Sen. Elizabeth Warren (D-Mass.) opened her 2020 campaign with a wealth tax policy proposal that was inspired by University of California-Berkeley economists Emmanuel Saez and Gabriel Zucman. The plan would tax the wealthiest Americans on their assets.

Key details

Annual 2% tax on assets above a taxpayer's first $50 million, and 3% on assets that exceed $1 billion.

The wealth tax would raise an estimated $2.75 trillion over 10 years from 75,000 families.

Warren is branding it as the "Ultra-Millionaire Tax."

To fight tax evasion, the policy would bolster the IRS budget, install a minimum audit rate for the very rich and add a 40% "exit tax" on the very rich who try to give up U.S. citizenship.

Warren has also proposed a universal child care program that would use revenues from the wealth tax to provide public and family-run centers to guarantee care from birth until schooling age.

Arguments in favor of Elizabeth Warren's wealth tax

Addresses glaring wealth inequality.

Gets to the heart of people's wealth: Assets instead of income.

Added source of government revenue for child care proposal and other programs.

Combats tax evasion.

Arguments opposed to Elizabeth Warren's wealth tax

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