Warren Buffett has publicly stated many times that he thinks the richest individuals in the United States don’t pay enough in income tax.
He consistently gives the example that he pays a smaller percentage of his overall income in tax than his secretary does.
He’s been so adamant that the Obama administration picked up the baton and ran with it, dubbing a new proposal the “Buffett Tax Rule”.
What is the Buffett Tax Rule?
So what exactly is the Buffet tax rule?
The administration’s proposal would set a floor of a 30% income tax on those with incomes over $1,000,000 in a given year. The goal is that no middle income taxpayer would pay a larger share of his or her income than someone making millions of dollars.