The Biden administration’s analysis of its revenue proposals for fiscal year 2025 argues targeted tax hikes that disproportionately affect white people would ease racial wealth inequality.
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The Biden administration’s analysis of its revenue proposals for fiscal year 2025 argues targeted tax hikes that disproportionately affect white people would ease racial wealth inequality.
Increasingtaxesoncapitalgainsandincome-basedwealthwouldreduceracialwealthinequalityforblackandHispanicfamilies,theTreasuryDepartmentoutlinedintheanalysispublishedinmid-March.TheTreasurypointsoutthatwhitefamiliesdisproportionatelyholdassetssubjecttocapitalgainstaxorareinahighertaxbracket,meaningahikeinthosetaxeswouldbenefitblackandHispanicfamilies.(RELATED:USEconomicGrowthSlowsDownMassively,WellBelowExpectations)
TheBidenadministrationarguesfortaxingcapitalincomeforhigh-incomeearnersat“ordinaryrates,”increasingthetopratefrom37%to39.6%forthosewhoearnmorethan$1millionayear.Taxesonnetinvestmentincomewouldalsobehikedby1.2percentagepointsto5%forthos
