The bill would amend the Internal Revenue Code to apply Social Security payroll taxes to wages above the contribution and benefit base up to $400,000, and impose an additional 1.2 percent Medicare tax on wages and self-employment income above specified thresholds. It would also increase taxes on certain high-income individuals’ net investment income, allocate portions of those revenues to Social Security and Medicare trust funds, and generally apply the amendments to taxable years beginning after December 31, 2025.

FactVote-generated overview; it is not an official CRS summary.