On February 19, 2026, the Vermont Legislature introduced a groundbreaking proposal to address income inequality in the state by implementing a new wealth tax. The proposed tax would target the state's wealthiest residents and generate much-needed revenue to fund essential public services and infrastructure projects.Under the proposed legislation, Vermont residents with a net worth exceeding $10 million would be subject to a tax rate of 1% on their total wealth. This tax would apply to assets such as stocks, bonds, real estate, and other investments. The revenue generated from this tax would be used to fund education, healthcare, and affordable housing initiatives, among other priorities.Supporters of the wealth tax argue that it is a necessary step to address the growing wealth gap in Vermont. According to recent data, the top 1% of Vermont residents hold more wealth than the bottom 90% combined. Proponents believe that implementing a wealth tax would help level the playing field and ensure that all residents have access to the resources they need to thrive.However, the proposal has faced some opposition from critics who argue that it could drive wealthy residents out of the state and harm the economy. Some opponents have also raised concerns about the potential for the tax to be unconstitutional or discriminatory. Despite these challenges, proponents of the wealth tax remain optimistic about its potential to create a more equitable society in Vermont.The Vermont Legislature is set to hold hearings on the proposed wealth tax in the coming weeks, where experts and stakeholders will have the opportunity to provide input and feedback. Lawmakers are hopeful that they can reach a consensus on the legislation and pass it into law before the end of the legislative session.Overall, the introduction of the wealth tax represents a significant step forward in Vermont's efforts to address income inequality and create a more just and equitable society for all residents. With the support of legislators and community members, the wealth tax has the potential to make a real impact on the lives of Vermonters for years to come.