Summary
A new bill called the Donald Trump Wealth Tax Act of 2026 was introduced in the U.S. House of Representatives. It would create a one-time tax of 14.25% on individuals and trusts worth more than $10 million, aiming to reduce the national debt.
Key Facts
- The bill was introduced by Democratic Representative Juan Vargas from California.
- The tax applies only once and targets net worth above $10 million.
- Primary homes and their purchase debt are not counted in net worth.
- The idea for this wealth tax was first proposed by President Trump in 1999.
- The bill is currently with the House Ways and Means Committee and has no co-sponsors yet.
- Vargas said the bill is meant to hold President Trump to his original proposal.
- The tax is expected to raise around $5.7 trillion and reduce the national debt ratio from 101% to 83% of GDP.
- The bill references warnings from leaders across politics and business about rising U.S. debt.
