Study Shows $2 Trillion Revenue for 172 Countries Using Spain's Wealth Tax Mode

 

https://19-pacheco-torgal-19.blogspot.com/2024/02/utrecht-university-10-million-euro.html

Continuing from the previous post about the €10 million ethical wealth limit proposed by a Utrecht University Ethics professor, a recent Tax Justice Network study suggests countries could generate nearly $2 trillion annually by adopting a wealth tax like Spain's, targeting the wealthiest 0.5%. https://taxjustice.net/press/countries-can-raise-2-trillion-by-copying-spains-wealth-tax-study-finds/

The study, by Palanski (Carlos University, Prague) and Schultz (PhD, University of Mannheim), extends Spain's model to 172 countries. In Spain, fortunes up to €3 million are exempt from the Solidarity Tax on Large Fortunes. Wealth exceeding this amount is taxed at 1.7% up to €5.3 million, 2.1% between €5.3 million and €10.6 million, and 3.5% on anything above €10.6 million. 

The study also shows that previous tax reforms on the super-rich led to minimal relocation, with only 0.01% of wealthy households in Norway, Sweden, and Denmark moving abroad. The study’s estimates of potential revenue from wealth taxes are conservative, assuming the highest possible migration rate of 3.2%.

Personally, I believe that all people should be taught from a very young age that work is "sacred" and should be minimally taxed. Lower taxes on labor can boost creativity and innovation, while excessive taxes can discourage effort and harm social well-being. In contrast, wealth accumulated through speculative investments, inheritances, or other less honorable means has far less value and should face higher taxation.

Declaration of competing interests - I have stated before, and I reaffirm now, that what the super-rich deserve is not merely taxes comparable to those paid by ordinary working people, but severe prison sentences for carbon manslaughter. https://19-pacheco-torgal-19.blogspot.com/2024/03/the-noxious-individuals-in-our-midst.html