The Progressive


A project of Common Dreams

For Immediate Release

Kelsea-Marie Pym,


Patriotic Millionaires Take on Taxes in California: New Bill Raises Billions by Closing a Loophole in Trump's Corporate Tax Cuts Passed by Congress

Closing the carried interest tax loophole would raise $1 billion annually for California.

Sacramento, CA

On Tuesday, March 6, 2018, the Patriotic Millionaires will stand with Assemblymember Mike A. Gipson (D-Carson), Hedge Clippers, and Reclaim Our Schools LA at the State Capitol to launch AB 2731 - a state bill to close the carried interest tax loophole and raise an estimated $1 billion annually for public schools and civic priorities.

Each year, California loses billions of dollars in revenue due to carried interest, a lucrative loophole used by financial firms to lower their federal tax rates below those paid by regular working Americans. On the presidential campaign trail, Trump promised to close the carried interest loophole. But the Republican-led Congress left it wide open when they recently passed into law Trump's corporate tax cuts and lavish giveaways to the richest Americans.

California is now taking action to deliver meaningful tax reform that actually benefits working people, not just the wealthy elite. AB 2731 will lose the carried interest loophole and generate billions in new revenue for public schools while helping minimize the impact of looming federal budget cuts.

"California has a chance to lead here. We have a chance to point to a step towards basic tax fairness. To show regular Californians that their government works for them, and not just for the wealthy few. But more importantly, we have a chance to show that we realize that the future of our economy is intrinsically linked to our focus on education" said Patriotic Millionaire Rich Boberg, a tech executive who lives in California.

The Patriotic Millionaires is a group of high-net worth Americans who share a profound concern about the destabilizing level of inequality in America. Our work centers on the two things that matter most in a capitalist democracy: power and money. Our goal is to ensure that the country's political economy is structured to meet the needs of regular Americans, rather than just millionaires. We focus on three "first" principles: a highly progressive tax system, a livable minimum wage, and equal political representation for all citizens.

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