SWALWELL INTRODUCED BILL TO HOLD TRUMP APPOINTEES ACCOUNTABLE

WASHINTON, D.C. — Today, Congressman Eric Swalwell (D-CA) introduced the Trust and Modernization in Tax Governance Act or “TMTG” Act to promote accountability and fairness in government. The TMTG Act amends the tax code to limit the amount of untaxed profit that executive branch officials, including the President and Vice President, can defer when selling assets to comply with conflict-of-interest laws. Specifically, the bill caps the deferral at $100 million and requires any deferred gain to be recognized and taxed once they leave office.  

“Americans deserve leaders who follow the same rules they do, not a government that allows the wealthiest officials to skirt their obligations. This bill ensures that public servants prioritize public good over personal profit,” said Congressman Eric Swalwell. “The incoming administration raises concerns with its notable trend of appointing multimillionaires and billionaires to key cabinet positions. Trump’s “bro-ligarchy” has immense wealth and are already benefiting from privileges that most Americans can only dream of. The TMTG Act will act as a safeguard to stop them from exploiting loopholes to avoid paying their fair share of taxes. Working for the U.S. government should be about public service not a tax shelter for billionaires.” 

The Trust and Modernization in Tax Governance Act (TMTG Act) Would:  

• Limits Tax Deferrals for Executive Branch Officials: Caps the amount of untaxed profit ("deferred gain") that executive branch officials, including the President and Vice President, can claim at $100 million when selling assets to comply with conflict-of-interest requirements. 
• Ensures Tax Liability Post-Service: Requires any deferred gains that remain untaxed during an official's tenure to be recognized and taxed once the individual leaves government service. 
• Promotes Fairness in Tax Policy: Closes a loophole in the tax code that allows the wealthiest government officials to defer large profits, ensuring they adhere to the same rules as ordinary taxpayers. 
• Applies Specifically to Executive Branch: Targets high-ranking officials in the executive branch to address potential conflicts of interest and ensure accountability in asset divestment. 
• Strengthens Government Transparency: Reinforces trust in public institutions by preventing officials from using their positions for financial gain at the expense of taxpayers. 
• Balances Public Service and Financial Responsibility: Encourages ethical behavior by ensuring public servants do not exploit tax laws to avoid paying their fair share. 
• Covers All Taxable Years: Limits apply to the cumulative deferral across all years, preventing long-term exploitation of the system.  

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