Earlier quoted context omitted.
The core of the problem isn't any sort of tax setup, it's the foundation of our economy. The first employee of a startup usually gets less than 2% equity. Apple made $700k per employee in a single quarter. Our whole economy is set up to funnel money to the top. We need a new way of structuring corporations to change that.
Or create a more widespread culture of stock ownership.
This is the key. For an economic system based on capitalism we have surprisingly few 'real' capitalists. For the vast majority of people who own company equity it is tied up in retirement funds. Our system is designed to concentrate money in the hands of those that have it to begin with. As soon as more workers outside of startups start earning equity in the companies they work for we will see the income distribution change. And I suspect we would see a massive boom in worker productivity as they directly realize the financial gains.
"In terms of types of financial wealth, in 2013 the top one percent of households had 49.8% of all privately held stock, 54.7% of financial securities, and 62.8% of business equity. The top ten percent had 84% to 94% of stocks, bonds, trust funds, and business equity, and almost 80% of non-home real estate."