Washington, DC—Yesterday, Rep. Tulsi Gabbard (HI-02) introduced H.Res.1267, the Pandemic Crisis Excess Profits Tax, which calls on Congress to levy a limited-time tax on the excess profits of large corporations who profited beyond their average profits over the past several years due to the COVID-19 pandemic and to direct the funds collected to support small businesses.
“Big tech corporations and big box retailers are among those who have made excessive profits during the COVID-19 pandemic, while mom and pop shops are being forced to close their doors due to government-mandated restrictions. Because of this, these large corporations will be better positioned with a competitive advantage over small businesses in a post-pandemic economy. Congress must reinstate the WWII-era excess profit tax used at that time to prevent war-time profiteering, and dedicate the funds collected to helping small businesses recover,” said Rep. Tulsi Gabbard. “Small businesses are the backbone of our economy and have borne the brunt of this crisis. We need to support our small businesses and make sure that they are able to thrive and compete.”
Background: H.Res.1267, the Pandemic Crisis Excess Profits Tax resolution calls on Congress to levy an excess profits tax on large corporations, like Amazon, Google, Facebook, and Wal-Mart who have seen windfall profits because of the COVID-19 pandemic.
The resolution proposes an additional tax, at a rate of 95%, on excess profits as calculated by subtracting their 2020 gross earnings from the average gross earnings of these companies from 2016-2019.
The resolution notes that excess profits taxes were originally adopted by Congress during WWI and WWII to “siphon off war profits” from companies profiting as a result of the war, and provide assistance to those who were struggling and who needed help the most.
In early March, Rep. Tulsi Gabbard introduced H.Res.897, a resolution that would provide an emergency non-taxable Universal Basic Payment to all adult Americans until COVID-19 no longer presents a public health emergency. She was the earliest Member of Congress to introduce legislation for a Universal Basic Income-like payment as a temporary economic stimulus package to directly and immediately help Americans as they weather this crisis.
She fought to make sure that Economic Stimulus Payments got to individuals quickly. She called for a rule change to enable recipients of Supplemental Security Income (SSI) and non-taxable VA benefits (VA Disability Compensation and Veterans Pension) to more easily obtain their recovery rebates. She also called upon the Department of the Treasury to to prohibit financial institutions from garnishing the economic impact payments to pay debts owed, ensuring that taxpayers receive their direct cash payments as Congress intended. She continues to advocate for a monthly direct basic payment to continue for as long as this healthcare crisis continues.
Rep. Tulsi Gabbard has been hard at work keeping Hawai‘i residents updated regularly through e-newsletters and tele-town hall events regarding the COVID-19 coronavirus crisis and its impact on the country. You can read more about how she is fighting for families, frontline essential workers, to prevent the virus spread, and help the economy survive and recover from this crisis by visiting her COVID-19 resource webpage.
About Rep. Tulsi Gabbard: Congresswoman Tulsi Gabbard is serving her fourth term in the United States House representing Hawai‘i’s Second District, and serves on the House Armed Services and Financial Services Committees. She previously served on the House Foreign Affairs Committee and Homeland Security Committee. She was elected to the Honolulu City Council in 2010, and prior to that at age 21, was elected to the Hawaiʻi State Legislature in 2002, becoming the youngest person ever elected in the state. Tulsi Gabbard has served in the Hawaiʻi Army National Guard for over 17 years, is a veteran of two Middle East deployments, and continues to serve as a Major in the Army Reserves. Learn more about Rep. Tulsi Gabbard…
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