Democrats on the Ways and Means Committee have drafted a proposal that would hit the American public with an additional $2.9 trillion over 10 years in tax revenue. Here are some of the increases sought by the massive proposal:
Increase the top individual rate to 39.6%. This marginal rate applies to married individuals filing jointly with taxable income over $450,000, to heads of households with taxable income over $425,000, to unmarried individuals with taxable income over $400,000.
Increase the top corporate tax rate to 26.5% . Increase the top capital gains rate 20% to 25%.
Expand the net investment income tax to cover net income derived in the ordinary course of a trade or business for taxpayers with greater than $400,000 in taxable income (single filer) or $500,000 (joint filer).
Increase the holding period for which a taxpayer must qualify for capital gains treatment from 3 to 5 years.
Increase the rate of tax on tobacco products.
Reduce the deduction on Foreign-Derived Intangible Income from