Vice President Kamala Harris has endorsed President Joe Biden’s proposal for a 44.6% capital gains tax, the highest rate in history. The plan also suggests imposing a 25% tax on unrealized gains for individuals with wealth exceeding $100 million.
During the 2024 Democratic National Convention in Chicago, where Harris spoke alongside President Biden, her campaign expressed support for this tax initiative. Beyond supporting Biden’s budget proposals, Harris has advocated for additional tax reforms, including exemptions for tipped workers, a $6,000 tax credit for parents of newborns, and an extension of the child tax credit beyond 2025.
Additionally, Harris proposes increasing the corporate tax rate from 21% to 28%, a significant rise from the rate established by Donald Trump’s 2017 Tax Cuts and Jobs Act, which expires after 2025.
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James Singer, a spokesperson for the Harris campaign, contrasted her fiscal strategies with Donald Trump’s, criticizing Trump’s policies for potentially increasing the deficit and taxes on the middle class while risking a recession. Singer described Harris’s plan as a responsible method to enhance the financial well-being of working people and ensure that billionaires and large corporations contribute their fair share.
Despite this support, the likelihood of passing these tax proposals remains low if Harris is elected President, given the anticipated divisions within Congress, even among Democrats.