade in at the end of her payment period.  We sincerely appreciated her honesty.  On the other hand she could lease another new one on a three or four year contract with a very attractive lease payment and full warranty for the full lease period.  Our daughter did just that and since she loves the vehicle,  I think she made a wise choice. 

It is important when purchasing a Hybrid or Electric Vehicle to know what the manufactures warranty is on the Battery “Pack”.  For example Kia’s warranty is 10 years or 100,000 miles, whichever comes first.  Tesla has an 8 year or 100,000 to 150,000 mile (depending on model) warranty on the battery.  Other manufactures may vary.  Knowing this will tell you why a high mileage Hybrid or Electric vehicle may have very little or no resale value.  Wanna buy a Kia Hybrid with 99,000 miles on it? Or a 7 year and 10 month old Tesla?  Keep in mind a battery change out is $20.000 to $30,000. 

My daughters Sales Representative’s candor got me to thinking.

We own a 2007 Kia Sorento just like the one pictured above.  It is 17 years old and just last month turned 100,000 miles.  While I was getting it serviced, I mentioned to the Service Manager that it had just turned over the 100,000 mile marker and has been maybe the best car I have ever owned, still drives like the first day we got it and would like nothing more than to keep it.  He told me that it is not unusual for this vehicle to go 200,000 miles or more, has seen them over 250,000 miles, if they are serviced regularly.  The “good news” is that if you had to replace the engine in it at some point it could be done for about $6,000 and then you would be set for another 100,000 miles plus.  

I remember ads for used Toyota’s, Honda’s, others with 125,000 miles on them and still bringing $22,000 or more.  Had an acquaintance of mine once posted on Facebook that their Hyundai Santa Fe had 325,000 miles on it and was still reliable.

From an investment standpoint putting $40,000 to $60,000 into a car that will be just so much scrap metal in 8-10 years is perhaps something to think through.  Also, in many/most areas of the country the now defunct batteries must be handled as “Hazardous Waste”.

 Another consideration is, (here in California), the sales tax alone on a new $40,000 car is over $3,000 and on a $60,000 car is about $5,000.  Ouch!  Somebody please tell me why I would want to make a gift to California of $5,000 in sales tax plus 5 years or more of several hundred dollars a month in payments on a vehicle which will be “scrap” and “hazmat” at the end of the contract.

As an added note I saw on television the other day that the per mile cost between gasoline and recharging your electric vehicle is now just about even.  Also, some states, like California, are considering imposing a per mile tax on electric vehicles because of the “lost” gasoline tax revenue they have grown to depend on.  

No intended judgement here.  Everybody has to do as they think best.  Just some information to think about as you consider your next vehicle purchase.

Bob Bandy  –  September 2024

Presidential “wannabe” Kamala Harris  has a plan to raise tax revenues “without raising taxes on the middle class”.  She wants to raise “Corporate Taxes” from 21% to 28%.  Seems those “Greedy Corporations” are not paying their “Fair Share”! 

Have you ever been so frustrated you want to just scream out loud because folks just don’t seem to “get” something that is such an obvious truth?  

For many years many experts and writers like myself have “preached” the word that Corporations don’t pay taxes, their customers do.  Corporations don’t have money tree orchards out behind their factories.  Their only source of revenue is the products or services they sell to their customers.  If you raise taxes on the corporation that makes toothpaste,  that corporation has to raise the price on the toothpaste they make.  Their only other source of additional revenue would be to cut costs/payroll.  The additional “tax revenue” is actually paid by the working class and poor when they buy the product.  It’s called inflation. 

This is not rocket science. Politicians don’t want to tell the working class and poor they are going to raise their taxes so they “scapegoat” the corporations into collecting the additional tax for them indirectly.  

If you want to look for a “Greedy Villain” let me suggest government who wastes a large percentage of the tax money they collect through miss-management, graft and corruption.   California for example “lost” 24 Billion Dollars in funds for Homeless projects in the last fiscal year – the money just “vanished” and nobody seems to know what pockets it ended up in.

I wrote a satirical article some 5+ years ago that demonstrates in a truthful way that government at all levels does little to nothing to produce a useful product but still wants to tax it at all levels.  The article is reprinted below:

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THE LITTLE RED HEN OIL COMPANY

Original Story by Paul Galdone

Little Red Hen version by Bob Bandy

ONCE UPON A TIME there was a little red hen who wanted to start her own oil company.

Who will help me find the oil she asked? Not us said the Federal Government!  Not us said the State Government!  Okay, said the Little Red Hen.  I will find it myself, and she did.

Who will help me get the oil out of the ground she asked? Not us said the Federal Government!  Not us said the State Government!  Okay, said the Little Red Hen.  So she did it herself.

Who will help me get the oil to the refinery? Not us said the Federal Government!  Not us said the State Government!  Okay, said the Little Red Hen.  I will transport it myself, and she did.

