SB 110-25: Federal Budget FY2023

[WD]

Offering an amendment. I originally introduced this as a standalone bill, but I think it’s best to have this in the budget. This is based off a RL proposal which would place a 60% tax on the wealth gains of those with more than $1 billion in net assets during the pandemic. Here is a spreadsheet displaying the calculations for revenue generated by this tax. Now, as you will notice, it only has date for wealth gains up to August 5, 2020; therefore in the interest of simplicity and not further delaying the budget process I have limited the scope of the tax to only target wealth gains from March 2020 to August 2020. In addition, I have increased the threshold for the tax to $10 billion in order to minimize overlap with the already existing wealth tax as much as possible. Doing this results in $233.61 Billion in revenue, leaving us with a surplus of $123.15B.

PANDEMIC TAX ACT

TITLE I—PANDEMIC WEALTH TAX

Section 1. IMPOSITION OF PANDEMIC WEALTH TAX.

(a) In General.—The Internal Revenue Code of 1986 is amended by inserting after subtitle B the following new subtitle:

“Subtitle B–1—Pandemic Wealth Tax
“CHAPTER 18—DETERMINATION OF WEALTH TAX

“Sec. 2901. Imposition of tax.
“Sec. 2902. Net value of assets.
“Sec. 2903. Special rules.


“SEC. 2901. IMPOSITION OF TAX.
“(a) In General.—In the case of any applicable individual, there is hereby imposed a tax of 60 percent of the excess (if any) of—

“(1) the net value of assets of the applicable individual on August 5th, 2020, over

“(2) the greater of—

“(A) the net value of assets of the applicable individual on March 18, 2020, or

“(B) $10,000,000,000.

“(b) Applicable Individual.—For purposes of this chapter, the term ‘applicable individual’ means any individual whose assets have a net value on August 5th, 2020, of more than $10,000,000,000.

“SEC. 2902. NET VALUE OF ASSETS.

“(a) In General.—The net value of assets held by an applicable individual as of any day shall be the excess of—

“(1) the value of all property of the applicable individual, real or personal, tangible or intangible, wherever situated, on such day, over

“(2) the amount of any debt owed by the applicable individual on such day.

“(b) Inclusion Of Certain Gifts.—For purposes of this subtitle, any property transferred by an applicable individual during the period described in section 2901(a) to an individual who is a member of the family of the applicable individual (as determined under section 267(c)(4)) and has not attained the age of 18 shall be treated as property held by the taxpayer for any date before such individual attains the age of 18.

“(c) Establishment Of Valuation Rules.— There shall be established rules and methods for determining the value of any asset for purposes of this subtitle.

“(2) GENERAL RULES.—Except as otherwise provided in this paragraph, the rules and methods established under paragraph (1) may be similar to the rules of part III of subchapter A of chapter 11 (other than the rules of sections 2031(c), 2032A, 2035, and 2044).

“SEC. 2903. SPECIAL RULES.

“(a) Married Individuals.—There shall be by regulations established rules for the application of this subtitle to married individuals.

“(b) Deceased Individuals.—In the case of any individual who dies during the period described in section 2901(a), section 2901(a) shall be applied by substituting the date of the individual's death for ‘December 31, 2020’.

“(c) Anti-Abuse Rules.—There shall be proscribed such rules as necessary to prevent the avoidance of the purposes of this section, including through the use of trusts.”.

(b) No Deduction From Income Taxes.—Section 275 is amended by inserting after paragraph (6) the following new paragraph:

“(7) Taxes imposed by chapter 18.”.

TITLE II—REVENUE GENERATED

The revenue generated by this legislation is $233,610,000,000

(And obviously, my intention is to just have “Pandemic Wealth Tax: $233.61 Billion” placed under Section 1: Revenues, not have the whole text of this put in).

I’m interested in hearing feedback from my colleagues.

[WD]

Offering an amendment. I originally introduced this as a standalone bill, but I think it’s best to have this in the budget. This is based off a RL proposal which would place a 60% tax on the wealth gains of those with more than $1 billion in net assets during the pandemic. Here is a spreadsheet displaying the calculations for revenue generated by this tax. Now, as you will notice, it only has date for wealth gains up to August 5, 2020; therefore in the interest of simplicity and not further delaying the budget process I have limited the scope of the tax to only target wealth gains from March 2020 to August 2020. In addition, I have increased the threshold for the tax to $10 billion in order to minimize overlap with the already existing wealth tax as much as possible. Doing this results in $233.61 Billion in revenue, leaving us with a surplus of $123.15B.

