Crypto Shouldn’t Be Exempt From Capital Gains Taxes: Tyler Cowen

I am (mostly) bullish on crypto and (usually) skeptical of higher taxes, especially on capital gains. So why do I think it would be wrong to make crypto assets exempt from capital gains taxes, as President-elect Donald Trump’s administration is reportedly considering?

The most obvious argument against the proposal is simply that uniform taxation is better than selective tax exemptions. If a lower capital gains tax rate is preferable, then the goal should be to make a smaller cut that applies to all assets. Exempting a single kind of asset is likely to lead to abuses. You might think ...