Our top 1% owned nearly one-quarter of all U.S. household wealth 30 years ago. It now owns nearly one-third. Meanwhile, the bottom 50% of people have gone from 3.7% of the wealth in 1989 to 1.9% today. In 2018 the richest 0.1% of US households held 20% of the country’s wealth. Many people believe our wealthy do not pay their fair share of taxes. A wealth tax would remedy this situation by taxing an individual's net wealth - or the market value of their total owned assets minus liabilities. A wealth tax is in addition to a tax on income, and is similar to a property tax people pay on their homes, but applied to all their wealth above a certain level. It would be a new federal tax, as property taxes are imposed at the local level, and estate taxes, while on wealth, are only imposed at death. A wealth tax would be levied on taxpayers whose net assets exceeded $50 million. Supported by two-thirds of all Americans, it would affect 70,000 taxpayers and would raise $2.7 trillion in revenue over 10 years. Supporters say middle-class America would receive considerable benefits from a wealth tax such as universal child care, free college tuitions, Medicare for all, and meaningful actions mitigating climate change.

Pending legislation: H.R.4919 - Oppose Limitless Inequality Growth and Reverse Community Harms or the Oligarch Act of 2023
Sponsor: Rep. Barbara Lee (CA)
Status: House Committee on Ways and Means
Chair: Rep. Jason Smith (MO)