Old Uncle Joe is currently slated to reveal a new tax this coming Monday as a part of his new budget plan for 2023 that seems to target the wealthiest people in America.
“The ‘Billionaire Minimum Income Tax’ plan under President Biden would establish a 20 percent minimum tax rate on all American households worth more than $100 million,” stated The Washington Post in a report. “The White House plan would mandate billionaires to pay a tax rate of at least 20 percent on their full income, or the combination of traditional forms of wage income and whatever they may have made in unrealized gains, such as higher stock prices.”
The new report stated that billionaires would need to pay the difference between what they are currently paying now and the 20% rate, assuming that they are issuing payments under the specified 20% bracket. If they are currently paying more than 20%, then they would not owe any additional monies as part of this new proposal.
“The Billionaire Minimum Income Tax will ensure that the very wealthiest Americans pay a tax rate of at least 20 percent on their full income,” read a document from the White House. “This minimum tax would make sure that the wealthiest Americans no longer pay a tax rate lower than teachers and firefighters.”
The report stated that this new proposal makes the claim that it would generate more than $350 billion over the course of the next 10 years if it manages to pass.
As reported by The New York Times:
Senator Elizabeth Warren, Democrat of Massachusetts, and Senator Ron Wyden, Democrat of Oregon and the chairman of the Finance Committee, released separate proposals last year that would tax the wealthiest, albeit in different ways. Ms. Warren had championed the idea of a wealth tax in her unsuccessful presidential campaign. …
Moderate Democrats, including Senator Kyrsten Sinema of Arizona, have balked at raising the corporate tax rate or lifting the top marginal income tax rate to 39.6 percent from 37 percent, leaving the party with few options to raise revenue. Still, Senator Joe Manchin III, Democrat of West Virginia, slammed the idea of taxing billionaires after Mr. Wyden’s proposal to do so was released, although Mr. Manchin has since suggested he could support some type of billionaires’ tax.
Top Biden administration officials have expressed skepticism about wealth taxes in the past. Treasury Secretary Janet L. Yellen said last year that a wealth tax was “something that has very difficult implementation problems.” And Natasha Sarin, the Treasury Department’s counselor for tax policy and implementation, was a co-author of an opinion essay published by The Washington Post in 2019 that argued that a wealth tax would present “a revenue estimation puzzle.”