Bill Gates says robots should pay FICA taxes when they replace human workers

midian182

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Forward-looking: Almost 10 years after he first raised the issue, Bill Gates has repeated his warning that robots should pay taxes. The Microsoft co-founder points out that as automation takes more people's jobs, the amount of tax being paid will fall. The solution, he believes, is to make robots pay the same FICA taxes that humans would.

Speaking to Ezra Klein of The New York Times, Gates said that society should get to decide how to protect its workers even if it's making them jobless.

The billionaire described a unit of labor that could be defined so that work done by either humans or robots would be subject to the same FICA tax.

The US payroll tax funds Social Security and Medicare. Employees generally pay 7.65% of wages: 6.2% for Social Security and 1.45% for Medicare, with employers paying a matching amount. High earners can also owe an additional Medicare tax.

Automation-related job losses on an apocalyptic scale could be disastrous for society. Not only would the government see a drastic decline in tax revenue, those laid off would struggle financially. Gates said taxing robots could provide economic security for citizens while allowing governments to keep collecting taxes. He says the money could come from the savings companies make from not having to employ human workers.

"Just because the economic signals say that it'd be lower cost to use an AI doesn't mean society has to do that," he said.

In August, Gates published a nearly 6,000-word essay titled The turbulent AI era is here. The choices we make now are critical. He warned that the transition to the AI era will be one of the most turbulent times in human history. And that right now, we are not preparing adequately for that transition.

That essay also called for robots to be taxed, along with AI tokens. "If you're an employer and you hire someone, you pay payroll taxes on their earnings," Gates wrote. "But if you buy a robot, you can usually write it off right away as a business expense. The tax system nudges you toward replacing people with machines."

Gates also believes an AI tax would slow the rush away from human labor and raise money for retraining and a stronger safety net.

AI continues to be responsible for thousands of job losses, either through direct replacements or indirectly as companies prioritize resources toward the technology – despite execs now trying to play down the scope of the impact. Jobloss.ai reports that there have been just under 130,000 AI-related job losses in the US since January 2025.

It's not just white-collar jobs under threat. Companies are starting to eye robots for positions beyond warehouses and factories. One California county is taking the issue so seriously that it wants businesses to pay a fee when robots take someone's job, while a protest over the issue in Poland even included robots.

Gates first called for a robot tax in 2017, years before ChatGPT arrived. Back then, he said the tax could also be used to help people who've lost their jobs to automation by funding training for positions that require human empathy and understanding, such as care for the elderly and children with special needs.

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He sure like to talk alot, has he actually done anything to prevent job loses? Doesn't sound like much has changed the past 10 years and he keeps talking about it.

"Gates first called for a robot tax in 2017"
 
Any company using technology to replace human work force should be isto g kite taxes already.

They need to be in a position where they need to choose if replacing that teenager getting paid $12.00 dollar an at the cash register is truly worth it in the long run.
 
Better idea: eliminate the income tax for individuals, and fix the corporate tax rate so they can't use loopholes to get out of paying. Every efficiency increase and revenue jump is more taxes to keep the system running, and isn't reliant on how many workers they directly employ.
 
Bill Gates is the only billionaire I've got a soft spot for and would listen to. Unfortunately, those running the show aren't listening to lone voices like his in the wilderness. No matter, the whole system will sort itself out; and if it doesn't, I'm ready for the post-apocalyptic future.
 
Just start taxing corporations instead of subsidize them? US seems to hate 'socialism' where they would spend tax money to ensure better access to health care and education for its citizens, but using those taxes to spend on megacorporations is just right thing to do...
madness.
 
Surely Bill presided over one of the most predatory corporations on the face of the planet long enough to realize how stupid and naive his words are. Somebody bring his apple sauce.
 
Just start taxing corporations instead of subsidize them? US seems to hate 'socialism' where they would spend tax money to ensure better access to health care and education for its citizens, but using those taxes to spend on megacorporations is just right thing to do...
madness.

There is many reasons why Socialism is evil. Corporations and government are both bad. The end goal is the same, they just go about it differently
 
Just start taxing corporations instead of subsidize them? US seems to hate 'socialism' where they would spend tax money to ensure better access to health care and education for its citizens, but using those taxes to spend on megacorporations is just right thing to do...
madness.
The primary resistance with socialized medicine is the negative side effects: massive lead time to getting anything done, less access to cutting edge medication, and constant issues with funding because the population is fat and old. See also: Canada.

Similarly, education screams for funding constantly, but as the Missouri case proved, you can write blank check s and nothing improves. The problem is the parents, not the school, but nobody is willing to actually say that.
 
Just start taxing corporations instead of subsidize them? US seems to hate 'socialism' where they would spend tax money to ensure better access to health care and education for its citizens, but using those taxes to spend on megacorporations is just right thing to do...
madness.
Mentioning "socialism" in American circles is akin to promoting the Antichrist in a Charismatic church. It is anathema. Indeed, the best system would be a dispassionate blend of both systems, as CPU architecture is done.
 
He sure like to talk alot, has he actually done anything to prevent job loses? Doesn't sound like much has changed the past 10 years and he keeps talking about it.

"Gates first called for a robot tax in 2017"
That is pretty much all he can do since he doesn't actually run a tech company anymore. He is running his Gates Foundation which is in the process of shutting down. But a FICO tax on robots in the workplace isn't a bad idea.
 
Better idea: eliminate the income tax for individuals, and fix the corporate tax rate so they can't use loopholes to get out of paying. Every efficiency increase and revenue jump is more taxes to keep the system running, and isn't reliant on how many workers they directly employ.
Just start taxing corporations instead of subsidize them? US seems to hate 'socialism' where they would spend tax money to ensure better access to health care and education for its citizens, but using those taxes to spend on megacorporations is just right thing to do...
madness.

We should end the income tax as it literally punishes more productive workers.

Taxing companies, however, does not work as most people suppose:

"Business does not and cannot pay taxes. Only people can pay taxes." - Milton Friedman

Taxing a company only taxes the employees and customers through lower wages and higher prices. Firms care about the total employee cost, not if it goes to wages or SS/Medicare matching costs. In some cases, the taxes flow through to investors as lower returns. And remember your 401K is impacted by that not just the rich.

While it sounds great to tax big business, it's just bank account that money flows through on the way to various people and so the end result of any tax is removing wealth from people.

Now, corp. subsidizes ending: That I can agree on.
 
He sure like to talk alot, has he actually done anything to prevent job loses? Doesn't sound like much has changed the past 10 years and he keeps talking about it.

"Gates first called for a robot tax in 2017"
you don't know much about him, do you
 
Gates first said this in 2017 and everyone laughed. Now we have 130,000 AI-related job losses and a county trying to fine companies for replacing workers, and suddenly it sounds less like sci-fi.
 
Nothing will be fixed for our tax system, as complaining about corporate taxes will go unheard. The loop holes will never be closed because when one is closed others will open. IMO even if the FICA passes, compromises will be made for corporate which only the Tax Lawyers will understand. Perhaps more deductions will be given to offset the taxes paid by corporate.
 
Can we please stop pretending that Bill Gates is anything other than a career criminal who made billions from lying cheating and stealing, and now spends his twilight years living out fantasies of his mass casualty fetish? The man is literally the single most evil person in the history of the universe. Please stop lionizing him.
 
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