PANDEMIC TAX ACT

TITLE I—PANDEMIC WEALTH TAX

Section 1. IMPOSITION OF PANDEMIC WEALTH TAX.

(a) In General.—The Internal Revenue Code of 1986 is amended by inserting after subtitle B the following new subtitle:

“Subtitle B–1—Pandemic Wealth Tax
“CHAPTER 18—DETERMINATION OF WEALTH TAX

“Sec. 2901. Imposition of tax.
“Sec. 2902. Net value of assets.
“Sec. 2903. Special rules.


“SEC. 2901. IMPOSITION OF TAX.
“(a) In General.—In the case of any applicable individual, there is hereby imposed a tax of 60 percent of the excess (if any) of—

“(1) the net value of assets of the applicable individual on August 5th, 2020, over

“(2) the greater of—

“(A) the net value of assets of the applicable individual on March 18, 2020, or

“(B) $10,000,000,000.

“(b) Applicable Individual.—For purposes of this chapter, the term ‘applicable individual’ means any individual whose assets have a net value on August 5th, 2020, of more than $10,000,000,000.

“SEC. 2902. NET VALUE OF ASSETS.

“(a) In General.—The net value of assets held by an applicable individual as of any day shall be the excess of—

“(1) the value of all property of the applicable individual, real or personal, tangible or intangible, wherever situated, on such day, over

“(2) the amount of any debt owed by the applicable individual on such day.

“(b) Inclusion Of Certain Gifts.—For purposes of this subtitle, any property transferred by an applicable individual during the period described in section 2901(a) to an individual who is a member of the family of the applicable individual (as determined under section 267(c)(4)) and has not attained the age of 18 shall be treated as property held by the taxpayer for any date before such individual attains the age of 18.

“(c) Establishment Of Valuation Rules.— There shall be established rules and methods for determining the value of any asset for purposes of this subtitle.

“(2) GENERAL RULES.—Except as otherwise provided in this paragraph, the rules and methods established under paragraph (1) may be similar to the rules of part III of subchapter A of chapter 11 (other than the rules of sections 2031(c), 2032A, 2035, and 2044).

“SEC. 2903. SPECIAL RULES.

“(a) Married Individuals.—There shall be by regulations established rules for the application of this subtitle to married individuals.

“(b) Deceased Individuals.—In the case of any individual who dies during the period described in section 2901(a), section 2901(a) shall be applied by substituting the date of the individual's death for ‘December 31, 2020’.

“(c) Anti-Abuse Rules.—There shall be proscribed such rules as necessary to prevent the avoidance of the purposes of this section, including through the use of trusts.”.

(b) No Deduction From Income Taxes.—Section 275 is amended by inserting after paragraph (6) the following new paragraph:

“(7) Taxes imposed by chapter 18.”.

TITLE II—REVENUE GENERATED

The revenue generated by this legislation is $233,610,000,000

(And obviously, my intention is to just have “Pandemic Wealth Tax: $233.61 Billion” placed under Section 1: Revenues, not have the whole text of this put in).

I’m interested in hearing feedback from my colleagues.

24 hours to object to the amendment

[WD]

Amendment adopted.

[WD]

Current text, we’re now at a surplus of $126 billion!

FEDERAL BUDGET: FY2023

Section 1: Revenues

Income Taxes:  $ 2,117,044,276,550.00  ($ 2,117.04 billion)
 by tax bracket (all revenue from each taxpayer is counted next to the bracket where their total income falls, including that from the parts of their income subject to lower rates)
 0-13K          10%    $ 12,700,800,000.00 ($ 12.70 billion)
 13K-50k      15%    $ 297,239,775,000.00 ($ 297.24 billion)
 50K-130K   25%    $ 812,899,937,500.00 ($ 812.90 billion)
 130K-210K  31%  $452,282,000,000.00 ($ 452.28 Billion)    
 210K-413K  38%  $317,099,000,000.00 ($ 317.10 Billion)
 413K-441K  45%   $ 68,463,281,250.00 ($ 68.46 billion)
 441K+       45%   $ 156,359,482,800.00 ($ 156.36 billion)

Corporate Taxes: 25% – $ 440,476,190,000.00 ($ 440.48 billion)

