The White House was forced to dramatically revamp its tax proposals after Sinema previously ruled out increasing the corporate tax rate, which Biden initially sought to raise from 21 percent to 28 percent. To make up for the lost revenue, the White House and Sinema agreed to a number of measures, including the new “surtax” that would impose a 5 percent levy on top of income earned above $10 million in a given year and an additional 3 percent levy on income above $25 million per year. Roughly 22,000 people, or 0.02 percent of U.S. households, would be affected by the measure.
