US Democratic presidential candidate Hillary Clinton has proposed a 4 percent tax-surcharge on Americans who make more than US$5 million per year.
The suggested tax follows Clinton’s promise last month as she campaigned alongside billionaire investor Warren Buffett to build on the “Buffett rule,” which would establish a minimum tax rate of 30 percent on those earning more than US$1 million per year, Reuters reported.
Buffett has criticized tax policies that allow the rich to pay lower rates than the middle class.
“I want to go further and impose what I call a fair share surcharge on multi-millionaires because right now, we’re behind and we need to get the wealthy and the corporations to pay for their fair share, so I can keep my promise, which is I will not raise taxes on the middle class,” Clinton was quoted as saying at a campaign stop in Iowa on Monday.
According to a Clinton aide, the new tax on the super wealthy would help generate US$150 billion over ten years.
Clinton has promised not to raise taxes on families earning less than US$250,000 per year, and whose support she needs to secure the Democratic nomination ahead of the election in November.
She will unveil more tax proposals later this week that are “designed to ensure the wealthy pay their fair share,” her campaign said.
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