Global Minimum Tax: $ 34.68 billion

Payroll Taxes – $ 1,325,575,422,184.86 ($ 1,325.58 billion)
 breakdown
 OASDI: 12.4% (6.2% on employees, 6.2% on employers) – $ 912,456,391,044.15 ($ 912.46 billion)
 RRPH: 5.0% (2.5% on employees, 2.5% on employers) – $ 367,925,964,130.71 ($ 367.93 billion)
 FUTA: 6.0% on first $7,000 – $ 45,193,067,010.00 ($ 45.19 billion)

Estate Tax (45% of amount above $ 3.5 million, 50% above $ 10 million, 55% above $ 50 million) – $ 34,500,000,000.00 ($ 34.50 billion)
$16.00 billion.... Amendment by the Responsible Estate Tax Act
Total: $50.50 billion

New 2020 Wealth Tax
$288.00 billion $1,578.898 billion

Healthcare Taxes:
 40% Cadillac Tax – $ 0.00 billion
 3.8% on Net Investment Income – $ 12.80 billion $ 27.50 billion

Excise Taxes/customs duties:
Carbon Tax (2018) – $ 16.35 billion*
Gasoline Tax (2018) – $ 50.00 billion
Tobacco and Alcohol Taxes (2018) – $ 24.20 billion
Excise taxes on health insurance providers, pharmaceuticals, and medical devices (2018) – $ 9.90 billion
Revenue Enhancement Act – $ 63.19 billion
LIFO Repeal Offset – $ 13.00 billion
Buffett Rule Act of 2019: $46.70 billion

Other Revenue: $ 30.21 billion

Additional tax credits: $ -39.40 billion

New stuff:
Capital Gains Inflation Deduction: $ -15.00 billion
Indexing CTC to Inflation Act: $ -1.90 billion
Financial Transaction Tax – 
Pandemic Wealth Tax: $233.61 billion

TOTAL Revenue: $ 6,005,533,888,734.86 ($ 6005.53 billion)

Section 2: Spending

Military Spending ($489.098 Billion)              
$123.58 Billion... Military personnel              
$184.51 Billion... Operation and maintenance              
$106.01 Billion... Procurement              
$61.52 Billion ... Research, development, test and evaluation              
$8.47 Billion..... Military Construction, Family Housing and Other              
$12.148 Billion.... Atomic Energy Defense Activities              
$8.11 Billion..... Defense Related activities            
$0.00 Billion..... Fiscal Responsibility in our Military Act
$-15.25 Billion… F-35 Procurement Halt
                            
Military Retirement ($144.23 Billion)                            
$75.48 Billion.... Income security for veterans              
$14.15 Billion.... Veterans education, training, and rehabilitation                            
$54.22 Billion.... Hospital and medical care for veterans and retired military (added in under Healthcare below)                
$0.38 Billion..... Housing and other veterans benefits and services              
                            
International affairs ($32.0331.93 Billion)              
$18.88 Billion ... International development and humanitarian assistance              
$8.55 Billion..... International military aid              
$11.99 Billion.... Conduct of foreign affairs              
$1.30 Billion..... Foreign information and exchange activities  
$-8.79 Billion.... International Financial Programs
$0.1 Billion... Paflagonia Support Act (one-time)
              
General science, space, and technology ($185.18339.18 Billion)              
$11.26 Billion.... National Science Foundation programs              
$4.55 Billion..... Department of Energy general science programs              
$169.37 Billion.... Space flight, research, and supporting activities
$154.00 Billion.... Space Exploration, Development, and Settlement Act
-$154.00 Billion.... Delay on the implementation of the Space Exploration, Development, and Settlement Act
              
Non-Defense Energy Spending ($47.393 Billion)              
$3.15 Billion..... Energy supply              
$1.11 Billion..... Energy conservation and preparedness              
$0.64 Billion..... Energy information, preparedness, & regulation  
$10.00 Billion.... Energy Rebate and Subsidy Act    
$32.50 Billion.... Gas Tax Act    
$-0.007 Billion…. Eliminated Ethanol Blending Rules
            
Natural resources and environment ($34.58 Billion)              
$4.89 Billion..... Water resources              
$11.54 Billion.... Conservation and land management          
$4.42 Billion..... Recreational & Park resources              
$7.18 Billion..... Pollution control and abatement                                
$6.55 Billion..... Other natural resources  
              
Agriculture ($19.68219.532 Billion)              
$16.01 Billion.... Farm income stabilization & crop insurance              
$4.30 Billion..... Agricultural research and services
$0.03 Billion..... No More Going Hungry in Atlasia Act
$-0.8 Billion…. Eliminated marketing programs
$-0.008 Billion…. Eliminated Catfish Inspection Office
$0.15 Billion... Farmer Stabilization Act of 2021 (one-time)
              
