Quote:
Originally Posted by MayorOfChicago
If they really do push through this progressive tax I think that will have an impact on high income people choosing to stay or move out of the state. If you make more than $750K single or $1M joint it is going to tax the entire thing at 8%, not just the incremental amount.
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Sure. Look at New York City. The CITY, not the state, has like a 5% income tax. There's not a single millionaire living in Manhattan now. All those folks have moved to Wyoming and Kansas. And major league baseball is another example. None of those guys want to sign contracts in California where the taxes are high. They are all like, "Put me in Myrtle Beach for Christ's sake, where the firehose of money that's being sprayed at me will be ever so slightly more forceful!"
Sarcasm, obviously. Taxes pay for the investments that create growth. Tax dollars shouldn't be wasted or mismanaged, obviously, but everyone benefits when, for example, children who will someday be your neighbors learn to read and don't have parasites and whatnot. When wealth is obtained, a great deal of it ends up--needs to be--spent isolating itself from poverty. Much more efficient to simply cut out the middle man there.
I do well. I don't mind paying my fair share. And I know a lot of people who do MUCH better than me and none of them are clamoring for a 16% effective tax rate rather than a 21%. The reality is that they don't even notice a difference.