Lifting the caps on Social Security “contributions”, ending deductions for charitable and homeowners’ interest expense, raising the top federal personal income tax rate and the corporate tax rate, ending the capital gains tax preference … get the idea? If you have a high income, they’re coming after you.
But, the idea that you can heavily tax the rich is bogus. As the author of the referenced article indicates, “If you look at the background of the top 1%, you realize that they meet my criteria of knowledgeable, worldly, disconnected to location for wealth, and willing and able to pay for proper legal advice.” In response to excessive taxes, these people will simply shift themselves and their wealth overseas. Instead of getting more out of them, the government will actually get less.
During the next 4-8 years there will always be tax attorneys, tax shelters, and avoidance behaviors open to those with greater wealth. Bill Gates, Donald Trump, George Soros, or Oprah Winfrey (much less George Klooney, Sean Penn, Donovan McNabb, or the president of any bank you care to name) will not be brought to their knees by the new taxation regime, because the ultra-wealthy already possess the resources necessary to shelter their fortunes.
Instead, it will be the several million Americans between $250K-$1M who end up paying the largest amount of the new tax burden, the not-quite-millionaires whose ranks, one suspects, will be extended downward toward any family making a six-figure income as the bills come due to Bejing....