Posted on 05/29/2009 8:39:47 PM PDT by reaganaut1
Despite a veto from Governor Linda Lingle (R) last week, the Hawaii Legislature forced through several tax increases on Monday, including the addition of three income tax brackets on top of the current nine: 9 percent on income over $150,000 ($300,000 for joint filers), 10 percent on income over $175,000 ($350,000 for joint filers), and 11 percent on income over $200,000 ($400,000 for joint filers). By adding the 11% bracket, Hawaii will move from eighth to first in the ranking of top state income tax rates, passing Maine, New Jersey, Iowa, Oregon, Vermont, Rhode Island and California.
In Tax Foundation Fiscal Fact No. 169, director of state projects Joseph Henchman and analyst Mark Robyn find that with its new, dramatically higher income tax rates, Hawaii becomes the fifth state to adopt a so-called "millionaires' tax," joining California, Maryland, New Jersey and New York. Such taxes are unique in that they impose a top rate near or above 10% on a small subset of high-income earners. Henchman and Robyn point out that Hawaii's decision is a poor one when it comes to sound fiscal policy.
"States that adopt new taxes on high-income earners are ones where policymakers are persuaded to ignore concerns about long-term economic growth in favor of a short-term budget fix that avoids deep spending cuts," Henchman and Robyn argue. "In New Jersey, while the new millionaires' tax raised revenue for the state and helped reduce a budget shortfall, it reduced the state's overall economic output and harmed its ability to grow during and after the recession."
Also included within the legislation are tax increases for hotel accommodations, property and cigarettes.
(Excerpt) Read more at taxfoundation.org ...
Hawaii takes the Taxifornia approach, and uses the same brilliant increases in taxation that will do wonders for their economy. The cost of tourism will rise and further hurt their economy. Absolute insanity. Total U.S. bankruptcy is coming quicker than expected.....
Tourists: Visit Guam. It’s beautiful and cost half as much.
"Show me just what Mohammed brought that was new, and there you will find things only evil and inhuman, such as his command to spread by the sword the faith he preached." - Manuel II Palelologus
Yep, that’ll do the trick.
Galt is gonna shrug and take his boat back to the mainland.
"Show me just what Mohammed brought that was new, and there you will find things only evil and inhuman, such as his command to spread by the sword the faith he preached." - Manuel II Palelologus
"Show me just what Mohammed brought that was new, and there you will find things only evil and inhuman, such as his command to spread by the sword the faith he preached." - Manuel II Palelologus
Income tax rates don’t matter to tourism.
It does to me.
Honestly, Hawaii is probably the ONLY state in the nation that could actually get by with this....
A premium for living in paradise.
Here’s your tax bill, would you like an Islamic day to go with that?
Fair enough.
If Ohio raises its state income taxes, I am moving out. I am voting with my feet.
Seriously? Guam? Where...more info, please.
“Income tax rates don’t matter to tourism.”
From the article: “Also included within the legislation are tax increases for hotel accommodations, property and cigarettes”
Increased taxes on hotel accommodations might. Plus if your cost rise (your taxes for instance) you pass it on to your customers if you can and tourists are their customers.
Good point. That matters. Poor Hawaii.
“If Ohio raises its state income taxes”
Ohio would have already done it if republicans did not control the Ohio Senate.
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