Longer Term Capitol Gain

We need to stop the forces that make a CEO care more about the quarterly financial statements than about the long term growth and health of his/her company.

I think we can do that quickly and easily by using the capital gains tax break to encourage holding stock for a long time.

We keep the current long term capitol gains tax.

We institute a longer and longest term capitol gain.  

Longer term capitol gain is an investment that is held for at least five years. Longest term capital gain is an investment that is held for at least ten years.  At five years, your taxes will be 50% of the tax for long term capitol gains. At ten years, your taxes will be nothing. The tax savings between 5 and 10 years should change at a daily rate which decreases on a linear scale to be no tax in 10 years.

This will work to change perceptions about long term growth. People do really crazy things to save taxes. We can encourage people to do wise things by allowing them to save taxes by doing something wise.