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Progressive lawmakers Sen. Bernie Sanders, I-Vt., and Rep. Ro Khanna, D-Calif., are targeting the billionaire class with a massive new tax proposal that seeks to seize trillions from the nation’s wealthiest individuals to fund a sweeping government spending spree.
Announced Monday, the “Make Billionaires Pay Their Fair Share Act” targets 938 individuals, including titans like Elon Musk and Jeff Bezos, for an estimated $4.4 trillion over the next decade — a move Sanders claims is necessary to fix a “corrupt tax code” that has seen wealth redistributed from the bottom 90% to the top 1%.
“At a time of unprecedented income and wealth inequality, this legislation demands that the billionaire class in America finally pay their fair share of taxes so that we can create an economy that works for all of us, not just the 1%,” Sanders said in a press release. “We can no longer tolerate a corrupt tax code that enables billionaires to pay a lower tax rate than the average worker.”
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“We have a deep economic divide in this country. On one side, places like Silicon Valley are generating extreme wealth. On the other side, families are struggling to cover the cost of health care, housing, and basic needs. We can tax billionaires a modest amount to make sure everyone has a fair chance while keeping our innovative engine,” Khanna said in the same press release.
Sen. Bernie Sanders, I-Vt., and Rep. Ro Khanna, D-Calif., are teaming up to propose a federal, annual 5% wealth tax on America’s billionaires. (Getty Images)
The core of the proposal is a direct 5% annual wealth tax on assets, not just income, exceeding $1 billion. Sanders and Khanna project the bill to raise $4.4 trillion in revenue over 10 years.
The measure would direct new tax revenue toward one-time $3,000 payments for individuals in households earning $150,000 or less, meaning a family of four could receive up to $12,000.
The legislation cites several high-profile figures to illustrate its reach: Elon Musk would owe $42 billion, Mark Zuckerberg could pay $11 billion and Jeff Bezos would owe an approximate $11 billion.
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The $4.4 trillion in estimated revenue is earmarked for a massive expansion of the federal safety net and public infrastructure, including a more than $1 trillion Medicare and Medicaid expansion, building affordable homes, capping childcare costs and establishing a minimum $60,000 salary for public school teachers.
“To accept this revenue estimate as credible, you must believe that a 5% annual wealth tax on billionaires—on their investments and their closely-held businesses—will have no economic ramifications worth mentioning,” Tax Foundation senior fellow Jared Walczak wrote in a post on X.
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Senate Republican leader John Thune, R-S.D., did not immediately respond to Fox News Digital’s request for comment.
“Enough is enough,” Sanders continued in his statement. “Billionaires cannot have it all. It is time to enact a wealth tax on billionaires and use this revenue to address some of the major crises facing working families, the children, the elderly, the sick and the most vulnerable.”
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