Bill
A 3632
Bill A 3632 taxes billionaires on unrealized asset gains annually, aiming to reduce wealth inequality and fund public services like education and healthcare.
Bill Number: A 3632
Title: Establishes a billionaire mark-to-market tax
Status: Referred to Ways and Means
Introduced: January 29, 2025
Classification: Bill
Bill A 3632 aims to implement a mark-to-market tax specifically targeting billionaires. The primary intent of this legislation is to ensure that individuals with substantial wealth pay taxes based on the current market value of their assets, rather than only when those assets are sold. This approach seeks to address wealth inequality and generate additional revenue for public services.
Mark-to-Market Taxation: The bill proposes that billionaires will be taxed annually on the unrealized gains of their assets. This means that the increase in value of stocks, real estate, and other investments will be taxed as if they were sold, regardless of whether the owner has actually liquidated those assets.
Threshold for Taxation: The tax will apply to individuals whose net worth exceeds one billion dollars. This threshold is designed to focus the tax burden on the wealthiest individuals in society.
Tax Rate: While specific rates are not detailed in the current version of the bill, it is expected that the tax rate will be structured to reflect the value of the unrealized gains, potentially at a progressive rate.
Revenue Allocation: The revenue generated from this tax is intended to fund public services, including education, healthcare, and infrastructure improvements, although specific allocations may be outlined in subsequent legislative discussions.
Billionaires: The primary group affected by this legislation will be individuals with a net worth of one billion dollars or more. This group will be required to report and pay taxes on their unrealized gains.
Public Services: The broader community will benefit from the potential increase in funding for public services, which could improve access to education, healthcare, and infrastructure.
Legislative Action: As of January 29, 2025, the bill has been referred to the Ways and Means Committee for further consideration. This committee will review the bill's provisions, make recommendations, and potentially propose amendments.
Related Bills: Bill A 3632 is related to several prior-session bills (A 10414, A 5092, A 3252) that may have addressed similar issues. Additionally, it has a companion bill (S 165) in the Senate, which may facilitate discussions and negotiations between the two chambers.
Bill A 3632 represents a significant shift in tax policy aimed at addressing wealth inequality by taxing unrealized gains of billionaires. If enacted, it could have substantial implications for high-net-worth individuals and the funding of public services. The bill is currently under review by the Ways and Means Committee, and further developments are expected as the legislative process unfolds.
Compiled from official sources — confirm details with the bill’s official record.
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