Wealth Tax

Also called “capital tax” or “equity tax,” wealth tax is imposed on the wealth possessed by individuals in a country. It is a tax levied on the market value of assets someone holds. It is applicable to a variety of asset types, including cash, bank deposits, shares, fixed assets, personal cars, the assessed value of real property, pension plans, money funds, owner-occupied housing, and trusts. Although many developed countries choose to tax wealth, the United States has historically favored taxing income.