Will a billionaire’s tax happen?

Here's why a billionaire's tax may go nowhere. Read More...

A billionaire’s tax may be nothing more than a pipe dream for progressives, says one D.C. insider.

“White House budgets are aspirational, not actionable. They are important because they tell us what an administration is prioritizing. They give us some clues about which way the different agencies are going to go on certain things. But absolutely not, there is no path to passage for that [the billionaires tax],” said Isaac Boltansky, BTIG’s director of policy research, on Yahoo Finance Live.

Suffice it to say, the Biden administration has high aspirations for a tax on the uber wealthy.

Yahoo Finance’s Ben Werschkul reports the White House’s “tax the rich” proposal would include a minimum tax rate for all Americans with a wealth of more than $100 million.

If enacted, the minimum rate would be 20% of this group’s total annual income. Unrealized gains — such as unsold stocks and bonds — would be included in the total.

“In putting this in place, we really will make sure that it’s a fairer tax system, a more progressive system, and that those at the top are doing their part to ensure the solvency of the American budget,” Heather Boushey, a member of President Biden’s Council of Economic Advisers, said on Yahoo Finance Live this week.

WASHINGTON, DC - MAY 17: A mobile billboard calling for higher taxes on the ultra-wealthy depicts an image of billionaire businessman Jeff Bezos, near the U.S. Capitol on May 17, 2021 in Washington, DC. Organized by the group — WASHINGTON, DC – MAY 17: A mobile billboard calling for higher taxes on the ultra-wealthy depicts an image of billionaire businessman Jeff Bezos, near the U.S. Capitol on May 17, 2021 in Washington, DC. Organized by the group “Patriotic Millionaires,” the mobile billboards are rolling through Washington, DC and New York City on Monday to mark Tax Day, calling for higher taxes for wealthy Americans. (Photo by Drew Angerer/Getty Images)

Such a tax would take a big bite out of the wealth of the world’s richest people like Tesla CEO Elon Musk and Amazon founder Jeff Bezos.

Musk and Bezos would owe $50 billion and $35 billion, respectively, in taxes under the White House’s billionaire’s tax, according to Quartz estimates. Microsoft founder Bill Gates would get off a little easier with an $11 billion tax bill.

BTIG’s Boltansky said the billionaires could rest easy for now.

“You don’t need to take my word for it, just listen to Senator Joe Manchin who has already come out in opposition against the proposal,” Boltansky added.

Brian Sozzi is an editor-at-large and anchor at Yahoo Finance. Follow Sozzi on Twitter @BrianSozzi and on LinkedIn.