While some countries still raise taxes for ordinary citizens, the US is considering a tax for the super-rich people. The Ultra-Millionaire Tax Act proposed by US senators would bring trillions in revenue thanks to multibillion-dollar annual tax deductions for the ultra-rich.
A group of US senators led by Elizabeth Warren is pushing ahead with the adoption of a new law. According to this law, American households with an income of $50 million to $1 billion a year will have to pay an additional 2% annual tax and 3% if their income exceeds $1 billion. The bill reads "it would level the playing field and narrow the racial wealth gap by asking the wealthiest 100,000 American households — the top 0.05% — to finally pay their fair share."
"The ultra-rich and powerful have rigged the rules in their favor so much that the top 0.1% pay a lower effective tax rate than the bottom 99%, and billionaire wealth is 40% higher than before the COVID crisis began. A wealth tax is popular among voters on both sides for good reason: because they understand the system is rigged to benefit the wealthy and large corporations," Senator Warren pinpointed.
According to senators' estimates, if the law is passed, the 100 richest Americans will pay $78 billion in taxes this year. For example, Amazon founder Jeff Bezos will have to pay $5.4 billion, Tesla CEO Elon Musk’s tax will amount to $5.2 billion, and Microsoft founder Bill Gates’s tax will total $4 billion.
