The wealth disparity between Black and white Americans is egregious. In the U.S., the median white household held 7.8 times more wealth than the median Black household in 2019. Even worse, this racial wealth gap is not shrinking – and that’s partially because of our tax code.
In a recent episode of our podcast, Pitchfork Economics, we spoke with Dorothy A. Brown, who teaches tax law at Emory University School of Law. Brown explained that many of our tax laws in the U.S. were written by white, wealthy people, who intentionally created laws that advantage white wealth and disadvantage Black wealth.
For example, white activists changed marriage tax laws to benefit wealthy white families like themselves, and those changes disadvantaged Black families who didn't earn money or build wealth in the same way as white couples. Most people think that anyone who gets married gets a tax cut – but that tax cut only applies when one partner is the primary breadwinner. If both partners work, then that household is taxed higher, which Brown calls a “marriage penalty.” While white families are more likely to have one primary breadwinner and to receive a tax cut after marriage, Black families are more likely to live in “marriage-penalty” households.
There are countless examples of discriminatory tax codes just like this one. This broken tax code is making it impossible for Black Americans to build the kind of intergenerational wealth that many white Americans have enjoyed for centuries – so we’re working toward more fair, inclusive tax codes that assess all wealth, without any bias.
The first step to righting this wrong is educating yourself about the inequities in our current system. If you’d like to learn more about the tax codes, Brown’s financial advice for Black families, and her ideas about how we can fix this broken system, check out this episode of Pitchfork Economics.
Click here to listen to 'How the broken tax system impoverishes Black Americans.' LISTEN NOW
[link removed]
Thanks for being part of the Civic Action community. Together, I know we can create a more fair, inclusive economic system.
Paul, Civic Action
--------
This email was sent to
[email protected].
To unsubscribe from this email list, please click here: [link removed]
Civic Action
119 1st Avenue South Suite 320
Seattle, WA 98014
United States
Paid for by Civic Action