Capital Gains may be targeted by the Trump Administration’s Treasury Secretary Steven Mnuchin. Mnuchin is extremely aware of the unique tax treatment afforded to Capital Gains and how American tax law provides extremely preferential treatment of Capital Gains. Capital Gains do not benefit individuals or small businesses. Even real estate developers or real estate speculators have their income generally treated as “earned or active income,” not Capital Gains. Thus, a reduction in Capital Gains does not benefit the majority of Americans, individuals, small businesses as well as many Fortune 500 companies.

Source: Forbes August 20, 2018 19:30 UTC