We need a tax on unproductive wealth.
In effect we have representation without taxation!
Since the beginnings of the 2oth century, no industry has expanded as rapidly as the tax avoidance industry. Today’s large corporations accumulate wealth while often paying no tax on their incomes. Foundations and other tax gimmicks give the same power to wealthy individuals. For both groups wealth is a lot more powerful than income, it is their wealth that makes Citizens United scary, in effect we have representation without taxation!
Corporate cash holdings and low-interest holdings do nothing to foster productivity. If Apple does not have any way to invest its billions with the help of wealth management companies then it needs to disperse them to its shareholders. If Paul Allen has nothing better to do than buy 400 ft yachts (built outside the US), he ought to pay taxes!
The country could benefit much if the rich companies invested in better transport or communication infrastructures. This would benefit their companies in the long run as well! If Amazon helps rebuild our degrading highways that would mean better delivery times for their customers. There’s no reason for them to take their money and let it sit idle.
The idea that people will flee a place with a wealth tax is true … if you are a tiny place like Norway. BUT the folks who made that choice do not make their money of the tiny Norwegian, uber wealthy population.
Here in Seattle we have the largest community of uber billionaires. Why do they live here? Many of these say they WANT to pay real taxes while their incomes are arranged to not pay taxes.
Boeing moved to Chicago. Why? In part it was to make sure we could not tax their home office. Would the lazy companies move to Russia if the US had a wealth tax?