Who will help me refine the oil into gasoline she asked? Not us said the Federal Government!  Not us said the State Government!  Okay, said the Little Red Hen, I’ll do it by myself.  And she did.

Who will help me transport the gasoline to the Service Station she asked?  Not us said the Federal Government!  Not us said the State Government!  Okay, said the Little Red Hen, I will haul it there myself.

Finally the Little Red Hen’s gasoline is sold.

Who would like to share in the profits she asked?  

We would said the Federal Government and we demand 18.4 cents per gallon.

We would said California State Government and we demand 58.3 cents per gallon.

Looking in her pocketbook the Little Red Hen found that she only made a net profit of 7 cents per gallon.  (source Forbes & Factcheck)

Later, Federal Government and California State Government notified the Little Red Hen that since she was so greedy they were going to tax her income for the excessive profits she had made.  

7 cents a gallon profit.  Those darn oil companies sure are greedy aren’t they!

You can’t make this stuff up.

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Editors note:  all these numbers were well researched and accurate when I wrote the original article in February 2019.

Bob Bandy – August 2024

Heard on Fox News yesterday that the Biden – Harris Administration has granted citizenship to 3,000,000 “immigrants”.  That would be some 30% of the 10,000,000 who have crossed the border illegally in the last 3 1/2+ years.  Just guessing but since these folks were “invited” in and given all kinds of “freebies” once they arrived it would seem logical whom these new “citizens” are likely to vote for and vote they will, read on.

Strange, but in my memory there used to be a rather lengthy and involved process for a legal immigrant to become a citizen.  Background checks, proof of employment, a Constitution and American History Test, references, etc. etc. – you know – red tape.  The process could take years.  Guess the Administration has found a way to “fast track” the process.

What the heck, it is not hard to get into voting with or without proof of citizenship.  In point of fact, in many states and locales,  government workers are not allowed to even question you about your status.  I live in California (born here), now a “Sanctuary” State and the last time I had to renew my drivers license the form had boxes to check for citizen, non-citizen or “decline to state” and offered “automatic” voter registration.  Some states, like Minnesota, have an “opt-out” box on their registration form.  The form clearly states “Do nothing and you will be registered to vote” – you have to tell them if you do not want to register.

Once on these voter rolls it is “easy pickins” for political workers to get names and addresses of “Registered Voters” and then get paper “mail-in” ballots to vote for you….  they are doing you a favor so you don’t need to vote…. isn’t that kind of them.  It is virtually impossible for “Poll Workers” to verify signatures and validity on these ballots.  Some places they call this simply “Ballot Harvesting”.  I have for years made the joke that my mother was a lifelong Democrat until her later years when she became a Republican.  Now that she is “gone” I am sure she is voting Democrat again,  no doubt in many different voting locations.  I remember the last Presidential voting cycle where there was at least one major city  where more votes were cast than there were registered voters, and that was before you subtract the “graveyard” voters.

But, there is more good news.  Election time and mail in ballots present opportunities for entrepreneurs.  Homeless encampments are fields “ripe for the harvest” for individuals looking to make a “quick buck”.  All that is needed is a bundle of Voter Registration Forms, a little “seed money” and paper Mail In Ballots.  The loyal campaign worker only has to share a little beer or “weed” cash, a helping hand in filling out the paperwork and a quick trip to the nearest “Progressive” campaign headquarters to be financially rewarded for helping to “get out the vote”.  Those completed forms and ballots are like gold.  Win-Win! 

Who needs those “Wascally Wepublicans” and their silly ideas about voting in person and showing ID.  How old fashioned and out of date! Hey, you don’t need an ID to cross the border, why should you need an ID to vote?  I mean, it’s not something important like attending a Concert where ID is required.  It’s just voting.

It is just possible by the next election we can just let Google do the whole thing with Artificial Intelligence they have programmed and no need for the voting public at all.  All those previously voting citizens can just sit at home and watch commercials and “managed” news reports.  Just cogs in the wheels of the controlled proletariat masses.

Bob Bandy – August 2024

Editors Note from Bob:  I am sharing this article in its entirety because it is an open window on what is also happening in America in many of our major cities and metropolitan areas.  What the author, Christopher Rufo, has to say  is factual and of critical observation and importance.  Is it too late to save our unique American Culture?  A valid question.

This article is not about racism which is always wrong.  It is about history, culture and maintaining a healthy and safe environment for all citizens.

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The Hollow Kingdom

A dispatch from London on the brink of chaos

BY

CHRISTOPHER F. RUFO

August 7, 2024

I have spent the past week in London. The city’s transformation, which I had followed only abstractly in the newspapers, has prompted a visceral shock.

“I haven’t been to London since I was a student,” I told a group of British journalists. “What the hell happened?”

