For progressive Democrats, it’s no longer enough to simply raise the tax rate on earned income. Now, they want the IRS to reach directly into accumulated private wealth to create a blatantly communist redistribution scheme.
Earlier this month, Vermont Senator Bernie Sanders and California Rep. Ro Khanna introduced the “Make Billionaires Pay Their Fair Share Act,” a bill that would impose a five percent annual tax on the wealth of America’s 938 billionaires.
The lawmakers say the bill would raise $4.4 trillion over the next decade. The federal government would then supposedly use that money to send $3,000 checks to people in households earning $150,000 or less, raise teacher pay to a $60,000 floor, and expand Medicare benefits. The money would also be used to massively expand government housing and subsidize childcare.
The proposal has no chance of ever seeing a vote in a Republican-controlled Congress. Even if Democrats were to win both the House and Senate this November, it’s unlikely that they could garner enough Democrat support to pass.
But as The Washington Post reported, Sanders and Khanna aren’t really interested in passing the bill anytime soon. Instead, they’re trying to shift the Overton Window ahead of the 2028 Democrat presidential primary and make support for a wealth tax a litmus test for candidates, much like Medicare-for-All was in 2020. In Bernie Sanders’s ideal world, “war on the wealthy” would become the party’s de facto campaign slogan two years from now.
While Sanders and Khanna present their plan as “making the rich pay their fair share,” a wealth tax would be something totally unprecedented in American history. A government that taxes income claims a share of what someone earns; a government that taxes wealth claims a recurring share of what someone owns, including assets whose value can rise or fall on paper without any realized gains.
The biggest problem lies in the mechanics of Sanders’s plan. A wealth tax sounds simple until the government tries to enforce it.
Unlike an income tax, a wealth tax requires Washington to value private companies, stock holdings, real estate, partnerships, and other assets every year. Those assets can swing sharply in value and often do not produce liquid cash, which creates strong incentives to hide assets, restructure ownership, move capital, or relocate wealth outside of the United States.
A wealth tax also distorts risk and reward. When an asset surges in value, the government can tax that paper gain even if the owner has not sold it or received cash. But if the asset later drops in value, the owner still absorbed the earlier tax hit, which means the state shares in the upside without suffering the downside in the same way.
Even the Post’s reporting notes that Sanders’s revenue estimate assumes only a 10 percent rate of “tax evasion/avoidance,” an optimistic premise for a tax aimed at the most mobile and best-advised individuals in the country.
Other wealthy democracies have already learned this lesson. The OECD found that net wealth taxes have often failed to achieve their redistributive aims and that countries repealed them because of efficiency costs, administrative burdens, and weak results.
That record matters because Europe already struggles with the kind of economic stagnation Americans should fear. In a 2025 report, the OECD said the European Union suffers from weak productivity growth and lags the United States in innovation and technology adoption. Countries that have wealth taxes, like Norway, have performed comparably worse than nations like Sweden without a wealth tax.
Wealth taxes also risk a political ratchet effect.
Once the government establishes the principle that private assets, not just income, form a standing tax base, future lawmakers gain a new template for pushing that logic down the wealth ladder to lower income brackets. Politicians rarely present a new tax as broad at the start. They sell it as narrow and targeted, and then inevitably expand it when the results fail to live up to the billing.
Critics of California’s proposed billionaire tax have raised that exact concern. The current measure targets only taxpayers and trusts with covered assets worth more than $1 billion, but its broader constitutional language creates the legal and political infrastructure for wider wealth taxation later on. Even far-left Governor Gavin Newsom has broken with his party on the policy, warning that it will drive companies out and threaten the state’s economy.
“This will be defeated,” Newsom said of the California proposal. “I’ll do what I have to do to protect the state.”
Wealth taxes do not just target the rich. They signal to all business owners, entrepreneurs, and investors that the government will punish success and view private wealth as a reservoir to tap whenever politicians need more revenue.
Moreover, the lessons of history prove that redistributionist schemes do not work. In pursuit of “combatting wealth inequality,” Sanders and Khanna are essentially proposing a watered-down version of the same bad idea that led to some of the most outrageous wealth inequality in world history in places like the Soviet Union, Venezuela, and Cuba.
Sanders wants to move American tax policy in that direction anyway. His bill and his failed ideas deserve nothing but mockery.
Sarah Katherine Sisk is a proud Hillsdale College alumna and a master’s student in economics at George Mason University. You can follow her on X @SKSisk76.
Bernie Sanders has been the cranky old socialist he is right here in VT for FIVE decades now… He is as phony as a 3 dollar bill. He fully supports AOC & the Squad members in Congress. He fully endorsed Mandami in NYC, need I say anymore?
He is now a member of the 1 percent club, owns THREE houses, he is owned by the Pharmaceutical industry.
