There has been much chatter lately regarding a wealth tax. At least two of the leading democratic presidential candidates have discussed it, even though most wealthy Americans would likely oppose this tax. After all, why should they be punished just because they make more money?
But not all wealthy taxpayers oppose a wealth tax. In fact, one of the richest men in the world says he would be okay with it, despite the personal implications it would have on his net worth.
Bill Gates, who is reportedly the second richest man in the world, says he supports higher taxes for the wealthy. Gates says he doubts the country will implement a wealth tax, but if it did, he would be in favor of it.
So how would that affect Gates? Elizabeth Warren wants to implement a 2 percent annual tax on people earning more than $50 million. The tax would be 3 percent above a billion.
According to Forbes, Gates was worth $97 billion in 2018. If Warren’s proposed tax had been in place since the first year Forbes started tracking the 400 wealthiest Americans (1982), Gates would only be worth about $36 billion today.
Still, Gates says he believes the government should make people as wealthy as him pay higher taxes.
If you have a complicated tax issue, we suggest you contact an expert tax advisor. If you’re in the market for one, please consider contacting us here at Info@GROCO.com. Unfortunately, we no longer give advice to other tax professionals.