This bill enacts new tax brackets for the rich and super-rich. It would also tax capital gains and dividend income as ordinary income for those taxpayers with income over $1 million.
The new brackets for unmarried individuals, married couples, and heads of households would be:
- $1-10 million: 45 percent
- $10-20 million: 46 percent
- $20-100 million: 47 percent
- $100 million to $1 billion: 48 percent
- $1 billion and over: 49 percent
For married couples who file their taxes separately, the thresholds at which these tax brackets would take effect would be cut in half. So for example, income over $500,000 for a spouse would be taxed at 45 percent, over $5 million at 46 percent, and so forth.