Skip to comments.50% Taxes When Alive, 50% Taxes When You Die: Why New York is the "Must Leave" State
Posted on 04/09/2014 7:46:52 AM PDT by SeekAndFind
I, Ronn Torossian, am a born & bred New Yorker, who raises a family here, owns a business and loves all this city has to offer. Yet, I would be among the first to advise people not to live or move to New York if they dont have to. If they have ambition or drive, New York isnt the place to be. From the non-stop energy to the culture, indeed, this city deserves its title as capital of the world. Yet, from a business perspective, there are so many obstacles for living and dying in New York that one shouldnt do it unless they absolutely have to. Why? The issue is really quite simple while you are alive, if successful, you will pay 54% taxes as a resident of New York City. And if you are successful, your heirs will be taxed on the monies which you kept after the government took their share.
The latest report from the Tax Foundation notes yet again in 2014, New York ranks as the highest taxed state in America. New Yorkers spend 12.6% of their per capita income on state and local taxes, the highest percentage of any state in the nation. 2014 marked the third consecutive year that New York had the highest tax burden in the nation. And New York ranks 50th in the Tax Foundation’s State Business Tax Climate Index. The Index compares the states in five areas of taxation that impact business: corporate taxes, individual income taxes, sales taxes, unemployment insurance taxes, and taxes on property, including residential and commercial property.
Of course, there was a much ball-hooed change of the law for estate-taxes. As of January 1, 2019, the exemption will jump to the inflation-indexed federal level, which by then will be about $5.8 million. Anyone who goes over that amount will see their family pay more than half of it out to the government. Given those facts, it should come as no surprise that New York has indeed become the Must-Leave State. Census Bureau estimates show that 104,470 more people moved out of New York than moved into it during the 12 months ending July 1. This comes off a decade where more than 1.6 million New Yorkers moved out of state between 2000 and 2010. (And if the awful winter which we saw in 2014 continues next year, am sure the trend will only further increase).
Against this backdrop, The New York City Council introduced a bill that would impose a 10-cent fee on plastic and paper bags. While sane people review and consider this, one may wonder if New York City can possibly get any more expensive or absurd. With all the issues that exist, is this really something for New York government to be involved with? (And as an aside, won’t these costs be passed along to consumers? How about all the companies who make these bags how many people will be fired because Americans stop using bags?) Do politicians need another tax?
New York cost of living is very high – as are individual income taxes and property taxes. Despite all that New York has to offer, between cost of living and taxes, this is increasingly becoming the State not to live in. (And it has long been – and remains – the State not to die in.) As a 39-year old born and bred New Yorker, I work very hard for my money, and I must ask, when is enough enough? Why does this government insist on putting so much strain on hard-working, successful people? New York taxes energetic people who sacrifice every day to create opportunities for others as well as themselves.
Rest assured, however, I am standing now in my PR Firm New York office and the good news is there are no longer people drinking Big Gulps and soon people will not be carrying plastic bags in the Land of the Free. They will, however, between life and death, pay more than 100 Percent in taxes.
Earth To Mayor DeCommie O:”How Many Times Can You Go To The Well Before You Find It’s Run Dry”???????????????????
With an attitude like that I hope he stays there.
New York City, and New York State, are one strong bear market away from 3rd world status.
Upstate NY is already turning into Appalachia, and NY City survives only because it is running on the fumes of the US Dollar as world reserve currency, TBTF bailouts and a Federal Reserve printed money being funneled through Wall Street.
I would like to see it crash.
While I don’t disagree with the tenor of the article, if you pay 50% taxes when you’re alive, and your heirs pay 50% on the remainder when you die, the total taxes would be 75%, not 100%. (Half, plus half of a half = a quarter = three quarters.) The only way to pay taxes over 100% is to have less afterwards than everything you made that year, which some socialist Scandinavian country(ies) have experimented with IIRC, but not New York At least not yet.
“I would like to see it crash.”
My feeling exactly. That is why I was delighted when the elected the commie.I hope he does to the big cesspool what Coleman Young did to Detroit. That will teach all of those smart aleck limosine libs a lesson.
The situation in NY state and NYC especially is a living example of how socialist and high tax policies effect jobs, the economy, and quality of life. Contrast Syracuse, NY, with Orlando, FL, — a popular destination for many NY’ers. The difference is visually stunning. In Orlando you see construction cranes, new businesses, and residential developments. Disney World alone employs about 62,000 people. In Syracuse, you have a stagnant and poor city which the tech boom and economic growth have bypassed. It now appears the health care costs for Syracuse retirees exceed those of current employees.
The state is giving a 10 year income tax holiday to employees of start-up businesses in select industries. Someone close to the program expressed effusive enthusiasm for the program and expects a deluge of participants. That reflects a lack of knowledge of just how bad the situation is NYS is compared with the situation in high growth states like Texas. In Texas, the tax holiday is forever and demand is growing for many businesses. Despite that, NYC dwellers recently and overwhelmingly elected a Marxist mayor. Not all NY residents (God, stand by those who knew better) voted for him but those who did want more gifts but will receive more control and taxation. They will create Buenos Aires north.
I always find it interesting to think that this country fought a war with the British to win our independence on the pretext of taxation without representation.
But looking back what was really accomplished? Local and state government corruption, massive taxes, squalid inner city living conditions, cronyism, etc., and while all of this affects the whole country today, it is particularly predominant in the Northeast where the revolution started.
So one of my questions is why did the populace in 1787 and going forward allow this to happen given that our founding fathers were looked on through history as virtuous men with high ideals, while not ignoring the fact that man is an easily corruptible beast?
Left upstate NY in 1981..best thing I ever did..Schenectady is looking like Detroit they never change..
Rush saw that coming years ago and fled the oppressive taxation. Now he won’t even set foot in the state for a second. Others will follow this lead.
So what's your beef?
That only adds up to a total of 75%!
Isn't our "because we can" criminal elected Brave New World wonderful?
< /s >
What do you mean turning...it's already there.
The idiots who live downstate think the entirety of upstate and western NY is the Adirondack Park. Drive through once prosperous towns...that are rundown crapholes full empty factories and populated with legions of crack and meth ho's.
Actually, you only pay the second 50% on what you have left after life's expenditures (mortgage(s), cars, food, insurances, utilities, etc.) so you won't come close to 75% on your overall tax burden.
Here’s a clue — don’t elect someone who has had two legal name changes and has consistently supported Marxist dictators.
Why New York is the “Must Leave” State
The same applies only to Maryland, the formerly “Free State.”
Detroit’s the city for black democrat victim-group members. New York’s the State for white democrat liberal elites.. The roads out of these places are for conservatives with brains...
DeBlasio just checked his bank account. There’s plenty of money there. Same for Bloomberg.
Unfortunately, most of them will never see the connection (or will choose not to see it).
If the tax burden is really 50%, then you pay for your expenses after having been taxed, and what I wrote is correct. Actually the case is easily made that the tax burden is 50% or more, given that what income you make faces income tax, but of the remaining money, you still pay lots of taxes (e.g. sales tax) with what you spend, and when you pay someone for a job, some of that money goes directly to the government as *their* income tax, and what they spend goes in part to sales taxes. So of the original 100% of money that you made, the government takes a lot of it.