If a Wealth Tax is Such a Good Idea, Why Did Europe Kill Theirs?
Senator Elizabeth Warren proposes a new kind of U.S. tax policy: a wealth tax. But the policy faces serious hurdles, including lessons from a failed experiment in Europe and a constitutional challenge
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In late January, Senator Elizabeth Warren, who's in the race to become president in 2020, added a new kind of tax to the American conversation, causing anxious pacing on superyachts in every port: a wealth tax. It's a cousin of the property tax, but it encompasses all forms of wealth: cash, stocks, jewelry, thoroughbred horses, jets, everything. Warren calls the policy her "Ultra-Millionaire Tax." It would impose a 2% federal tax on every dollar of a person's net worth over $50 million and an additional 1% it would hit the 75,000 richest households and raise $2.75 trillion over ten years.