Commerce and Housing Loan Programs ($0.790.59 Billion)              
$-22.33 Billion... Federal Housing Loan Programs              
$2.69 Billion..... Postal service              
$2.50 Billion..... Deposit insurance              
$10.20 Billion.... Universal service fund              
$7.70 Billion..... Other advancement of commerce
$-0.17 Billion…. Eliminated Capital Construction Grants    
$0.20 Billion… Supporting Atlasian Entrepreneurs Act (one-time)
              
Transportation ($333.4135184.9135 Billion)                
$67.40 Billion.... Ground Transportation            
$16.20 Billion.... Air Transportation              
$8.4015 Billion..... Water transportation              
$0.38 Billion..... Other transportation
$241 Billion... High Speed Rail Act (one-time)
$0.032 Billion... Emergency funding appropriated from the New Great Society Act to help states and regions improve the commercial driving license process and bolster the number of truckers to alleviate the supply chain crisis.
$92.5 Billion…. New Great Society Act (highway, rail, and airport spending)
        
Community and regional development ($463.3651332.34 Billion)              
$3.78 Billion….… Community development              
$2.19 Billion….… Area and regional development              
$4.02 Billion….… Disaster relief and insurance              
$2.23 Billion….… Homeless Shelter Emergency Housing              
$4.32 Billion……. Small Business Association
$0.77 Billion……. Flint Reinvestment Act
$0.08 Billion……. Refugee act          
$-11.025 Billion.. We Should Help Workers Act
$2.00 Billion……. Buy-Atlasian Contracting Rules
$10.00 Billion….. Appalachia Reinvestment Act
$15.00 Billion….. Reservation Reinvestment Act (phases out after FY2023)
$390.00 Billion.. Urban Investment and Redevelopment Act (one-time)
$16.00 Billion….. 21st Century Civilian Conservation Corps Act (one-time)
$30 Billion………. Let's Get Wired Act amended by New Great Society Act
$0.05 Billion……. Combating Asian Hate Crimes Act (one-time)
$1.375 Billion….. Southwestern Water Conservation Act (one-time)
$0.05 Billion….. HHH Helping Hand to the Homeless Act (one-time)       
$7.5 Billion….. National Hostel Program Act
$1260.00 Billion…. New Great Society CUBI

Education ($73.7525159.25 Billion)              
$39.03 Billion.... Elementary, Secondary & Vocational education              
$31.475 Billion.... Higher education              
$3.26 Billion..... Research and general education            
$0.00 Billion..... Orlando Act
$-0.0125 Billion…. Cap on certain student loans
$55.00 Billion….. School Improvement and Jobs Act (one-time)
$20.00 Billion….. Creating Opportunities for More Ed Tech Act
$10.50 Billion….. School Facilities Improvement Act (one-time)
              
Training, labor and unemployment ($19.536 Billion)              
$7.58 Billion..... Training and employment              
$1.77 Billion..... Labor law, statistics, and other administration'
$9.2 Billion...... Public Service Act          
$-0.014 Billion…. Eliminated Employee Drug Tests
$1.00 Billion.... Agency of Cooperative Enterprises (see Act to encourage the growth of worker owned enterprises)
              
Atlasian Healthcare ($1268.141261.14 Billion)              
$423.77 Billion... Senior Healthcare
$44.31 Billion.... Veteran Healthcare
$12.90 Billion.... Federal employees' and retired employees' health benefits  
$425.42 Billion... Medical Services
$338.85 Billion... Sliding Scale Subsidies
$15.89 Billion.... Healthcare Subsidy Office (HSO) and AtlasCare Office (ACO) Administration
$7 Billion... Vaccine Production Act (one-time)

Non-ANH Health Spending ($67.69867.27 Billion)              
$24.25 Billion.... Disease control, public health and bioterrorism    
$0.40 Billion.... Women's Health Protection Act (goes underneath this, see https://talkelections.org/FORUM/index.php?topic=361791.msg7210558#msg7210558)     
$28.48 Billion.... Health research and training              
$4.24 Billion..... Consumer and occupational health and safety            
$10.00 Billion…. Opioid Epidemic Commission
$0.3 Billion.... Comprehensive Opioid Response Act (phases out after FY2023)
$0.025 Billion... National Silver Act (one-time)
$0.003 Billion... Reduction of Childcare Costs Act (one-time)
              
