According to sources, a small wealth tax on America’s Multi-millionaires and billionaires might raise more than $900 billion every year, enough to fund two more $1,400 stimulus checks.
Wealth Tax Benefits
According to the latest report of the U.S Sun, during the COVID-19 pandemic, the wealth of the world’s wealthiest people increased tremendously, but inequality increased. Also, the wealth of American billionaires has soared by $2 trillion, while many families have struggled to make ends meet.
However, a study conducted by the Fight Inequality Alliance, the Institute for Policy Studies, Oxfam, and Patriotic Millionaires found that there is a solution. Analysis computed that the additional $928.39 Billion could increase the government’s health expenditure by a third or remove half of all out-of-pocket health costs for households.
In a recently published article in Newsweek, a small wealth tax on America’s multi-millionaires and billionaires would raise more than $900 billion per year. The report stated that it is enough to cover the cost of sending out two more $1,400 stimulus checks to Americans.
Based on the recent report of U.S Sun, the analysis stated that a wealth tax on the world’s multi-millionaires and billionaires could collect $2.52 trillion yearly. This tax is enough to lift 2.3 billion people out of poverty, produce enough vaccinations for everyone, and ensure healthcare and social safety for those in low-income countries.
American Rescue Plan
In the report of Newsweek last year, the Treasury Department and the Internal Revenue Service said that hundreds of millions of Americans have received an economic impact payment through the American Rescue Plan. However, with many American families still facing financial hardship as a result of the ongoing pandemic, an additional $928.39 billion in tax income might pay the cost of two or more $1,400 stimulus checks.
Moreover, it comes after Patriotic Millionaires, a group of over 100 of the world’s wealthiest individuals, asked countries to tax them more heavily. “As billionaires, we recognize that the current tax system is not fair,” they said in a recent report of Newsweek with an open letter released on Monday.
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