Mark Cuban Warns Kamala Harris' Unrealized Gains Tax Will Kill Stock Market

Mark Cuban Weighs in on Taxing Unrealized Gains

Billionaire Mark Cuban, a Shark Tank investor, has warned that taxing unrealized gains would “kill the stock market,” though he expressed confidence that Vice President Kamala Harris would not pursue the policy. During a Thursday interview with CNBC, Cuban emphasized that while Harris supports parts of President Joe Biden’s tax plan, “it’s not necessarily her ending point,” adding that the proposal is more of a “starting point” for the campaign.

Cuban voiced concerns that such a tax would force companies to avoid going public, leading to negative economic consequences. He explained:

What I told them is if you tax unrealized gains, you’re going to kill the stock market, and it’s going to be the ultimate employment plan for private equity because companies are not going to go public.

He also noted that early-stage companies often face cash flow issues. “I would have had to borrow money and I effectively would have been in hock just to pay my tax bill,” he said, recalling his experience from the early internet days.

Harris’ campaign has reportedly supported a 25% tax on unrealized capital gains for individuals with more than $100 million in wealth. When asked why Harris hasn’t publicly clarified her position, Cuban argued that the issue isn’t a top priority, stating:

The number of people this truly impacts is less than 1% of the voting population, and so this is not number one priority for her. It’s not — in terms of speaking about it and getting the word out.

Do you agree with Mark Cuban’s position about taxing unrealized gains? Let us know in the comments section below.