Millionaires Go Missing

[anothersta]

Here's a two-minute drill in soak-the-rich economics:

Maryland couldn't balance its budget last year, so the state tried to close the shortfall by fleecing the wealthy. Politicians in Annapolis created a millionaire tax bracket, raising the top marginal income-tax rate to 6.25%. And because cities such as Baltimore and Bethesda also impose income taxes, the state-local tax rate can go as high as 9.45%. Governor Martin O'Malley, a dedicated class warrior, declared that these richest 0.3% of filers were "willing and able to pay their fair share." The Baltimore Sun predicted the rich would "grin and bear it."

One year later, nobody's grinning. One-third of the millionaires have disappeared from Maryland tax rolls. In 2008 roughly 3,000 million-dollar income tax returns were filed by the end of April. This year there were 2,000, which the state comptroller's office concedes is a "substantial decline." On those missing returns, the government collects 6.25% of nothing. Instead of the state coffers gaining the extra $106 million the politicians predicted, millionaires paid $100 million less in taxes than they did last year -- even at higher rates.

No doubt the majority of that loss in millionaire filings results from the recession. However, this is one reason that depending on the rich to finance government is so ill-advised: Progressive tax rates create mountains of cash during good times that vanish during recessions. For evidence, consult California, New York and New Jersey (see here).

The Maryland state revenue office says it's "way too early" to tell how many millionaires moved out of the state when the tax rates rose. But no one disputes that some rich filers did leave. It's easier than the redistributionists think. Christopher Summers, president of the Maryland Public Policy Institute, notes: "Marylanders with high incomes typically own second homes in tax friendlier states like Florida, Delaware, South Carolina and Virginia. So it's easy for them to change their residency."

All of this means that the burden of paying for bloated government in Annapolis will fall on the middle class. Thanks to the futility of soaking the rich, these working families will now pay Mr. O'Malley's "fair share."

http://online.wsj.com/article/SB124329282377252471.html

[pepperpot]

Yup, did they really think the wealthy will just lay as lambs for the slaughter? :doh They didn't get rich doing that and they won't stay rich doing that......

Next thing is, they will blame the wealthy for trying to run and leaving the middle class holding the bag instead of admitting bad policy.......:rolleyes:

[SurferGirl]

You really can't blame them, look how many people are moving out of New York for the same reason. We can't get businesses to stay in California because of our high taxes. People will only tolerate so much and they get tired of the unfairness of it all.

[pepperpot]

They also chastised the wealthy for extravagant spending....:doh They could afford to spend!!!! And when they spent.....people earned!!!! So now, 'we' have 'forced' them to curb their spending and now the industries are hurting....:shrug What the heck did they expect? :rolleyes:

[janelle]

Wasn't this tried before with disastrous results? The rich leave and take the jobs with them. Biden still thinks it is patriotic to pay taxes and Colin Powell thinks everyone wants to pay them. They just LOVE to pay taxes. No, they move when they have the money and can afford it. I would like to see how much taxes both of them pay.

[anothersta]

Wasn't this tried before with disastrous results? The rich leave and take the jobs with them. Biden still thinks it is patriotic to pay taxes and Colin Powell thinks everyone wants to pay them. They just LOVE to pay taxes. No, they move when they have the money and can afford it. I would like to see how much taxes both of them pay.

I'm sure they are paying their taxes. And they probably think it's right and patriotic to raise everyone's taxes. But, they didn't think it was right enough to mail a check for their extras to the government so it means nothing.

I think Colin was shot down pretty good with the CA vote. Those people were told 40,000 prisoners would be released into the streets, police/fire forces would be cut back. Most people would find this a scary proposition.

But, Californians found more taxes to be scarier, by an overwhelming majority.

Now, in August, we'll find out how Ohio feels about it 'cause they are telling their citizens the same thing (except for the prisoners being released). Of course, this was also where BHO told the citizens that the stimulus would prevent those layoffs, but hey! Who's counting lies?