“The fact that you would ask such a question,” one responded, “is an act of racism.” The others laughed.

The unstated premise of the joke was that everyone knows what the hell happened—mass immigration—but no one is allowed to speak about it. The statistics reveal the general trend. Since my last visit nearly two decades ago, the white British population of London has declined from 60 percent to 37 percent. Meantime, the Muslim population of London has nearly doubled, and migrants from South Asia and Africa have entrenched themselves throughout the city.

Anglos have been a minority for more than a decade. What I’ve observed in the city this week has amazed me. Women’s eyes peering through the slit of black niqabs. A procession of sub-Saharan Africans traversing Westminster Bridge, waving the flags of their homelands and demanding reparations. Street corners that could be confused for Peshawar or Islamabad. Districts in which one could pass an entire day with barely a glimpse of an Englishman.

These are facts. There is nothing inherently racist or antiracist about them. The question is one of perspective. England’s progressives would have one believe that these snapshots represent the triumph of diversity. But this position appears increasingly untenable.

For good reason. England, unlike the United States, does not have a long history of assimilating others. And many of the country’s migrants—in particular, the large Muslim population—are among the most difficult populations to integrate.

From a critical perspective, the history of mass migration in Britain is a history of civil tension, punctuated by violence: riots, terrorism, murder, rape. Events of this week have brought this suppressed conflict to the surface once again.

The day after my conversation with the British journalists, England broke out in another round of riots. A first-generation Rwandan teenager had stabbed three young girls to death, prompting British nationalists and Muslim counter-protesters into the streets. The resulting clashes led to significant property damage and nearly 400 arrests. The country’s left-wing prime minister, Keir Starmer, has signaled his support for suppressing the nationalists.

A question lies buried under these events: What makes a nation? And what is the relationship between its content and its form?

It’s easy to understand why migrants from Somalia or Pakistan would select England as their destination. The political, economic, and cultural form of their home countries is a disaster. In England, by contrast, these migrants are able to secure an income, often including public benefits, and enjoy the fruits of a developed, modern, peaceful country.

The predominant theory among Western elites is that the content of mass migration—the particular people, and the culture they bring—is irrelevant. All groups are equal. Individuals are interchangeable. To think otherwise is to engage in bigotry.

This logic has a whiff of liberalism, but only in the most reductive, naïve sense. The truth is that, even if we believe in the principle that all men are created equal, this does not mean that all cultures are equal or interchangeable—far from it. The structure of a civilization is a delicate thing. Changing its citizens will, over time, change its form.

This process is underway in London. The buildings, avenues, and palaces look the same as before; there is still a parliament, a king, and the pound. But the central city feels hollowed out. The old connection between citizen and nation has been altered. The old bonds of culture have been frayed.

The situation in London recalls the Ship of Theseus, a thought experiment that asks whether, if every part of a ship is replaced, it is the same ship in the end. The answer, in our case, is a confident “no.” England without the Englishman would no longer be England. The form—parliamentary democracy, economic growth, liberal culture—might hold for a time, but eventually, it would give way, too.

To engage in violence is not the answer. But neither is the answer to pretend that this conflict, or this re-composition, does not exist. Sooner or later, Britain will have to answer some hard questions. Reality has a way of breaking through.

Like many other Americans I am waiting with “Bated Breath” for the Justice Department under Attorney General Merrick Garland to spring into action against the “Insurrection” we witnessed in Washington D.C. in the last couple of days by “Demonstrators” who at one point invaded Congress,  burned American Flags and damaged/desecrated National Monuments and public buildings. 

This morning I saw on the news that less than a dozen were briefly arrested and later released on minor infractions.   Huh!

During the famous January 6th incident unarmed but rowdy demonstrators who did similar things were arrested, charged with “Insurrection”, put into “Dungeons Deep” on Rikers Island and left to “rot” for months, many in solitary confinement, then subjected to “Kangaroo” Court proceedings and given long prison terms.  Many of these unarmed demonstrators burned no Flags and damaged no national monuments but are still in prison to this date.  Despite discredited claims in the public media the only life lost was an unarmed protester who was shot by a Capitol Police Officer.  The Police Officer who was falsely reported as killed in the “Riots” died later of something unrelated to the January 6 Demonstrations.

At this point I can only conclude that it is okay to burn the American Flag and damage monuments and public property if you do it under a Pro-Hamas flag.  That won’t even raise an eyebrow over at the U.S. Department of Justice under the command of Merrick Garland.  If you want to get his attention and get locked away for years, separated from your family and all you hold dear, you need to do a noisy demonstration while unarmed and wearing one of those forbidden “MAGA” hats.

What ever happened to the concept of Equal Application of the Law?  Is that just another of those “outmoded” and out of date old “Fogey” readings of the Constitution?  

Sad and angry.

Bob Bandy  July 2024