Revenue Act of 1935 - Wealth Tax Act

Revenue Act of 1935 - Wealth Tax Act
08/30/1935 AD decreed

Roosevelt signed into law a tax program called the Wealth Tax Act (Revenue Act of 1935) to redistribute wealth. The bill imposed an income tax of 79% on incomes over $5 million.

That was an extraordinary high income in the 1930s, so the highest tax rate actually covered just one individual—John D. Rockefeller. The bill was expected to raise only about $250 million in additional funds, so revenue was not the primary goal.

Morgenthau called it "more or less a campaign document". In a private conversation with Raymond Moley, Roosevelt admitted that the purpose of the bill was "stealing Huey Long's thunder" by making Long's supporters of his own.

At the same time, it raised the bitterness of the rich who called Roosevelt "a traitor to his class" and the wealth tax act a "soak the rich tax".

Washington, D.C.

Lattitude: 38.9072° N
Longitude: 77.0369° W
Region: North America

Modern Day United States

Events in 1935 MORE