Harris breaks with Biden on capital gains tax; calls for top rate of 28%
Harris scales down capital gains tax proposal, compared to Biden's plan for 39.6% top rate
Kamala Harris' whole background is ‘spend, tax’: Gary Kaltbaum
Gary Kaltbaum of Kaltbaum Capital Management weighs in on Vice President Kamala Harris' economic agenda as she looks to hike capital gains tax and whether he's still wary on technology.
Democratic presidential nominee and Vice President Kamala Harris is calling for increasing the capital gains tax for high earners to 28%, a much smaller increase than the nearly 40% top rate President Biden previously proposed.
Vice President Kamala Harris speaks on stage during the final day of the Democratic National Convention at the United Center in Chicago on Aug. 22. (Justin Sullivan/Getty Images / Getty Images)
Harris revealed the plan in a speech on Wednesday in New Hampshire, telling the audience, "If you earn a million dollars a year or more, the tax rate on your long-term capital gains will be 28 percent under my plan, because we know when the government encourages investment, it leads to broad-based economic growth, and it creates jobs, which makes our economy stronger."
TRUMP VOWS TO CUT BUSINESS TAX RATE TO 15%, CREATE GOVERNMENT EFFICIENCY COMMISSION LED BY ELON MUSK
Harris' proposal for a lower top tax rate on capital gains suggests she wants to appeal to a broader base of voters, even as she sticks with most of President Biden's plans to strengthen the middle class. Harris became the Democratic nominee after Biden stepped aside on July 21.
President Biden points to Vice President Kamala Harris in the overflow room at Prince George's Community College in Largo, Maryland, on Aug. 15. (Brendan Smialowski/AFP via Getty Images / Getty Images)
In his fiscal 2025 budget, Biden had proposed raising the tax rate on long-term capital gains — the profits made from selling or trading an asset held for more than a year — to 39.6% for those earning over $1 million annually, from the current rates, which range up to 20%, depending on income.
Harris said she also plans to offer low- and no-interest loans to small businesses, cut the red tape they face and expand access to venture capital.
Kamala Harris' unrealized capital gains tax proposal has been a ‘disaster’: Kelly Jane Torrance.
New York Post elections editor Kelly Jane Torrance and Kingsview Asset Management partner Mario Veneroso compare Trump's and Harris’ economic agenda.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
Harris said she supported a minimum tax for billionaires proposed by Biden, adding, "It is not right that those who can afford it are often paying a lower tax rate than our teachers and our nurses and our firefighters."
Reuters contributed to this report.