I can go on & on about this SOB, not enough space here…
Vermont here,
Bill…
He is filthy rich. Owns multi-million dollar homes. Never worked a day in his life. Not a clue about clocking in or out. HYPOCRISY RUNS DEEP WITH DEMOCRATS
Isn’t it amazing? He’s a millionaire. He became a millionaire because Barack Obama paid him to drop out of the presidential run he was pulling too many votes so he got a house or two and an airplane and with all the speaking engagements he is now a millionaire. Notice when you hear him speak he used to rank on millionaires and billionaires now he just does ranks on billionaires cuz he is a millionaire. He’s just a hypocrite like the rest of the Democrat party even though he claims to be an independent
Lunatic Democrats aren’t paying any attention to the past failures of this “tax” idea. They presume that “Americans can do it right”. The other situation that bothers me — Democrats are now vowing out in the open that if they win just the House or Senate, they will be coming after all Trump supporters with a vengeance. What has this nation come to, openly showing contempt and rebellion against all who oppose them. I shudder at the fact that this nation has allowed many evil spirits to enter and take possession of many lost people. This is the fight that the nation needs rise up against now, or otherwise all will be lost.
Look at Sanders wealth & he Lectures US below his income level n Wealth
Owns 3 homes
I’m 76 years old. Bernie is proof that old people should not be in office and term limits should be the rule in both houses of Congress.
How can such a beautiful state keep voting this grumpy old communist into office? I just don’t get it.
Everyone will be paying fair share except Bernie, Waren and all the rest that makes a living sucking taxpayer blood.
Sanders is an evil old clown and I’m sure he doesn’t want to see his millions taxed. He only wants to be in a rich ruling class. He would like to see us as subjects rather than citizens. He like many democrats should be in jail. America is a place for every citizen to be able to legally amass as much as possible! My wife and I are not wealthy and we live on a fixed income but we are not bitter or parasites. We admire those who have made great wealth through hard work and vision. It doesn’t happen for every citizen but we still admire everyone who works hard and doesn’t take handouts. So in short Bernie. you can SHOVE IT!
I purpose The Pay all politicians the Minimum wage act.
How’s Bernie going to feel when his wealth is redistributed?
Bernie Sanders is wealthy. He made his money on the backs of this Vermont constituents who are stupid enough to keep voting him in office, just as MA voters are stupid enough to reelect Elisabeth Warren. We have to ferret out and expose these Marxists for who they are. They ignore the Constitution and the tenets of the Declaration: 1. all men are created equal; 2. The citizens are endowed with inalienable rights; 3. that government derives its just powers from consent of the governed. Not as long as these two are in office.
Both Hochul and NewSCUM have found out what happens when you try to tax [read: STEAL] other people’s money! Bernie and his pals have used the American system to become wealthy but now want to pull the ladder up so nobody else gets to succeed. When Bernie sells a couple of his mansions and gives it to the [truly] poor, I’ll start to give him some kudos!
Coming from him, it means nothing. His finances are questionable. His wealth and houses are subject to investigation, and his rhetoric is meaningless and tiresome. Go home, Bernie, we are all sick of you and your pontificating. Hot air from the human throat is useless drivel, based on NOT minding your buriness and jealousy of those whose earnings are fair, hard work, and justified. What about the criminals, the AI fraud, the cheating, lies, and SILENCE where democrats are no longer representing the voters who put them in office to represent them, which is not happening! YOU GET IT, JUST TOO FOOLISH TO ADMIT THE TRUTH.
Pretty rich a millionaire that never worked a day in his life preaching to hardworking Americans telling them people that are successful need to share their wealth. What a jerk! Why doesn’t he share his wealth?
communist inspired democrats and rinos need to be removed not only from congress but from the USA PERIOD !! worthless enema bags like bernhole sanders and his russian love affair should be deported with vigor ..
Stupid Idea! So many billionaires and millionaires already donate to good causes – it helps their tax base, and usually does more good than that tax on them would do!
I think the government spending on nonessentials – such as most Congress members – needs to stop. If they don’t show up for ANYTHING (especially SOTU) they need a doctor’s excuse or some proof why they can’t do their jobs? They should not get pay for those days. Like, you know, most people who actually DO work for a living. Congress has become unrecognizable as now it appears to be the road to becoming a millionaire. Maybe every American should run for Congress instead of ACTUALLY working for companies, big and small. You show up every day because you get FIRED if you behaved like members of congress do! Let’s ALL get a piece of that wonderful Congressional job where actual WORK never happens yet they get nothing taken away if they just stay home and keep their mouths shut (unless it has ANYTHING to do with President Trump). THEY call MAGA liars and cheaters. Turn that around, people!! THEY have consistently been shown to be the liars and cheaters! What does No Kings mean anyway? They WILL show up at the March 28 No Kings protest day!!! And I still don’t even understand what it means! Dumber than rocks!! But very rich after one term in Congress. Hmmmm…..
