Adam Bonica writes:

The billionaire revolt against Harris’s endorsement of a proposed 25% minimum tax on unrealized gains for fortunes exceeding $100 million perfectly illustrates how this single issue overrides all other political considerations for the ultra-wealthy. Marc Andreessen warned the proposal would “kill startups and venture capital” and even “kill the California tax base,” calling it “insane” and something that would “single-handedly crush the economy.” Elon Musk similarly railed against it, tweeting, “Eventually, they run out of other people’s money and then they come for you.”

Even billionaires who supported Harris opposed this tax. Mark Cuban, while campaigning for Harris in Arizona, broke ranks on this issue: “When I saw that, I went ballistic because that’s an economy killer,” Cuban told a town hall audience, adding dramatically that if Harris implemented such a tax, “I’ll work so she doesn’t get elected again.”

This visceral reaction wasn’t about economic principles or market efficiency—it was naked self-interest. Billionaires have built elaborate financial structures that allow them to accumulate vast wealth while paying virtually no taxes. They borrow against their assets, deduct the interest payments, and live lavishly without ever realizing taxable income. Upon death, a special provision called the stepped-up basis wipes out all the taxes they would have owed, letting their heirs inherit wealth nearly tax-free, perpetuating dynastic fortunes.

The prospect of paying taxes on paper gains—something ordinary Americans do annually with their homes through property taxes—is where the bipartisan camaraderie among billionaires crystallizes. Their message is identical: don’t touch our unrealized gains, or else.​​​​​​​​​​​​​​​​ [Continue reading…]