Civilian Retirement (Social Security excluded) ($138.16 Billion)              
$8.23 Billion..... Civilian retirement and disability insurance              
$129.93 Billion... Federal employee retirement and disability              
 
Social Security ($903.23 Billion)
$868.63 Billion... Social Security Outlays
$34.60 Billion.... Social Security Administration
            
Aid to Low-Income Families ($366.50 Billion)
$40.53 Billion.... Unemployment              
$39.98 Billion.... Housing assistance              
$99.44 Billion.... Food and Nutrition Assistance (Food Stamps + WIC)        
$169.01 Billion... Other aid to low-income families              
$17.54 Billion.... Social Services            
              
Administration of justice ($51.911752.29175 Billion)              
$27.157 Billion.... Federal law enforcement
$13.938 Billion.... Federal litigation and judicial activities              
$6.2687 Billion..... Federal prison system
$0.38 Billion….. Treating Incarcerated Prisoners Humanely Act (one-time)       
$0.00005 Billion….. TACMIF allocation for the above
$4.24 Billion..... Criminal justice assistance  
$0.74 Billion..... Federal Penitentiary Reform Act Provisions      
$-0.432 Billion…. General Criminal Justice Savings
              
General government administration ($4.509 Billion)              
$3.66 Billion..... Legislative functions              
$0.45 Billion..... Executive office programs              
$12.03 Billion.... IRS & other fiscal operations              
$1.567 Billion..... Other general government              
$-13.20 Billion…. Government Efficiency Act
$0.002 Billion…. Mandatory Tampons in Restrooms
              
Interest on debt ($295.40 Billion)              
$295.40 Billion... Net Interest

Section 3: Balance

BASE REVENUE: $ 6005.53 Billion
Inflation Accounting: *1.012
TOTAL REVENUE: $ 6077.60 Billion

Fixed Expenditures: $ 36.05 Billion
Variable Expenditures:  $ 5549.62325 Billion
Interest on Debt: $ 295.40 Billion
BASE EXPENDITURES: $ 5881.07 Billion
Inflation Accounting: *1.012
TOTAL EXPENDITURES: $ 5951.64 Billion
BALANCE: $125.96 Billion

Section 4: Miscellaneous regulations

1. This budget shall become enacted immediately upon passage.
2. This budget shall ordinarily remain in effect until FY2024.
3. All previous bills that modify the existing tax rates are hereby amended, so that their tax rates match those from this budget.

[WD]

The recent tax bill that was passed will need to be incorporated into the Federal Budget.

It has not been signed into law by the President yet, and personally, I think it would be best to leave it for next year’s budget.

[WD]

24 hours to object

[WD]

Objecting

[WD]

[Amendment]

Section 1: Revenues

Income Taxes: 
 0-13K 25k    10%   
13K-50k 25k-75k    15%   
50K-130K  75k-150k  25%  22.5%
 130K-210K 150k-225k  31% 28%

Creation of a Qualified Business Income Deduction:

-Lets non-corporate taxpayers to deduct up to 20% of their qualified business income up to $250,000 .

- Qualified Business Income is defined as net amount of qualified items of income, gain, deduction and loss from any qualified trade or business, including income from partnerships, S corporations, sole proprietorships, and certain trusts

Objection being raised, a vote is now open on the amendment. Please vote Aye, Nay, or Abstain. 

[WD]

Nay

[WD]

By a vote of 3-8-1-6, the amendment is rejected and debate resumes.

[WD]

24 hours to object

[WD]

Objecting to both

[WD]

Nay on both

[WD]

Both amendments fail 3-11-1-3, debate resumes

[WD]

24 hours to object to the amendment

[WD]

Amendment is adopted 

[WD]

24 hours to object to the amendment

[WD]

Objecting to the amendment

[WD]

A vote is now open. Please vote Aye, Nay, or Abstain

[WD]

Nay

[WD]

Closing in 24 hours

[WD]

By a vote of 4-5-1-8, the amendment is rejected

[WD]

By a vote of 4-5-1-8, the amendment is rejected

Aye

aye

Aye

Aye

Aye

My fault for closing votes at 1 in the morning.

Anyhow, with a tie the VP is called to cast a tie breaking vote.

[WD]

Corporate Taxes: 25%20% – $ 440,476,190,000.00 ($ 440.48 billion)

amendment

$4.300 Billion..... Agricultural research and services

Amendment

A vote is now open on the DeadPrez amendments, please vote Aye, Nay, or Abstain.

[WD]

Nay on both