It never ceases to amaze me – filthy rich people saying how awful rich people are, people who became filthy rich because of capitalism, saying how evil & unfair capitalism is. Surely they understand – they will remain rich should they succeed in convincing people to embrace socialism, while the majority of people will indeed be ” equal” – equally poor, equally without resources, equally without the rights & freedoms we now take for granted. Sadly, too many people fall for Bernie’s lies.
Bernie Sanders, Mark Kelly, Chuck Schumer and the rest of the modern Democrats are oath breakers. They are all undermining the Constitution they swore to protect and defend. That is treason against their sovereign, “We, the people of he United States”. It’s way past time that these people pay the price for their perfidy.
The Sanders plan is nothing more than destroying America. They don’t care where the money goes to after they collect it. It’s a good campaign slogan for 2028. I live in an independent living community and I heard two ladies say about President Trump look at the gasoline costs. Trump doesn’t care about the people. I bet he never even ever pumped his own gas. I said one line, “10% for the big guy”. They all swallowed hard. What? One said. I don’t want to talk politics but you ladies are betting on the wrong horse here. How many more people have been brainwashed by the democrats. Look what happened to Sarah Huckabee Sanders. A restaurant owner told her to leave because the staff was uncomfortable her being there. Really this is what the sheep that believe every lie the democrat leadership distributes 24/7 have come to? So we will pay, for a time, pay a little more for gasoline. It’s worth it if we finally have peace in the Middle East. President Trump cares about people. All people. Not like Biden who called those supporting President Trump domestic terrorists. Over and over again for 4 years. The save act is the same RINOS are supporting the dems here. The same with funding for DHS. The democrats can’t win so they shut the country down. How much do these democrats care about the people. The TSA agents that haven’t received a paycheck for a month. Or ICE agents. We don’t need ICE agents the dems say. Now more than ever but then the democrats support Iran and ISIS and Hamas and Hezbollah and the Houthis. Because America has to be destroyed and from within. And the democrats have been at it to reach that since Obama. The dems are not pro America they are power grabbing to destroy this country. Even praying for our military was mocked. Another cringe worthy moment that oppose religion at every turn. If you don’t want to pray then don’t. But don’t ridicule those who do. Not one democrat can be generous we all have to walk in step with them. Disrespect to other thinking people is their mantra. Common sense and empathy has left the democrats and hatred and destruction has taken over. All because we have a president who gets things done. To keep the land of the free because of the brave.
He is part of the reason Vermont isn’t affordable for the real vermont people. The only people that can afford to live here are the wealthy. They continue to excuse the school taxes and the property taxes. If you own a home good luck. He started all the socialist problems in Burlington, that just keep getting worse. This state didn’t do any better electing Welch or Balliant. Don’t forget the scandal at Burlington College his wife wiggled out of.
Bernie needs to open up his own coffers and lead the way.
There was a time that the Communists among us who call themselves “Progressives” and find themselves welcome in the former Democrat Party, which has morphed into The New Communist Party of the USA, at least tried to hide what they are and what their goals are for this nation. Nowadays, however, with 95+% of the media lying and running cover for them, they don’t even try to hide what they really are and what they plan to do to us.
Is there anyone in congress that has the intelligence to write a bill for one flat tax rate for all Americans? Get rid of the IRS and all the loopholes plus gain a lot more money for government waste.
he is a communist .who else would go to Moscow for a honeymoon he loves his own money but you are not allowed to have your own money. rules for thee but not for politicians all politicians.
Socialism sucks.
If Bernie thinks the rich should pay more in taxes, there is no law stopping him from paying more than the required amount of his taxes. Someone should ask him how much extra he is paying in taxes this year.
Bernie needs to pay his fair share in taxes. If he a fit the he can work off his debts. You know barter. He might like to put his wife to work as well. Nothing in this life is free. And by the way, when are our representatives going to call out this nonsense and when are the whole of the American Electorate going to start voting differently??????!!!!!!!!! MAGA MAGA MAGA
What an accurate account of this senator, trying to divide we the people. Voting citizens need to know, socialism just does not work for any, but the ones that are currently in power when this mode of governing takes over. Thanks Ms. Sisk, great work
DEMOCRATS HAVE NO SOLUTION TO ANY PROBLEMS BUT TO TAX MORE . THEY MAKE PROBLEMS , WITH NO IDEA WHAT IT WOULD ENTAIL TO FIX . THEY LEAVE A TRAIL OF MESSES IN EVERY STATE THEY GOVERN .. THE CLUELESS BUY INTO THEIR PROPAGANDA , CAUSE THEY WANT FREE STUFF . THE MASSES GET DUMBER ALL THE TIME .
