No One Pays Less Tax Than Billionaires Renowned Economist Zucman Calls for a Global Wealth Tax
3 minute readPublished: Friday, August 23, 2024 at 9:44 am
Billionaires' Tax Avoidance: Economist Calls for Global Wealth Tax
Vienna, Austria - A new report highlights a concerning trend: the wealthiest individuals globally often pay the least in taxes. Renowned economist Gabriel Zucman, in an interview, sheds light on this issue and proposes a solution: a global wealth tax.
Zucman argues that tax evasion by multinational corporations and the super-rich exacerbates income inequality. When the wealthy avoid taxes, the burden shifts to the rest of the population, leading to higher taxes on income and consumption, and potentially hindering funding for essential public services like education, healthcare, and infrastructure.
His proposed solution involves a global wealth tax, specifically targeting billionaires. This would require individuals with over 100 million euros in wealth to pay at least 2% of their assets annually. This is similar to the idea of a minimum tax for multinational firms. Zucman emphasizes that this is not a radical idea, but a way to ensure the wealthiest contribute their fair share.
Zucman suggests that individual countries, like Austria, can take action even without global consensus. He proposes increasing the minimum tax on multinational firms beyond the current 15% and implementing a wealth tax.
The proposed global wealth tax, detailed in the Global Tax Evasion Report and currently under discussion at the G20, aims to ensure billionaires pay at least 2% of their wealth annually in income tax. This would help to level the playing field and provide more resources for public services.
BNN's Perspective: While the issue of tax avoidance by the wealthy is a valid concern, a global wealth tax presents complex challenges. Implementation and enforcement would be difficult, and could potentially lead to capital flight. However, the principle of fair taxation and ensuring everyone contributes their share to society is essential. A balanced approach, combining global cooperation with national initiatives, may be the most effective path forward.
Keywords: tax evasion, wealth tax, global wealth tax, Gabriel Zucman, income inequality, multinational corporations, super-rich, tax avoidance, Austria, G20, minimum tax, public services, economic growth, billionaires, fair taxation.