WASHINGTON, D.C. – U.S. Sen. Jeff Merkley and more than 45 Democratic lawmakers on Monday reintroduced legislation to tax the wealth of the richest Americans, reviving a long-running effort to address income inequality and fund social programs. The proposal, known as the Ultra-Millionaire Tax Ac t and led by Sen. Elizabeth Warren, would impose a 2% annual tax on household net worth above $50 million, along with an additional 1% surtax on wealth exceeding $1 billion. Lawmakers said a new analysis estimates the tax would generate about $6.2 trillion in federal revenue over the next decade. Supporters say the funds could be used to expand programs such as universal child care, tuition-free community college and broader Medicare coverage, while avoiding tax increases for most U.S. households. “For too long, a handful of ultra-millionaires and billionaires have watched their fortunes soar while working families struggle to keep up with the cost of living,” Merkley said in a statement. “It’s time to restore the basic promise that everyone pays their fair share.” According to its backers, the legislation would apply to roughly 260,000 households, or about 0.15% of the U.S. population. It also includes measures aimed at limiting tax avoidance, including additional funding for the Internal Revenue Service and a proposed 40% tax on the wealth of individuals who renounce U.S. citizenship. The bill has drawn support from dozens of Democratic lawmakers in both chambers of Congress, as well as labor unions and advocacy groups. The proposal faces strong opposition from Republicans, business groups and some economists, who argue a federal wealth tax could be difficult to implement and potentially unconstitutional. Critics also say it could discourage investment, slow economic growth and prompt wealthy individuals to move assets overseas. Some past analyses by conservative-leaning organizations and tax policy experts have questioned whether projected revenues from a wealth tax would materialize, citing challenges in valuing assets and enforcing compliance. ...read more read less