Warren Buffett Endorses Baldwin’s “Buffett Rule” Bill
In early February, Congresswoman Tammy Baldwin (D-WI) in the House and Senator Sheldon Whitehouse (D-RI) in the Senate introduced the Paying a Fair Share Act, also known as “the Buffett Rule,” to help level the playing field between middle class taxpayers and millionaires and billionaires. The “Buffett Rule” is so-named because billionaire Warren Buffett has decried the fact that his secretary pays a higher tax rate than he.
Today, Warren Buffett endorsed that legislation. In a letter to Senator Whitehouse, Buffett wrote, “I’m delighted to be identified as a supporter (of the Paying a Fair Share Act). I have no problem endorsing any large step in the direction of greater fairness in the tax code.”
“I’m proud to be working with Senator Whitehouse on legislation that will help level the playing field between middle class families and the wealthiest Americans,” said Congresswoman Baldwin. “For too long, millionaires and billionaires have avoided paying their fair share in taxes. Warren Buffett’s endorsement of the Paying a Fair Share Act underscores its value to our economy and to working families who haven’t gotten a fair deal,” Baldwin said.
The Paying a Fair Share Act would apply only to the 0.1% of taxpayers with income greater than $1 million (including capital gains and dividends) and ensure that the highest-earning Americans pay at least a 30% effective tax rate. The bill preserves the incentive for charitable giving.
The additional revenue generated by asking millionaires and billionaires to pay their fair share is expected to reduce the deficit by tens of billions of dollars.