This kind of greed will come and wipe out retirement accounts! There’s trillions in 401Ks and IRAs from years of hard working folks saving for retirement! All these communists want to do is steal and control! Vote these communists out!
Sanders, a full-blown America-hating Socialist, is a miserably unhappy, ignorantly arrogant, extremely corrupt, scheming liar. He is consumed in anger, obsessed with rich people (EXCEPT HIMSELF) and hasn’t worked an honest day in his life to earn his millions. His wife is also a millionaire, but that’s perfectly fine with ole Burnie. It’s all the other oligarchs that he despises and demands that THEY, those despicable wealthy oligarchs, be taxed into oblivion.
Burnie Sanders gives a NEW DEFINITION TO THE WORD HYPOCRITE.
Does Sanders ever realize how horrid he sounds? He’s one of the biggest Mr. Bluster mouths in the Democrat Party (I know — he’s not really a Democrat) and he sounds off against his own economic class while continuing to own 3 houses and live a good life of private planes and the kowtowing he gets although he’s never even had a real job. What/who will ever make this guy retire and shut up? He’s been a hypocrite and a communist sympathizer his entire adult life yet Vermont continues to pay his salary. He is a self-hating Jew who votes against his own people every opportunity. Voters are truly stupid, aren’t they?!
Isn’t wild eyed Bernie the one who stole enough money from the Federal Government (us) to make himself a millionaire???????
Remember when Bernie used to say this about millionaires also? Now he is a millionaire he doesn’t mention it. Funny right?
I’m sure Bernie being the upstanding American he is, will take the first step and show all that he practices what he preaches. Yea right, I’m not giving up my wealth ! F-off Bernie.
and this is how dems. socialist plan works. if the dems are in control again they will not abide by ANY laws as before.
your vote against dems is a vote against socialism,thats comunisum.
We already have a wealth tax – the taxes paid on our homes and real estate. The State revalues it every year or so, and we are taxed on unrealized values. In my money-hungry State of Washington the seller even gets to pay sales tax when you sell it. Not the actual realized profit if any, tax on the entire purchase price. Bernie’s bunch has just figured out another way to reach into our pockets because we all know the taxes get passed down to everyone.
Sanders is NOT a socialist, he’s a COMMUNIST. His tactic is straight out of China Mao Zedong. He is inciting the have nots into attacking their “better off” neighbors by stoking their envy and appealing to their greed.
Bernie Sanders only makes war on everyone else’s wealth but not his own, as a champagne Marxist he owns multiple homes, his bank account is flush with millions from Big Pharma, and as any socialist/fascist/communist to him the ends justify the means. In the end that means crumbs for the “masses,” opulent cakes on end for him, twinkies for his Twinky followers and just like a Twinky he, and them are full of a soft substance only in their case I doubt it’s sweet, and the color is brown.
Washington has already approved a millionaire tax. This is against the Washington Constitution which forbids income taxes and it will only drive away millionaire.
If taxing the rich is so important, why hasn’t Bernie voluntarily sent his wealth to the IRS? Come on Bernie! Lead by example!
The reality is that wealth brings power. And this “wealth tax” is a means thru which the Democrats (socialists, communists) will strip power from the people they cannot control. Trump is the prime example of this strategy. The democrats have been trying to strip Trump’s wealth so he can no longer fight back.
it is time for the voters to get rid of people that ONLY know how to spend their money
UNWISELY!
Bernie is a millionaire socialist that has fed off of the American people most of his life. He has absolutely no business lecturing anybody on being rich. He has this good for me but not for thee attitude that most democrats share.
As important as this issue is, and as accurate as this article is, there are two extremely important issues that need to be dealt with very near term. The conflict in Iran must end, and the Safe Act must pass. IRA’s and 401k’s are deteriorating and oil is causing prices everywhere to rise That is what everyone is talking about and stressing over. The midterms are just over 7 months away and if those two things aren’t fixed now, nothing else will matter. We need to focus on how we are going to win this. Just sayin.
I hope this man with “forked tongue” about wealth is including his own accumulation of WEALTH in the summary when he is always pointing the finger at the other guy! What a phony, big-mouth Democrab of the lowest kind!
Like Bernie, the supposed policy of socialism doesn’t work.
Ask Bernie Sanders what the media covered up about his at the college she worked for! The Democratic Party and all their allies have been stealing the taxpayers money for years, they are allowing illegal immigrates (invaders) to murder law biding America citizens!
They will answer to God for their crimes and sins against humanity and the American people of this great country! God will punish them all and it will happen soon!
It amazes me that Vermont continually votes this man back to Congress. Hmm just thought — maybe it’s to get him out of their state?