Harris proposed Wednesday increasing the capital gains tax to 28 percent for those with $1 million or more in income, up from its current effective level of 23.6 percent.
Harris’s target rate is well below the 44.6 percent rate proposed in a budget update from the Biden administration in July. It is also lower than the proposed increase to 39.6 percent included in the president’s most recent budget.
“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,” Harris said.
Harris fleshed out more details on her economic plans during the speech, including another proposal to increase a tax deduction for new businesses from $5,000 to $50,000, greater “access to capital,” support for “business incubators” and more federal contracts with small businesses.
Harris also mentioned administrative changes to business tax filing, “similar to how individuals can take a standard deduction.”
The Hill’s Tobias Burns has more here.
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Essential Reads
Key business and economic news with implications this week and beyond:
Goldman Sachs: Trump policies would slow down economy
Analysts at Goldman Sachs are warning of diminished economic performance if former President Trump is elected and able to implement his agenda.
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Nikki Haley joins PR firm Edelman
Former Republican presidential candidate Nikki Haley has joined global communications firm Edelman as vice chair of its international public affairs team, the company announced Wednesday.
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Job openings decreased, separations increased in July
The number of available jobs decreased in July and the number of people leaving current positions increased as the economy exhibited signs of cooling following a period of elevated interest rates.
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The Ticker
Upcoming news themes and events we’re watching:
The Labor Department is set to release the August jobs report Friday at 8:30 am E.T.
In Other News
Branch out with more stories from the day:
Salvagers abandon effort to tow burning oil tanker in Red Sea targeted by Yemen’s Houthi rebels
DUBAI, United Arab Emirates (AP) — Salvagers abandoned an effort to tow away a burning oil tanker …
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Good to Know
Business and economic news we’ve flagged from other outlets:
Biden prepared to block US Steel purchase by Nippon Steel (CNN)
S&P 500 booksback-to-back losses as Wall Street grapples with a rocky start to September (CNBC)
She made ‘very demure’ go viral. Now she wants to trademark its use (The Associated Press)
What Others are Reading
Top stories on The Hill right now:
RFK Jr. rips Harris, says president should be able to ‘put together’ sentence in English
Robert F. Kennedy Jr. slammed Vice President Harris’s candidacy Tuesday, saying she is not “a worthy president” while defending his choice to instead endorse former President Trump. Read more
Harris goes off script to address Georgia school shooting: ‘It does not have to be this way’
Vice President Harris on Wednesday went off script at a rally in New Hampshire to condemn gun violence following a shooting at a Georgia high school earlier that day. Read more
What People Think
Opinion related to business and economic issues submitted to The Hill:
Jana Carter is a news writer and editor at Pax Press Agency. She's also a tech enthusiast, an avid reader, and an artist in her free time.
She loves to write about everything from sports to art to politics—and she always strives to make her writing fun, accessible, and informative.
