The tax justice agenda championed by Lula and Haddad resonates in the US.
Despite being opposed by the Brazilian Congress, measures to tax the super-rich resonate in proposals such as that of Democrat Zohran Mamdani in New York.
The defense of a tax system that makes the super-rich contribute more to society is no longer an isolated debate or one exclusive to developing countries. The agenda championed by President Luiz Inácio Lula da Silva in Brazil and by Finance Minister Fernando Haddad is beginning to resonate in other democracies—as shown by the case of the New York mayoral candidate, Democrat Zohran Mamdani.
Upon assuming the presidency of Brazil for the third time, Lula placed the fight against tax inequality at the center of fiscal policy. His government has been promoting initiatives that seek to alleviate the tax burden on the poorest, such as expanding the total income tax exemption bracket for those earning up to R$ 5 and partial exemption for those earning up to R$ 7, and the proposal to tax large fortunes, profits, and dividends. The defense of taxing the so-called "upper class" BBB — billionaires, banks, and betting companies — has gained strong support on social media, as shown in the video released by the PT (Workers' Party) on the subject.
Brazil has also raised this banner internationally, with its proposal at the G20 to create a global tax on the super-rich. The measure, which received support from countries such as France, Spain, Belgium, and the African Union, could generate US$250 billion per year by taxing just 3 people worldwide. Instead of following the path of fiscal austerity demanded by conservative sectors, Lula has maintained that those who have more should pay more.
This message seems to be finding resonance outside of Brazil. In an interview with NBC, Zohran Mamdani, who won the Democratic primaries in New York, stated that his campaign is focused on raising taxes on the wealthiest to fund robust public policies, such as free public transportation, rent freezes, and a $30 minimum wage per hour. "It's the richest city in the richest country in the history of the world, and yet one in four New Yorkers lives in poverty," said Mamdani. For him, putting workers first is also a way to combat political authoritarianism.
A recent Oxfam report shows that the richest 1% of the planet holds 45% of global wealth, while half the world's population owns only 2,4%. According to Oxfam, taxing wealth is the most effective instrument to address this reality. The data also reveals that billionaires pay proportionally only 0,3% of their fortunes in taxes—an unacceptable distortion.
In Brazil, a minimum tax of 2% on the wealthiest 0,2% would raise approximately R$ 41,9 billion per year—enough to triple the budget of strategic ministries such as Science and Technology. This is the type of policy that transforms a country, promoting social mobility and dignity for millions. But it is under strong and relentless attack from the National Congress, which is trying to revive a tired discourse against increasing the "tax burden," when in reality, it is attempting to conceal the privileges granted to this small segment of the population.
Instead of being seen as radical proposals, these measures need to be recognized as urgent responses to a system that benefits a minority at the expense of the majority. Lula and Mamdani—each in their own way, in distinct contexts—are promoting a simple idea: it is time for the very rich to contribute to society in proportion to the privileges they accumulate. Tax justice is not just a national project, but a project for civilization.
* This is an opinion article, the responsibility of the author, and does not reflect the opinion of Brasil 247.
