Democratic presidential candidate Hillary Clinton is expected to propose a capital gains tax increase today, likely to focus on short-term capital gains on investments. The idea is to encourage long-term investment of the sort that creates economic activity, not just reward the ultrawealthy.
The Patriotic Millionaires, a group of wealthy people who believe economic inequality in the U.S. is both “dangerous and immoral,” has already prepared a news release to laud the idea, though the group appears to think Clinton might not go far enough. Check out their film clip.
UPDATE: Here’s the Clinton plan, with a doubling of the rate for short-term profits but a six-year sliding scale reduction for profits of investments held for a longer term.