Monday, July 20, 2009

The Case For a Surtax

As part of its health care legislation, the House Ways and Means Committee has proposed implementing a tax surcharge on the richest one percent of Americans, with the revenue going toward financing a portion of the estimated $1 trillion cost for health care reform. Under the House proposal, the surtax would begin in 2011 and constitute a one percent marginal rate for households making between $350,000 and $500,000, 1.5 percent for households making $500,000 to $1 million, and 5.4 percent for those making more than $1 million. As House Speaker Nancy Pelosi (D-CA) put it, "Let's leapfrog over the middle class to the wealthiest people in our country. They've had it pretty good the last eight years in terms of tax policy under President Bush. And we think that's a place you can go." Yesterday, Secretary of Health and Human Services Kathleen Sebelius called the tax "a legitimate way to go forward." And as Families USA executive director Ron Pollack said, "Since this group enjoyed a significant tax reduction windfall during the last decade -- and since this windfall played a big role in burgeoning federal deficits -- it makes sense that this group bears some burden as part of the effort to secure America's long-term economic future through health-care reform."

...Full Story at Think Progress

2 comments:

taozen said...

I thought it was a given that the fux at the top of the ladder were going to have to kickback a little more since it was "them "that got the whole business world upside down under the Bush free for all. And since the Ubber rich control the media all we are going to get easily is that Obama and his plans must be squashed. taozenanda@gmail.com

Fernando said...

So far, this fits the paradime of what the voters demanded in November.

I never heard of serious pledges regarding "single payer" from either Hillary or Barack. They both promised reforms generally and not specifically. Both of those platforms promised to go back to Clinton era marginal tax rates.

I think all targets are being met albeit modestly paced.