WASHINGTON, D.C. – U.S. Senator Peter Welch (D-Vt.), a member of the Senate Finance Committee, recently joined Senate Finance Committee Ranking Member Ron Wyden (D-Ore.) and 19 of his Senate colleagues in reintroducing the Billionaires Income Tax Act, bicameral legislation to help ensure billionaires pay a fair share in taxes every year just like Americans who work for a living already do.  

“Ultra-billionaires should pay their fair share—it’s that simple,” said Senator Welch. “Right now, they’re allowed to abuse our tax code, often paying a lower tax rate than hardworking, everyday Americans. That’s not right. By closing loopholes in our tax code, the Billionaires Income Tax will help ensure that all taxpayers receive fair treatment and the ultra-rich pay their fair share of taxes.” 

“While people like nurses and firefighters pay taxes straight out of every paycheck, there’s a thicket of little-known tricks and accounting rules that allow billionaires to opt out of paying a fair share of tax on the income they enjoy,” said Senator Wyden. “Billionaires and Republicans are going to offer up the same set of trickle-down arguments to pretend this proposal would bring about the end of western civilization. The only time you hear billionaires claim they can’t scrounge together any cash is when somebody brings up taxes, and odds are a lot of these mega-wealthy individuals are crying poverty from their yachts and private islands. This is a carefully designed proposal that draws on accounting methods already used in the tax code and raises revenue without increasing any tax rates.”  

The Billionaires Income Tax would expand on an accounting method already used in the U.S. tax code to ensure billionaires pay a fair share. It would not increase any current-law tax rates. The proposal would apply to fewer than 1,000 taxpayers and raise more than $500 billion, which could be used to help shore up funding for vital programs like Social Security and Medicare. Only taxpayers with more than $100 million in annual income or more than $1 billion in assets for three consecutive years would be covered by the proposal. It would not affect middle income taxpayers in any way. 

The legislation is also cosponsored by Sens. Sheldon Whitehouse (D-R.I.), Elizabeth Warren (D-Mass.), Bernie Sanders (I-Vt.), Tina Smith (D-Minn.), Ben Ray Luján (D-N.M.), Angela Alsobrooks (D-Md.), Tammy Baldwin (D-Wis.), Richard Blumenthal (D-Conn.), Tammy Duckworth (D-Ill.), John Fetterman (D-Pa.), Martin Heinrich (D-N.M.), Mazie Hirono (D-Hawaii), Edward J. Markey (D-Mass.), Jeff Merkley (D-Ore.), Chris Murphy (D-Conn.), Patty Murray (D-Wash.), Jack Reed (D-R.I.), Brian Schatz (D-Hawaii), and Chris Van Hollen (D-Md.). 

U.S. Representatives Steve Cohen (D-TN-09) and Don Beyer (D-VA-08) introduced identical legislation in the House, making this the first Congress in which the Billionaires Income Tax Act is a bicameral proposal. 

The Billionaires Income Tax Act is endorsed by over 100 supporting organizations. Read and download a letter of endorsement with the full list of supporting organizations. 

Learn more about the Billionaires Income Tax Act of 2025 and read a section-by-section summary of the bill. 

Read and download the full text of the bill. 

###