I am. The BHO lied to Ohio to help get their congressional shopping spree passed.

Seems like a pattern....

[anothersta]

I should also add that I thought shelters needed help with some of the sicker dogs. So, what I did was front up 1000.00 of MY OWN money to take some in and help out. (plus many more thousands over the next 8 years and still ongoing)

Do I think everyone should do that? NO. Do I have money coming out my butt? NO.

But, I thought it was the RIGHT THING TO DO, so I DID, because I stand by my principles without forcing them onto everyone else. This is America! The land of choices. I feel like individuals should be allowed to make those choices and I have no right to legally force them to make the choices I think are best.

Anyone who thinks there should be higher taxes for more services should make a check out and send it to the government. There's nothing stopping you.

Put your money where your mouth is.

[SurferGirl]

I've noticed that many more people are remembering to donate dog and cat food to the food banks and there are some communities that have vets volunteer to give shots and care to pets of the homeless.

That is what people do on their own, they reach out and help their neighbors.

[anothersta]

I've noticed that many more people are remembering to donate dog and cat food to the food banks and there are some communities that have vets volunteer to give shots and care to pets of the homeless.

That is what people do on their own, they reach out and help their neighbors.

Good for them! This is why I think charity should be left in the hands of the private sector. We, in the community, will see the needs and aim to meet them. There is a gal in the small town south of me that's running a homeless shelter.

I really have to respect someone that does that. I find it easier to deal with the dogs than the humans :) I guess she likes the humans.

We all have our INDIVIDUAL abilities and shouldn't be merged into a 'collective' by our government. How dare they have so little faith in their citizens.

[Jolie Rouge]

This is why I think charity should be left in the hands of the private sector. We, in the community, will see the needs and aim to meet them.

>snip<

We all have our INDIVIDUAL abilities and shouldn't be merged into a 'collective' by our government. How dare they have so little faith in their citizens.

I just ~love~ when other people tell me how to spend MY money ... especially when they do not follow their own directives...err advice :



Palin gives more to charity than Biden
By Sam Youngman
10/03/08

Alaska Gov. Sarah Palin made considerably less money than rival Sen. Joe Biden, but the Palin family gave more to charity in the last two years than Biden has in the last eight combined, according to Palin's tax records released Friday afternoon.

Palin, the running mate of presidential candidate Sen. John McCain (R-Ariz.), and her husband Todd reported meager earnings from 2006 and 2007, at least by presidential-politics standards.

In 2006, the Palins paid $11,944 in taxes on $127,869 in income. In 2007, they paid $24,738 on $166,080. But in 2006, they donated $4,880 to charity, and in 2007, they donated $3,325.

By contrast, Biden (D-Del.), Democratic presidential candidate Barack Obama's running mate, has donated a total of $3,690 since 1998 despite his higher Senate salary, according to an analysis posted by National Review.

http://thehill.com/leading-the-news/...008-10-03.html

I know there is also posts & articles about Obama's charitable donations coming to about .01% of their income ... but I am too tired to look for them.

[anothersta]

Yup, did they really think the wealthy will just lay as lambs for the slaughter? :doh They didn't get rich doing that and they won't stay rich doing that......

Next thing is, they will blame the wealthy for trying to run and leaving the middle class holding the bag instead of admitting bad policy.......:rolleyes:

Unfortunately, that's exactly what will happen. Then, my fear is,

The feds will say "Oh, this isn't working. Look at those scumball rich people leaving the states." Then the BNG will step in to abolish state taxes. They will impose a HIGHER federal tax (higher than the original state tax) and THEY will distribute money to the states.

Because in their feeble minds, they will think this removes the 'escape' for the evil rich people. But, (because they are so feeble minded) they will fail to realize there are other countries for the rich to move to. Results, mass exodus from US.

God help us all.

On an upnote, maybe Michael Moore will move to Cuba since he thinks it's such a great country. Penn to Venezuala? I'd be okay with that :)