Tax the Rich? That's What the Wealthy Are Starting to Worry About

AP Photo/Andrew Harnik

The Democrats are always threatening to “tax the rich” and make the wealthy “pay their fair share.” And now the highest income earners are starting to express their concerns that the Biden Administration will put their money where the administration’s mouth is.

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Fox Business reports how the administration plans to raise taxes on the wealthy:

President Biden on Thursday unveiled a revised framework for a roughly $1.75 trillion ($1,750,000,000,000) spending package, which would be paid for by a slew of new taxes, including a 15% corporate minimum tax, a new surcharge on 0.002% of Americans, stricter IRS tax enforcement, taxes on corporate stock buybacks and higher taxes on U.S. companies’ foreign earnings.

Wealthy investors are also considering what they can do to avoid the soaking that the Biden and the Democrats hope to put on them.

But a new survey published by UBS Global Wealth Management calls into question the efficacy of these increases: According to the survey of 3,000 investors and 1,200 business owners with at least $1 million in assets, a large share of respondents are considering how to move their money before the increases take effect.

According to the survey, 40% are considering moving assets around to avoid taxation, while just over a third have already moved assets around. Some have made donations or given gifts to family and friends, while others are seeking tax advice to plan for what could be coming.

The Democrats want to further tax the rich to pay for a litany of social programs like universal pre-K, green energy, and expanded Medicaid. Key radical provisions like free community college and paid family leave have been stripped from the already massive spending package.

Related: Treasury Department Proves That Lower Corporate Tax Rates Produce More Revenue

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But here’s the thing: do the rich pay their “fair share”? What really is their “fair share”?

It turns out that our tax structure is already pretty progressive. Federal Budget in Pictures shows us that the top 1% of earners bring in nearly twice as much federal income as the percentage of income they earn.

Source: Federal Budget in Pictures

The top 10% of earners are responsible for 48% of the income earned but contribute 71% of the tax burden. It’s clear that the more wealthy you are, the more you pay in taxes — not as a raw number, but as a percentage.

We do tax the rich, and they do pay more than their fair share.

But that doesn’t stop the Democrats from beating the drum of increasing the tax burden on wealthy Americans.

None of us need or want higher taxes — especially the wealthy. But the Democrats want to make them pay even more in taxes to fund their ridiculous, radical plans to increase government dependence. Obviously, this spending plan needs to be stopped, and hopefully, reasonable legislators will do just that.

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