The dozens of Democratic presidential candidates seem to be on a quest to out “liberal progressive” each other.
U.S. Rep. Alexandria Ocasio-Cortez is discussing a 70 percent tax rate for those with incomes in the millions of dollars. This is despite 2016 data showing income tax bringing in $1.44 trillion. The top 1 percent of those taxpayers paid 37.3 percent of the total. The top 50 percent paid 97 percent, meaning the bottom 50 percent paid only 3 percent.
Meanwhile U.S. Sen. Elizabeth Warren is discussing an annual tax based on wealth. Pay attention. That is wealth, meaning your total dollar value, not income. If you have a $200,000 house, $5,000 in the bank, and $20,000 in your IRA, you would be taxed on $225,000 of wealth.
I fear the next discussion will be something even more ridiculous. I can see something like combining a wealth tax and the estate tax. We still have an estate tax where the federal government takes 40 percent of the estate’s wealth after the allowable exemption. On an annual basis the federal government could calculate how much money it needed, and then kill, I mean humanely euthanize, the correct number of billionaires and millionaires. Such a plan would likely get some traction in the liberal progressive community. After all capitalism should be not only discouraged but punished.