How Will Bernie Pay for It All? Tax Hikes, Lawsuits, & Military Cuts
Written by Luis Miguel
In a fact sheet released by Vermont Senator Bernie Sanders Monday night, the Democratic presidential frontrunner outlined a number of ways he intends to pay for his vast array of government programs, including by cutting military spending, creating new taxes on the wealthy, and filing lawsuits against corporations.
But the plan revealed that many of his proposed funding solutions are based on speculation and would depend on best-case scenarios in order to bring in the desired amount of revenue.
Sanders’ release of the plan comes as he faces criticism from Republicans and some Democrats that his plans are economically unfeasible.
In a 60 Minutes interview, the self-proclaimed Democratic Socialist told Anderson Cooper that he can’t “rattle off to you every nickel and every dime” of what his policies would cost.
Sanders published his “How Does Bernie Pay for His Major Plans” on his website mere minutes after promising to do so during a CNN town hall.
The document details expected costs for such hallmarks of Sanders’ campaign as College for All, Housing for All, Universal Childcare/Pre-K, Medicare for All, and the Green New Deal — then explains how the 78-year-old’s administration would go about obtaining the money.
For example, Sanders’ plan states that College for All would be paid for through a “modest tax on Wall Street speculation … [that] will raise an estimated $2.4 trillion over ten years,” ostensibly enough to make all “public colleges, universities and trade schools tuition-free … and cancel all student debt over the next decade.”
Specifically, Sanders would levy a “0.5 percent tax on stock trades — 50 cents on every $100 of stock — a 0.1 percent fee on bond trades, and a 0.005 percent fee on derivative trades.”
In the sphere of housing, a Sanders presidency would ask for $2.5 trillion to make a home available for every American — then pay for it by means of “a wealth tax on the top one-tenth of one percent — those who have a net worth of at least $32 million.”
Similarly, Sanders wants to offer “universal childcare and pre-school to every family in America” by placing a wealth tax on the “top 0.1 percent” that would target individuals’ net worth, rather than simply their income.
To accomplish this goal, Sanders would establish a “national wealth registry and significant additional third party reporting requirements,” strengthen IRS funding, and “include enhancements to the international tax enforcement.”
The plan calls on the IRS “to perform an audit of 30 percent of wealth tax returns for those in the 1 percent bracket and a 100 percent audit rate for all billionaires” and also include a “40 percent exit tax on the net value of all assets under $1 billion and 60 percent over $1 billion for all wealthy individuals seeking to expatriate to avoid the tax.”
A total of $81 billion in overdue medical debt would be wiped out by a new “income inequality tax on large corporations that pay CEOs at least 50 times more than average workers,” Sanders’ plan reads.
Some estimates put the cost of Sanders’ Medicare of All proposal at more than $32 trillion. He hopes to keep his program afloat by “creating a 4 percent income-based premium paid by employees, exempting the first $29,000 in income for a family of four and instituting a 7.5 percent “income-based premium paid by employers, exempting the first $1 million in payroll to protect small businesses.”
In addition, Sanders would scrap “health tax expenditures, which would no longer be needed under Medicare for All.”
The presidential candidate projected that he will create an additional $2.3 trillion in “new income tax revenue” by creating “20 million new jobs” via the Green New Deal.
Sanders would also free up funding for his programs by “reducing defense spending by $1.215 trillion by scaling back military operations on protecting the global oil supply.”
One ambitious element of the democratic socialist’s money-raising efforts involves suing the fossil-fuel industry. Sanders’ plan states he will raise “$3.085 trillion by making the fossil fuel industry pay for their pollution, through litigation, fees, and taxes, and eliminating federal fossil fuel subsidies.”
It is uncertain how reliable a budget plan based on lawsuits will be.
Making the case for addressing climate change, Sanders’ plan stated, “If we do not act, the U.S. will lose $34.5 trillion by the end of the century in economic productivity,” perhaps referring to claims by climate-change activists that climate shifts will negatively affect the economy.
Luis Miguel is a writer whose journalistic endeavors shed light on the Deep State, the immigration crisis, and the enemies of freedom. Follow his exploits on Facebook, Twitter, Bitchute, and at luisantoniomiguel.com.
Courtesy of The New American