Home | About | Donate

As Public Shouts Approval for AOC's 70% Tax Rate for Ultra-Rich, Elites at Davos Admit: "It's Scary"

#1

As Public Shouts Approval for AOC's 70% Tax Rate for Ultra-Rich, Elites at Davos Admit: "It's Scary"

Julia Conley, staff writer

Gathering for the annual World Economic Forum in the Swiss Alps town of Davos, some of the world's wealthiest business leaders and so-called "thought leaders" focused their attention Monday on a proposal that's gaining traction in the U.S.—a return to a far higher marginal tax rate for the wealthy as a way of correcting the country's widening wealth gap. A majority of American voters support the idea, a fact that was cited by one Davos attendee as precisely why he fears the proposal.

4 Likes

#2
2 Likes

#3

"It’s scary," Scott Minerd, head of the $265 billion investment firm Guggenheim Partners, told CNBC of Rep. Alexandria Ocasio-Cortez’s (D-N.Y.) proposal of a 70 percent tax rate for income over $10 million per year, predicting that the idea will likely continue to get more of the the attention it’s captured over the past three weeks, since the freshman congresswoman mentioned it in an interview with "60 Minutes."

"More than 10 years after the collapse of Lehman Brothers, hostility toward the corporate elite is finally hitting the political mainstream in a meaningful way." —Lionel Laurent, Bloomberg"This is going to gain more momentum," said Minerd. "And I think the likelihood that a 70 percent tax rate, or something like that, becomes policy is actually very real."

As we reflect back on the New Deal, it certainly was an “extreme” correction to run-away
greed and corruption under the system of capitalism - and it was a necessary correction.
Unregulated capitalism is merely organized crime.
Other New Deal programs delivered equality and justice to this nation – Bretton Woods,
Fairness in Broadcasting, the economic system I can’t think of the name of … and many others
which protected Americans in their financial dealings with banks and as consumers and our press.

There isn’t a product or service (including medical/dental care) which hasn’t been downgraded
and near-destroyed as capitalism rages on.

We have lost the planet because of the insanities of capitalism and those who back and protect
it over the few hundreds of years of its existence here – US government/CIA.

16 Likes

#4

To add to that 70% tax rate, eliminate the cap on the social security tax, now around 6 % I believe. Currently only the first $125,000 (approx.) you earn is subject to this tax. Combined with a top tax rate of 70% large amounts of revenue would be generated. Funding for Green New Deal and an immense amount of other important issues would then be possible. Peace

14 Likes

#5

We will get more from these people by scaring them than by pretending we can work with them and taking their damn bribes. The economic system they favor and benefit from is a death sentence for this planet, our democracy and working people.

18 Likes

#6

I’m envisioning a new video game to train today’s youth and other oppressed groups. It should simply be called 1789.

8 Likes

#7

So true. The free market has no morality, could care less about clean air or water, stomps on livable wages and unions, and allows corporate monopolies and mega-banks to rule the world. If we are to embrace capitalism, we need to bring back the regulations that reign in human greed. It won’t be easy and it might be too late.

10 Likes

#8

She’s right, it won’t affect many people if any at all.

If you’re reeling in $10M a year, there is no way your accountant is letting you claim that on your income taxes. Most reasonable people would reinvest and be subject to capital gains instead. I wonder if there are any statistics to indicate the average amount someone of such wealth takes out in pure income vs. reinvesting

1 Like

#9

The inequitable wealth structure is a result of 30 years of war on Middle americans. We are currently in a top down War not a left right war.

8 Likes

#10

I would prefer we shoot for a 90% to settle on a 70%. Regardless, what’s scary is giving the money to politicians to give back to the Uber-wealthy. Lets all keep the money instead as a Universal Unconditional Basic Income.

8 Likes

#11

Hilarious! The rich getting down on what I call a very generous tax rate proposed by Ms AOC. In the 1950’s it was 90%. That’s what I see as fair. Large corporations used to carry more tax burden than the people. They just got a 40% cut!!??The post WW II economy, when the rates were this high is the best it’s ever been. Since the early 70’s a march towards despair has relentlessly moved forward by those that want to live like the 3% on Netflix’s show of the same name. Time for some sanity by real progressive actors such as AOC and co.

12 Likes

#12

Well not much extra will be collected by raising marginal rates because the rich have accountants and tend to avoid paying income taxes anyway. They typically pay capital gains.

Spread out that small extra money over 400 million people and it isn’t that much.

0 Likes

#13

Sad but great post –

I think the estimate is that about 3% of humanity are prepared to back up their
greed with violence – that’s all.

But those 3% can have influence and control over humanity beyond their numbers as
we saw in the Holocaust in Germany where American Elites recruited Hitler and funded
Hitler/Nazis, often using the Vatican to move funds to Hitler.
See: Allen Dulles/Prescott Bush - Sullivan & Cromwell and Holland America Line

But if there is a way for humans to stop their violence we haven’t found it yet.

We are controlled by systems and we need to begin to dismantle those systems, for one.

– but ever more so … whatever evils are attempting to destroy, the rest of us can’t stand
on the sidelines watching.

5 Likes

#14

Well, for some, it would be unavoidable. But there is no realistic way to address wealth inequality without addressing things like tax shelters (among many other things), and some of the largest tax shelters in the world are here in the US. Taxes on various forms of economic rent should be increased (in many instances, if you ask me, nationalized), and much higher taxes on estates, carried interest, capital gains and dividends is in order too. One thing I do agree with the right on, the tax code needs to be majorly simplified.

5 Likes

#15

Deductions were much higher in those days. The average rich person then paid about 42% in taxes after deduction. Higher than today, but not 90%. 90% wouldn’t be feasible.

0 Likes

#16

Agree – and …
I think that anti-trust laws – breaking up monopolies is still on the books –
but of course rusting somewhere, unused for decades now.

3 Likes

#17

I’d also apply penalties and interest on those Elites who have garnered so much wealth
for themselves at the expense of others –
And I’d put ExxonMobil out of business for their lies about Global Warming and
ExxonValdez which rather than having ended spills seems to have emboldened
other oil companies to be more reckless. BP, for instance in Gulf but many others.

3 Likes

#18

For a very few. I can only think of a handful of jobs that would pay $10M a year in income as an employee. Vast majority of people collecting this kind of money are collecting it passively.

I agree that taxes should be simplified. Perhaps there should be one single universal rate for all forms of income.

1 Like

#19

That’s Glass-Steagall – apologies.

2 Likes

#20

I’m another “Senior” at 70 years of age. I smile at “Medicare For All” and think to myself…Only If We Fix It!

Facts: $106.50 per month is taken out of my Social Security to pay for my Medicare. But wait…there’s more. Most of us need a supplemental plan, Blue Cross for example, to pay for hospital expenses, specialists, etc. And another plan like Humana to pay for pharmaceuticals, which are not covered by Medicare. Currently I have NO coverage for Dental or Eye care. God forbid I should develop diabetes.

Last year my costs were $106.50 for Medicare, $140 for BC/BS supplemental, and $20 for Drug coverage with a small co-pay. So about $266.00 for Health Insurance, but NO Eye or Dental.

Then about half the counties in my state, MN, were cut from the type of supplemental plans listed above. We (about150,000 of us) were left to find a new coverage plan. In my case, BC/BS offered a new plan for ONLY about$110.00 more per month. About $376.00 now.

I’m not complaining, because we can afford this. Actually my wife has her own plan since she is younger and still employed full time.

My point is that “Medicare For All” is really just for openers! We Americans need, deserve and have paid for much, much more!

6 Likes