Billionaire Minimum Income Tax Act would require wealthiest Americans to pay their fair share

The Billionaire Minimum Income Tax Act would enact a proposal by President Joe Biden and ensure that households worth more than $100 million pay at least a 20 percent tax rate.

Introduced with 30 original cosponsors, Congressmen Steve Cohen of Tennessee and Don Beyer of Virginia led the introduction of the bill after extensive consultation with the White House and Treasury Department officials.

“The ultrawealthy pay very low tax rates because their affluence derives primarily from the soaring value of their assets and our current tax code lets billionaires avoid taxes on gains unless and until they sell their assets,” Cohen said in a press release. “So, while working families pay taxes on each and every paycheck or pension payment, the ultrawealthy can make hundreds of millions of tax-free dollars a year. Instead of all their billions going to buying superyachts, rocket ships, professional sports teams and Twitter, it is time that billionaires chip in like everyone else to pay at least a base level of taxes.”

Beyer said in the press release that the legislation is policy to prevent billionaires from paying a lower tax rate than working American families.

“Our bill would impose a minimum tax rate on the wealthiest few with measures to prevent tax avoidance, requiring the super-rich to pay their fair share, reduce inequality, and fund services the American people depend on,” Beyer said. “Republicans cut taxes for the richest among us while proposing higher taxes on average people. We reject this failed trickle-down economics approach, and are responding with a fair tax policy that will put our country on a stronger fiscal footing while restoring fairness to the tax code.”

Cosponsor Congressman Dwight Evans of Pennsylvania is a member of the tax-writing House Ways and Means Committee.

“I strongly support making sure billionaires pay their fair share in taxes, and the estimated $360 billion in revenue over 10 years could be used for priorities like lowering health care and child care costs for families, fighting climate change, restoring the Child Tax Credit expansion, and fighting gun violence,” Evans said in the press release.

Chanda Causer, Executive Director of Main Street Alliance, said that small businesses pay more in taxes than billionaires and corporations.

“That’s not just wrong, it robs local communities of the investments we need to thrive,” Causer said. “Our economy benefits when we all pay our fair share of taxes so we can make needed public investments in child care, health care and more.”

“The Billionaires’ Minimum Income Tax would limit an unfair tax break, raise billions, and be incredibly well targeted. This would dramatically change the game to ensure that the wealthiest Americans are taxed more like the rest of us,” Amy Hanauer, Executive Director of the Institute on Taxation and Economic Policy, said in the press release.