Biden has rejected Sen. Warren's direct wealth tax as a means of paying for his massive infrastructure investment. He has proposed a return to the level of corporate taxation prior to Individual One's 'yuge' giveaway. That proposal is in effect a wealth tax because it is the wealthy who own corporations through their stock investments. In the 50's, 60's and 70's corporations paid about half of their income to the federal government in taxes. Corporate tax rates have been reduced to the point that
fifty-five large companies paid zero federal income tax last year. LOOK....at this chart:
The alleged justification for this inequitable largess is that cutting corporate taxes will produce more economic growth. That myth has been exploded for all time, hopefully. Most of the previous regime's tax cuts allowed more company stock buybacks, thereby further enriching corporate executives. What the cuts have produced is more wealth inequity in the US. The dirty little secret is billionaires who own companies do not have income through a salary or bonus; their income is from the returns on their wealth:
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charts credit: NY Times
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The alleged justification for this inequitable largess is that cutting corporate taxes will produce more economic growth. That myth has been exploded for all time, hopefully. Most of the previous regime's tax cuts allowed more company stock buybacks, thereby further enriching corporate executives. What the cuts have produced is more wealth inequity in the US. The dirty little secret is billionaires who own companies do not have income through a salary or bonus; their income is from the returns on their wealth: