Wealthy Americans like Bezos, Musk, Buffett have avoided income tax
Lawmakers like Senator Elizabeth Warren, Democrat of Massachusetts, have championed the idea of ââimposing a 2% tax on an individual’s net worth above $ 50 million – including the value of stocks, houses, boats and all that a person owns, having subtracted all debts. In an interview on Tuesday, Ms Warren called the tax disclosures “deeply shocking” and said it reinforced the fact that lawmakers should think of wealth rather than income when drafting tax policy.
“Raising the personal income tax rate by 2% or 10% will not make any difference for these multibillionaires,” said Ms Warren. âThe real action in America is about wealth, not income. “
While she praised some of Mr Biden’s proposals such as increasing taxes on capital gains and targeting “real” corporate profits, Ms Warren said she would like the White House be more ambitious.
âI want to see the Biden administration push harder on wealth taxes,â Ms. Warren said.
Mr. Biden and his advisers found the idea of ââa wealth tax impractical. Instead, the president wants an additional $ 80 billion over 10 years to strengthen the Internal Revenue Service so that it is better equipped to fight tax evasion. And he proposed doubling the capital gains tax – the proceeds from the sale of an asset like a stock or a boat – for people earning more than $ 1 million.
âWe know that there is more to be done to ensure that the companies, the people with the highest incomes, pay more of their fair share,â Ms. Psaki said.
At an event hosted by the New York Times DealBook in February, Treasury Secretary Janet L. Yellen said that a wealth tax is “something that poses very difficult problems of implementation.” She suggested that other tax changes that would increase taxes on wealth transferred on death could have a similar effect. In March, however, Ms Yellen hinted that she remained open to the idea of ââa wealth tax.
âWell, that’s something we haven’t decided yet,â Ms. Yellen told ABC News, before highlighting other tax ideas that would affect the wealthy as well.