Elizabeth Warren Proposes a Hate the Rich Tax

Elizabeth Warren

Elizabeth Warren is proposing a new hate the rich tax, called the Ultra-Millionaire Tax Act.

The bill she, which introduced in the Senate, calls for households with a net worth of more than $50 million to pay 2 percent of their wealth every year as a new tax. On top of that a 1 percent surtax would be added for those with a net worth in excess of $1 billion.

You really have to have no understanding of how a free market economy works to propose such a tax.

The bedrock of a growing economy is wealth held in the form of investments, which is how most very wealthy people hold the majority of their wealth.

The Warren bill would shrink that wealth, of the most wealthy, to the tune of 2% to 3% per year.

She would take that money and redirect it away from capital investments and into government spending. What a horrific way to slow the economy.

According to an analysis by Bloomberg News, the tax would result in the 100 richest Americans paying over $78 billion in taxes annually

Oh, and the super-rich shouldn't think about leaving the country to avoid the tax. The bill includes a 40 percent exit tax on wealthy Americans who may seek to renounce their U.S. citizenship to avoid paying the tax. 

It is doubtful the bill will pass at this time but the more capitalist-hating legislators make it to Capitol Hill in future years the more the odds improve for passage.

-RW