In a revealing moment on CNBC’s Squawk Box, one of Kamala Harris’s economic advisors, Bharat Rama, faced a harsh reality check while attempting to defend a cornerstone of Harris’s $5 trillion tax plan.

The segment quickly turned from a sales pitch into an embarrassing debacle, exposing the glaring flaws in the plan’s logic and raising serious concerns about the potential consequences for American taxpayers, as reported by the Gateway Pundit.

Rama appeared on the show to champion the idea of taxing unrealized gains—a key element of Harris’s proposed tax overhaul. He tried to convince the hosts that such a tax was fair, would only affect a small number of wealthy individuals, and was comparable to property taxes. But the hosts, Becky Quick and Joe Kernan, were not buying it.

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As pointed out by the CATO Institute, Harris’s plan includes a new minimum tax of 25 percent on both traditional income and unrealized capital gains for those with over $100 million in wealth.

While this tax might seem like it’s targeting the ultra-rich, its implications are far-reaching and potentially devastating for the broader economy. The tax is not only impractical but also blatantly unconstitutional, a point Kernan didn’t hesitate to mockingly highlight.

Quick didn’t waste any time dismantling Rama’s argument. She bluntly stated, “Taxing unrealized gains just doesn’t seem fair in any sense of the word.” She compared the idea to pulling forward taxes that would only be paid when assets are actually sold, rather than taxing them based on fluctuating market values.

NEW: CNBC host Joe Kernen rolls his eyes and laughs after Harris’ economic advisor Bharat Rama tries arguing in favor of Harris’ unrealized capital gains tax.

Rama sat in silence as the hosts poked fun after he tried saying that property tax was an unrealized gains tax.

“It’s… pic.twitter.com/lK4jGL6phz

— Collin Rugg (@CollinRugg) August 28, 2024

Rama’s attempt to equate taxing unrealized gains with property taxes was quickly shot down. He stammered, “I, I, I think this reaction to taxing unrealized gains is a little funny given that I bet the majority of the people watching right now are already paying a tax on unrealized gains. It’s called a property tax.” But his comparison fell flat.

Kernan dismissed Rama’s analogy with a derisive, “Property tax. That’s an old trope.” Quick explained the stark differences, noting that property taxes are a use tax, funding essential services like schools and emergency services—services that benefit the taxpayer directly.

The idea of taxing unrealized gains, on the other hand, would burden individuals without providing them with any immediate benefit.

As Rama continued to flounder, attempting to justify the tax by claiming it would fund “more opportunity,” Quick and Kernan continued to hammer home the point that such a tax is neither feasible nor fair. Kernan even laughed at the notion that it would ever come to fruition, saying, “It’s probably unconstitutional… And it’s never going to happen… Not in my, well, not in my lifetime… Not in Becky’s lifetime!”

While it’s notable to see a Democratic advisor challenged on national television, the larger issue at hand is the potential impact on the future of America. If Harris and her team implement this plan, it could lead to significant financial consequences for all Americans.