Biden Pushes for a Billionaire Tax in State of the Union Address

In his latest State of the Union Address, President Biden will almost certainly mention money during his remarks.

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As part of his speech, the president will push for a billionaire tax, as well as more corporate stock buyback levies, according to the White House.

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Trade Algo reported that the White House shared on Feb. 6 in a statement that the minimum tax will ensure that the wealthiest Americans do not pay a tax rate lower than teachers and firefighters.

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He may also propose quadrupling corporate stock buyback taxes in the address. The Inflation Reduction Act introduced a 1% tax on stock buybacks in January, which will be in addition to this one. Trade Algo reported that Democrats hope that increasing this levy will keep companies from engaging in this practice, encouraging them to use reserves instead to increase wages or invest more to strengthen the economy.

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In the Republican-controlled House of Representatives, however, neither proposal is likely to make a difference because the GOP traditionally opposes tax increases.

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Based on Oxfam, global financial frameworks only make rich people richer. In a recent Oxfam report, it stated that two-thirds of the $42 trillion wealth created since 2020 has been owned by the top 1%. Davos recently called for a billionaire tax.

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As Congress debates a federal wealth tax measure, many Democrat-led states have lobbied to implement local wealth taxes. Several financial elites are in favor of the initiative and have argued that higher taxes on the rich would rebalance the economy - Patriotic Millionaires, for instance.

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The group declared in a statement that it sought to reform the political economy of our country to create economic and political equality naturally.

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A second measure to bolster the U.S. economy will be Biden's call for American-made construction materials in tonight's State of the Union address. Also, he's expected to push for the IRA's $35 insulin cap to be extended to everyone using the medicine, not just Medicare beneficiaries.