Okay but if you take out a loan then you need to repay the loan with income which is taxed, so…
Part of the problem is there are shell games around the repayment. I thought this could be handled by any use of the stock as collateral should count as a ‘sale’ for tax purposes, and any taxes on those proceeds that would be “double taxed” as folks are so afraid of can be offset by tax credits if the loan is ‘properly’ repaid in a normal way. So if you loan but repay normally, ok, you gave the government a ‘0% loan’, but you are still “fairly” taxed other than that, and the 0% loan is a small price to pay for access to your wealth.
Part of the problem is there are shell games around the repayment. I thought this could be handled by any use of the stock as collateral should count as a ‘sale’ for tax purposes, and any taxes on those proceeds that would be “double taxed” as folks are so afraid of can be offset by tax credits if the loan is ‘properly’ repaid in a normal way. So if you loan but repay normally, ok, you gave the government a ‘0% loan’, but you are still “fairly” taxed other than that, and the 0% loan is a small price to pay for access to your wealth.