summary
Introduced
04/01/2025
04/01/2025
In Committee
04/01/2025
04/01/2025
Crossed Over
Passed
Dead
Introduced Session
119th Congress
Bill Summary
A BILL To ensure high-income earners pay a fair share of Federal taxes.
AI Summary
This bill introduces a new "Fair Share Tax" targeting high-income taxpayers, specifically individuals with an adjusted gross income (AGI) over $1 million (or $500,000 for married individuals filing separately) in a taxable year. The tax would be an additional levy calculated as 30% of the taxpayer's AGI above a modified charitable contribution deduction, subject to a phased-in approach that ensures the tax doesn't exceed a certain threshold. The calculation involves complex provisions that compare the new tax against existing tax liabilities, including regular tax, alternative minimum tax, and payroll taxes. The bill provides for annual inflation adjustments to the income threshold and specifies that this additional tax would not be considered when calculating other tax credits. The legislation is designed to ensure that high-income earners pay what the bill's sponsors consider a "fair share" of federal taxes, with the goal of generating additional revenue and potentially encouraging broader tax system reforms. The bill would take effect for taxable years beginning after December 31, 2024, and reflects a congressional sentiment that the current tax system needs adjustment to address perceived inequities in taxation for wealthy individuals.
Committee Categories
Budget and Finance
Sponsors (3)
Last Action
Referred to the House Committee on Ways and Means. (on 04/01/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.congress.gov/bill/119th-congress/house-bill/2534/all-info |
| BillText | https://www.congress.gov/119/bills/hr2534/BILLS-119hr2534ih.pdf |
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