Bernie Sanders proposes 100% tax on revenue over $1 billion and insists it is time to make ‘grasping billionaires’ pay their fair proportion

Bernie Sanders is challenge the richest Americans together with his name for a 100% tax on revenue above $1 billion. In a Could 2023 interview on Who’s Speaking to Chris Wallace? of HBO, Sanders defined his place: “Chances are you’ll not agree with me, however I feel folks could make $999 million. I feel they will survive very properly.”

In accordance with a Fortune article, Wallace requested, “Are you saying that when you attain $999 million, the federal government ought to confiscate all the things else?” Sanders responded with a straight “yeah.”

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This displays his belief that the ultra-rich shouldn’t exist in a society the place financial inequality is so excessive. On his official Fb web page in September 2024, Sanders doubled down, declaring: “At the moment we dwell in a nation with extra revenue and wealth inequality than ever earlier than in American historical past. He painted a bleak image of the divide, stating that although the billionaire class is “is doing incredibly well”, 60% of People “dwell paycheck to paycheck.”

Sanders additionally addressed critics of his strategy, saying: “What I imagine is that now we have to confront the greed of the billionaire class and say, yeah, you already know what, guys… you are going to begin . pay your fair share of taxes.“

His plan would not simply goal billionaire revenue: It features a progressive wealth tax on households value greater than $32 million, beginning at 1% and rising to eight% for billionaires. He additionally proposed an exit tax of 40 to 60 % on the belongings of those that surrender U.S. citizenship with a purpose to keep away from the tax.

See additionally: It is no marvel Jeff Bezos owns over $70 million in artwork — this alternative asset has outperformed the S&P 500 since 1995, delivering an average annual return of 11.4%. Here’s how everyday investors get started.

Critics argue that Sanders’ wealth tax proposal may have the alternative impact, significantly when it encourages innovation and entrepreneurship. The Nationwide Taxpayers Union Basis warns: “At a time when entrepreneurship needs to be promoted, a wealth tax would have the alternative impact. » Their concern is that such taxes would discourage enterprise progress and innovation, as founders may face excessive taxes merely for proudly owning profitable companies.

For instance, a enterprise proprietor whose firm is valued at $100 million would owe $1.2 million a yr beneath Sanders’ plan, which might require him to promote a part of his stake simply to pay the ‘tax. In the end, this might discourage the creation of transformative firms like Tesla or Apple. Critics concern these measures will find yourself stifling the very sort of risk-taking that spurs financial progress.

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