We need a wealth tax. 2% minimum tax on net wealth $100 million and above. If they pay income tax equal to the 2% minimum wealth tax then they don’t pay the wealth tax.
They can pay the wealth tax either by selling stock or transferring stock to a new sovereign fund. But they have to pay the tax, no exceptions.
Right now everything’s against you if you live off your wages. And everything’s great if you live off your investments. We’re taxing people’s labor too much, and wealth too little.
I’m just curious, why only 2%? I diligently pay just about 30% combined, maybe a bit less.
2% is a great start, but unless there’s a good reason, I think it would make more sense to demand closer to 25% or more.
A reasonable argument that I can see is 2% is better than nothing. I’d like to demand equity up front and then negotiate from there.
Why 2%? A couple reasons, let’s start with the more mathematical one:
2% is the rate that would effectively address the regressive features of the current tax system. On average, billionaires earn a 6% return on their wealth each year. A 2% tax on their wealth would be similar to a tax of 33% (two divided by six) on their income, typically what the rich (but not the super-rich) already pay.
Thus the 2% wealth tax would simply close the gap between the principle of tax equality and the current tax laws. If you make it less than 2% you continue sending the message that it is acceptable for billionaires to contribute less to public goods and services than the rest of the population.
The other reason is that 2% is a moderate starting point to make it politically more tenable. We have to adopt the concept of course correcting as we go, embracing the idea that we won’t get to the goal in a straight line but we have to start running towards it. We may not pick the fastest route but we have to start moving first. And this 2% has to be in our minds the floor, not the ceiling rate.
And as a clarification this is 2% on wealth, not income. 25% wealth tax would be DOA since as I said above their wealth increased on average by 6%. And 2% wealth tax comes out to be proportional to a 33% income tax which is in line with your thinking. So it all works out!
…but…I only have one upvote to give.
This is a great explanation. Thanks!
Not income, wealth.
This wouldn’t replace income tax, obviously.
Surprising that the dementia addled narcissist reality Tv con man nepotism baby and child raping murderer isn’t doing a good job. If only we could have seen that coming
Who’s to blame for all of this? Certainly not the
billionairestrillionaires!It will start trickling down any moment now, trust me.
I can feel the power of the golden shower.
I open my heart and mouth to my betters
Back when the average US wage was $5,000.00 a year a Rolls Royce was $20,000.
The average couple could scrimp for a month and afford to go to a Broadway show and eat at a fancy restaurant.
When was the last time you had something that was the best of the best?
Not unhappy enough to stop electing the same stooges that got them here or do a general strike, to grind the country to a stop until shit changes.
