|Clinton Proposes Tax Surcharge on Wealthiest Individuals|
On January 11, Democratic Party presidential candidate Hillary Clinton unveiled plans for a new surcharge on the wealthiest individual taxpayers in the United States, "to ensure these taxpayers pay their fair share."
Expanding on her previous support of the "Buffett Rule," which would set a minimum tax rate of 30 percent on individuals earning over USD1m a year, Clinton called for the imposition of a four percent "Fair Share Surcharge" on Americans who make more than USD5m per year – a measure that, it is estimated, would only affect the top 0.02 percent of taxpayers.
With Clinton having already pledged that she will not raise taxes on "middle-class families," she has proposed the new surcharge as "a direct way to guarantee that effective tax rates rise for the taxpayers most likely to avoid paying their fair share through tax gimmicks and exploiting loopholes."
She has previously confirmed that she would end the "carried interest loophole," introduce a 28 percent cap on itemized individual income tax deductions, and increase capital gains tax rates on investments held for less than five years for those in the highest income tax bracket. She has also promised to announce "other loophole closers and reforms" in the next few days.
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Published on our website on Jan.14, 2016