Posted on 04/18/2018 6:09:38 AM PDT by Hojczyk
Not when “The Resistance” is in full control of congressional Democrats. Because of that intransigence, a Republican-only bill was able to include a sharp (not complete) cutback of the SALT. It is a dagger aimed at the fiscal heart of high tax blue states like Illinois, Connecticut, California, etc.
How big a dagger? Sit down for the feel-good story of the day—I lead with the large headline because it’s just so yummy:
President Donald Trump’s tax cuts will be anything but for about 1 million California taxpayers who will owe Uncle Sam more money a year from now. They’re the Californians who will lose a collective $12 billion because the new law caps a deduction they have been able to take for paying their state and local taxes, according to a new analysis by the Franchise Tax Board.
Very wealthy Californians earning more than $1 million a year will pay the lion’s share of that money, with 43,000 of them paying a combined $9 billion.
Many of those “very wealthy Californians” will be liberal Silicon Valley types, so they deserve it. If even 10 Senate Democrats had been willing to play ball with Republicans on the tax bill, they could have mitigated this blow. I’m glad they didn’t. This is going to be fun to watch going forward. California liberals are already upset that CA is a “donor state,” that is, for every dollar CA sends to DC, it only gets back something like 88 cents in federal spending, while red states like Alabama get something like $1.10 for every dollar they send to DC. This adverse ratio is going to get worse (from CA’s perspective) in the years ahead. Maybe blue states will wake up to the idea of sending less money to DC in the first place?
(Excerpt) Read more at powerlineblog.com ...
Isn’t this what the libs want? Raising taxes on the wealthy? They should be thrilled!
I would get a lot of ribbing from people who would say that my state, Kentucky, gets more than it gives to the FedGov, while California gives more than it gets.
However, for that equation to be fair, this 12 billion must be added in as money California gets from the FedGov. It changes the answer.
CA Liberals still don’t realize that “other people’s money” is includes their money too! I hope that Tom Steyer has a fit about his tax bill.
I think you had better rethink your math! The comment was that CA sends more to DC than it gets. There isn’t a second pot of money.
No, what I mean is that yes, it DOES send more, but that is because it taxes the crap out of its citizens who then write it off when paying their Federal taxes. So of the people are able to write off enough to get 15 billion back on their federal taxes, that is money that is, in effect, being sent to California, or you can see it as not sent to the FedGov. So that amount must be subtracted from whatever the state sends to the FedGov.
That’s how the “progressive “ tax system works.
“California liberals are already upset that CA is a “donor state,” that is, for every dollar CA sends to DC, it only gets back something like 88 cents in federal spending, while red states like Alabama get something like $1.10 for every dollar they send to DC. This adverse ratio is going to get worse (from CA’s perspective) in the years ahead. Maybe blue states will wake up to the idea of sending less money to DC in the first place?”
CA is not a donor state—this is complete BS. They don’t count the billions going to their illegal alien population, the cost to the judicial system, nor do they count the billions in contracts going to their military industrial complex, nor the billions in the military bases. CA is a very large net benefactor. Fact is, CA is not paying its fair share.
No, what I mean is that yes, it DOES send more, but that is because it taxes the crap out of its citizens who then write it off when paying their Federal taxes. So of the people are able to write off enough to get 15 billion back on their federal taxes, that is money that is, in effect, being sent to California, or you can see it as not sent to the FedGov. So that amount must be subtracted from whatever the state sends to the FedGov.””
I forgot to add this very important point to my post. This includes all the very high tax states that don’t pay their fair share of fed taxes.
California does not allow a deduction for it’s own state and local taxes on it’s income tax. Hypocrites!
Sounds like too light of a fine for a seditious organization. Plus don’t all the recent stories about San Francisco sanitation just inspire you to go there. Don’t you mustang to eat a San Francisco treat?
The whole equation is shaky. Does it include the billions paid to military and vets?
And why not? The Soetoro Presidential Lie-Berry and Bath House with be in Rahmabad (the Captitol of Madiganistan), VeeJayJay will be back to her home town, and other bad actors are already there. Chicago is the birthplace of AstroTurf. Rev Wright, Jesse, and many other players are wee-weed up, ready to go!
They should not complain they have been lecturing about needing to pay more taxes. Trump heard them too.
It is a fake stat. They take all tax receipts which include business. Businesses file where their headquartered.
Yeah. I think California is going to see tax receipts plummet and businesses make a mad dash out of the state if they don’t lower taxes. This could get real interesting, real fast.
https://wallethub.com/edu/states-most-least-dependent-on-the-federal-government/2700/
Isn’t it “wonderful” that the state with “Mexico” in it's name is the most dependent of all of the states!
And while I am no fan of the CA government at present, as a state CA isn't the biggest hog at the FedGov trough by a long shot. Furthermore, with respect to PE pension problems, that is of the state's making entirely, and I don't want any federal intervention to “save” CalPers when it goes under. I know people who are retired CA PE’s and what they are getting in retirement is simply absurd. People who are getting far more in retirement than they earned while working, and having their retirement indexed for inflation to boot! The "Robinhood Style of Governance" is hopefullly starting it's circling of the bowl here. The pushback on "The Sanctuary State" is gathering momentum here as the working people starting to figure out they're being screwed by their "leaders."
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