Bernie Sanders wants to raise the estate tax to 77 percent for billionaires

Bernie Sanders.
(Image credit: Chip Somodevilla/Getty Images)

Sen. Bernie Sanders (I-Vt.) has announced a proposal to reform the estate tax system and drastically raise rates for billionaires.

The For the 99.8% Act, announced by Sanders Thursday, includes new brackets to tax wealth passed down when a person dies. Under the plan, there would be a 45 percent tax on estates between $3.5 million and $10 million, 50 percent on estates between $10 million and $50 million, 55 percent on estates above $50 million, and 77 percent on estates above $1 billion. Current law taxes an individual's earnings in excess of $11 million, but Sanders would lower this minimum to $3.5 million.

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As Sanders pushes for this plan, Republicans are seeking to eliminate the estate tax entirely. Sanders' proposal also comes after Sen. Elizabeth Warren (D-Mass.) unveiled her own proposal to tax the wealthiest Americans by introducing a "wealth tax," under which those with more than $50 million in assets would pay a 2 percent tax annually, and Americans with more than $1 billion would pay a 3 percent tax annually. Like Warren, Sanders looks likely to launch a presidential run but has not yet announced his decision.

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Brendan Morrow

Brendan worked as a culture writer at The Week from 2018 to 2023, covering the entertainment industry, including film reviews, television recaps, awards season, the box office, major movie franchises and Hollywood gossip. He has written about film and television for outlets including Bloody Disgusting, Showbiz Cheat Sheet, Heavy and The Celebrity Cafe.