President Trump on Thursday used the situation in Venezuela to blast Democratic Representative Alexandria Ocasio-Cortez’s idea of a 70 percent marginal tax for the rich.
When asked a question about the troubled nation, Trump replied, “It’s a very sad situation. That was the richest state in all of that area. That’s a big, beautiful area—and by far the richest—and now it’s one of the poorest places in the world.”
“That’s what socialism gets you when they want to raise your taxes to 70 percent,” Trump continued. “I’ve been watching our opponents are future opponents talking about 70 percent. Number one, they can’t do it for 70 percent. It’s got to be probably twice that number. But maybe more importantly what happens is you really have to study and take a look at what’s happened to Venezuela.”
Ocasio Cortez proposed a marginal tax plan in an interview with CBS’ “60 Minutes,” meaning that the higher rate would only apply to money over a certain threshold.
“Once you get to the tippy tops, on your $10 millionth dollar, sometimes you see tax rates as high as 60 percent or 70 percent,” Ocasio-Cortez said. “That doesn’t mean all $10 million dollars are taxed at an extremely high rate. But it means that as you climb up this ladder, you should be contributing more.”
In Ocasio-Cortez’s plan, the tax dollars would be used to tackle the problems of climate change and income inequality.