Countries can raise $2 trillion by copying Spain’s wealth tax, study finds
Countries can raise $2 trillion by copying Spain’s wealth tax, study finds
Countries can raise $2 trillion by copying Spain’s wealth tax, study finds
Countries can raise $2 trillion by copying Spain’s wealth tax, study finds
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Countries can raise $2.1 trillion a year by following the example of Spain’s successful wealth tax on the 0.5% richest households – that’s double the amount needed annually for developing countries’ external climate finance, expected to be at the centre of COP29 negotiations this year.
Following the example of Spain’s “featherlight” wealth tax on the 0.5% richest households would see countries raise $2.1 trillion a year globally
Evidence shows tax reforms targeting extreme wealth have not resulted in the superrich relocating to other countries
On average, just 3% of each country’s wealth is owned by half its population, while its richest 0.5% own a quarter
Extreme wealth is making economies insecure and is directly linked to people having to spend more than they bring in
[https://www.npr.org/sections/money/2019/02/26/698057356/if-a-wealth-tax-is-such-a-good-idea-why-did-europe-kill-theirs](https://www.npr.org/sections/money/2019/02/26/698057356/if-a-wealth-tax-is-such-a-good-idea-why-did-europe-kill-theirs)
I’m not going to defend or prop up the super rich. IMO, they benefit from a system that is rigged in their favor where wealth begets wealth. The solution to this is to un-rig the system though. Wealth taxes have a long history of not working and doing far more damage than good.
The last thing we want is some global effort to scramble the global financial markets as the ultra rich carry out shell games to hide assets or shield them from taxes. The losers there, as always, will be low and middle income earners.
Just waiting for the billionaire simps to show up here tbh.
That would mean that the government of the country that you’re in would WANT to do this.
This would go against all the insider trader and accepting of lobby money so it’s a nice suggestion but never going to happen.
Didn’t the current US administration (arguably the furthest left ever) shoot down a wealth tax in the US?
Yes, that’s a lot of money, but I doubt it will happen in the US.
And we all know how robust and successful Spain’s economy is………..
As much as I’d love it to be otherwise. These wealth taxes almost always in the long term cause the ultra wealthy to just start playing shell games, moving their business and wealth to more friendly nations.
Billionaires are like the fucking Borg, they adapt.
Lol Spain, who has yet to recover from 2008? That’s who we should emulate for a healthy economy??? Jesus Christ cmon people.
The effect of them taxing at such low rates would be to push the wealthy to put more of their assets into markets and pump the prices of stocks. Not sure that would be a good outcome.
I am surprised: France had one not so long ago and abandoned because so much outflows and relocations that hurt more than the benefits.
Same can be said about Norway right now. Just google it to see the negative consequences it has had.
The article is a little thin on what’s used to determine taxable wealth. I think (based on some web searches) they tax based on property value, vehicles, investments, bank accounts, business assets, jewelry and art. Can someone verify?
France abolished their wealth tax in 2018 after determining it was actually lowering tax receipts and slowing economic growth….
Spain’s famously efficient economy. Yes, we should definitely copy this wonderful model /s
Politicians have already been bought and paid for by the 1%. So it ain’t gonna happen in most countries.
I only care about who the 0.5% includes. The billionaires in the US are only like 0.0002% of the population, no one gives 2 shits about them. So who is the other 0.4998%? Beyond that, once the government wastes what they got from the 0.5%, who’s next? Expand to the top 2%, 20%, 50%. The more it grows, the returns diminish quickly and significantly.
I would start with a high inheritance tax, eliminate deductions to charity donations, eliminate step up cost basis when people die, somehow tax loans as income when the super rich borrows against their assets to avoid paying capital gains tax, and any other loophole exploited by the super rich. At least the dead super rich will eventually contribute to the society that helped them build so much wealth.
Wealthy people have access to the best lawyers and international tax accountants to minimize their tax burden as much as possible. While you can raise VAT and taxes on us middle class plebs, we’ll suck it up and try to limit our expenses or something like that. These guys will be able to game the system as they have more tools *(not job-dependent, can hire expertise, has a network of other rich people to learn from, etc)*.
Imagine how much they could earn by extending this to all taxpayers.
Raise another 2 trillion for what? Pissing it down the drain? Governments do little else these days. Just make it exclusively wealth tax and VAT and get rid of income tax all together, give those who labor their true value and make those who profit of that labor carry the burden. And raise less money as a government by not wasting such god awful amounts.