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Sen. Elizabeth Warren has extended an invitation to one of her most vocal critics to debate her marquee policy, the wealth tax, on Capitol Hill.
On Monday, Warren invited billionaire Leon Cooperman to testify at a hearing for the Senate Finance Committee’s Subcommittee on Fiscal Responsibility and Economic Growth, which Warren chairs, first reported by CNBC. The hearing’s topic: “Creating Opportunity Through a Fairer Tax System.”
It’s the latest in an ongoing debate between the two. In a March CNBC segment, Cooperman criticized Warren’s Ultra-Millionaire Tax Act, which would levy additional taxes on households with net worths $50 million and over. He has also criticized Warren’s wealth tax advocacy, and wrote her a five-page letter in 2019 in response to a tweet she sent asking him to “pitch in a bit more.” Warren even incorporated Cooperman into one of her presidential campaign videos about the need for a wealth tax.
Cooperman’s perspective: The rich would hide their assets from a wealth tax
In March, Cooperman told CNBC: “If the wealth tax passes, go out and buy yourself some gold because people are going to rush to find ways of hiding their wealth.” This remark was in reference to his previous assertion that people would utilize gold as an asset for hiding their wealth.
He said that a wealth tax is “foolish,” has “no merit,” and that there are other, better ways to raise revenue, with eliminating waste as the best option.
“I don’t think it’s intelligent. I don’t think it’s legal,” he told CNBC of the wealth tax at the time.
Implementation issues — and whether the wealthy would simply dodge a wealth tax — have emerged as the two most prominent criticisms of Warren’s plan. Treasury Secretary Janet Yellen has previously cited the difficulty of implementing such a tax, although the Biden administration hasn’t explicitly ruled it out. A recent study from IRS researchers and economists found that the top 1% of Americans fail to report about 21% of their income. Over $1 trillion a year in taxes may be going uncollected, according to IRS Commissioner Charles Rettig.
Warren’s perspective: A wealth tax could help address inequality, and raise trillions
Warren campaigned on a wealth tax in the 2020 presidential campaign, and has continued to advocate for it as one measure to help address growing inequality during the pandemic. Her Ultra-Millionaire …read more
Source:: Business Insider