Capital Gains Tax is already in place in many countries. Is it the best idea? Here are three reasons why I think its not such a good idea.

• Do we really want to make the government dependent on asset prices to increase, to get their tax take? How much support will we have for future policies which mean stable asset prices? And hence less tax.

• Money was designed to be used to help facilitate moving your wealth from one asset to another. Should you be punished for the value of money decreasing?

• Is relying on increasing asset prices for your tax take reliable? If not, can we see any material lowering off other taxes? Say the income tax.