Tax and Fiscal Policy

Capital Gains Tax a “double tax”

Philip Booth quoted in The Telegraph

IEA Senior Academic Fellow Prof. Philip Booth was quoted in The Telegraph commenting on Joe Biden’s plan to double Capital Gains Tax (CGT) in the US.

Philip urged Chancellor Rishi Sunak not to follow in Biden’s steps, arguing that profit made on investments are unfairly taxed twice by CGT, disinsentivising growth: “Those profits get taxed, you accumulate them within the business, and then as a result of accumulating them the share price goes up, and when you sell the share it gets taxed again.

Read Philip’s full comment here.