Second, in addition to high levels of avoidance, important wealth taxation can have the (meant) impact of lowering wealth and thus lowering the base of taxation. First, the excessive effective tax fee on wealth above $1 billion (7 percent to 10 % in most cases) will lead to high rates of legal and unlawful avoidance, together with by donation, distribution, and consumption of wealth. Depending on asset return, stacking the mark-to-market tax on top of these current taxes will lead to efficient wealth tax charges starting from 2 percent to 7 p.c usually. Assuming administrative spending is focused initially on delivering Warren’s proposed universal well being providers, it isn't troublesome to think about that each greenback of administrative cuts beneath 4.5 p.c would enhance program prices by roughly a greenback, given the high returns to rising present spending on health care fraud and abuse control applications, negotiating decrease costs for drug and properly implementing fee reforms.