Senate Democrats Elizabeth Warren and Ron Wyden, along with Independent Angus King, announced their new tax plan, dubbed the 'billionaires' tax'. The proposal would apply only to those with more than $1 billion in assets or incomes of more than $100 million a year.
Those in the highest tax bracket would be required to pay taxes on the gains of stocks and other trade-able assets, instead of waiting until holdings are sold.
The plan is designed to work in conjunction with a new 15% corporate minimum tax, which would fulfill the calls from President Biden and prominent Democrats for the wealthy and big business to pay their “fair share.”
The new billionaires' tax, which would apply to fewer than 800 individuals, could raise approximately $200 billion in revenue and help to pay for the President's domestic agenda.
The support of key Senators Joe Manchin and Kyrsten Sinema is needed for the proposal to pass.