"What will I be when I grow up?"
Posted on 01/18/2018 6:35:38 PM PST by Beave Meister
The Republican-backed federal tax bill flipped the tables on a never-ending question for California politicians: Will high taxes lead the state’s wealthiest residents to flee the Golden State for the comparable tax havens of Florida, Nevada and Texas?
Republicans reliably raise that alarm when Democrats advocate for tax increases, like the 2012 and 2016 ballot initiatives that levied a new income tax on very high-earning residents.
But now, with the federal tax bill cutting off deductions that benefited well-off Californians, the state’s Democrats suddenly are singing the GOP song about a potential millionaire exodus.
“People with higher incomes pay a lot more money, and some of them may be tempted to leave,” Gov. Jerry Brown said when he unveiled his 2018-19 budget proposal last week. “This was an assault by the Republicans in Congress against California.”
That fear animates Senate President pro tem Kevin de León’s bill that would allow California residents to write off their state taxes on their federal returns as a charitable deduction, as well as other proposals that Assembly leaders have hinted they’re preparing to offer. De Leon’s bill cleared a second committee this week and is on its way to a vote on the Senate floor. Trump administration officials say it won’t pass muster with the IRS.
Democratic state lawmakers are worried because California relies so heavily on the income taxes it collects from high earners to fund government services. The state’s wealthiest 1 percent, for instance, pay 48 percent of its income tax, and the departure of just a few families could lead to a noticeable hit to state general fund revenue.
(Excerpt) Read more at sacbee.com ...
I see a whole lot of Silicon Valley Millionaires and Billionaires moving to Reno Nevada.
You know, the uber Liberal ones.
Hey, somebody has to make Illinois look good until I’m gone from here in 18 months!
I woudn’t be surprised if California passed a law forbiding anyone earning over a certain income from moving away under penalty of asset forfeiture. The ninth circuit would find it constitutional.
Also, at all outgoing border highways, they need to set up booths where tax agents stop all people leaving permanently so they can pick them up and hold them upside down so they can shake all of the money out of their pockets before letting them continue on their journey ...
Democrats advocating for the wealthy. Will wonders never cease.
What went wrong is that the liberals have ruined my home state of California.
I haven't been back in over forty years because it's become such a sh*thole.
“They like to slow boil the frog so it doesnt hop out of the pot.”
“Wealthy exodus to escape new tax rules worries California Democrats”
That’s one good reason why the liberal elites are so much for migrants, they are preparing to be (tax) migrants themselves.
Wnat brand of phone are you posting with?
iPhone 7
I figured as much.
My Samsung Android knows higher from hire.
The obvious trick would be to make the state income tax a payroll tax, like the employer portion of Social Security. That way, your W2 income would come already state-tax deducted. So, you could put the entire $10k federal SALT deduction towards your Prop 13 property taxes.
Or maybe you could just move to Nevada.
“would allow California residents to write off their state taxes on their federal returns as a charitable deduction,”
Charity doesn’t happen when there’s a tax collector pointing a gun at you.
L
The dems have lost their minds. They own their taxes and the fed owns theirs.
It is as simple as that.
Make it charitable and now it is voluntary.
Democrats need to be Patriotic and pay up! Right?
Idiots
Something I don’t understand. The Dems and liberals always preach about making the rich pay more taxes. Now that the rich are paying more, because their SALT deduction is limited, the Dems and liberals are all shouting unfair!
"What will I be when I grow up?"
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