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The New 2018 tax law only gives high-tax states what they deserve
New York Post ^ | 02/11/2019 | By Rachel Greszler

Posted on 02/11/2019 8:45:59 AM PST by SeekAndFind

Gov. Andrew Cuomo recently complained that the cap on the SALT (state and local tax) deduction is causing people to flee New York. That’s like a recent college graduate complaining that his parents’ decision to cut off his monthly allowance has forced him to get a job and face a budget.

It’s not the new SALT cap causing New Yorkers to flee. Even before the Tax Cuts and Jobs Act limited the SALT deduction to $10,000, New York’s population fell by 1.9 million from 2005 to 2016. Rather, if anything, it would be the state’s high taxes.

At $6,993 per taxpayer, New York’s state-and-local-tax burden is 58 percent, or $2,573, higher than the average burden across the United States.

For very high-income earners, the gap is even wider. According to 2015 IRS tax data, the average millionaire living in New York paid $502,191 in state and local taxes, compared to $71,113 for the average Texas millionaire.

Of course, now that the 40 percent-off sale on state and local taxes is over for America’s highest income earners, they can be expected to look even harder for places that offer everyday low taxes. The cap has left high-tax states no place to hide.

Consider: While New York has a top personal-income-tax rate of 12.7 percent, places such as Texas and Florida boast 0 percent rates — no personal income tax at all.

It’s no wonder that New York ranked worst in net inflow of income, according to the most recent Rich States Poor States Report. For every $1 of income residents leaving the state took with them from 1997 to 2016, incoming residents brought in only 71 cents. In comparison, every $1 that left Florida was offset by $1.75.

(Excerpt) Read more at nypost.com ...


TOPICS: Business/Economy; Culture/Society; Government; News/Current Events; US: New York
KEYWORDS: bluestates; salttax; statetaxes; taxandspend; taxes; taxlaw; trumptaxcuts
Those outflows stem from both people and businesses leaving the state. According to the American Legislative Exchange Council, New York’s top combined state and local business tax rate of 17.2 percent is the worst in the nation.
1 posted on 02/11/2019 8:45:59 AM PST by SeekAndFind
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To: SeekAndFind

They’ve always said “TAX THE RICH!” and now they are getting what they want.

Enjoy the suck New York!


2 posted on 02/11/2019 8:47:59 AM PST by unixfox (Abolish Slavery, Repeal the 16th Amendment)
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To: SeekAndFind

FYI, New York and other states do not allow the deduction of federal taxes against their state income tax.

So cry all you want _ NY is not fair to their taxpayers.


3 posted on 02/11/2019 8:54:01 AM PST by ADSUM
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To: SeekAndFind

Gov. Cujo is depopulating NYS and that’s the way the liberals want it.

The fracking ban consigned upstate NY to continual economic stagnation. People are bailing in record numbers from upstate. Now the people with money are bailing from downstate.

1 million have left during Cujo’s tenure.

Classic liberal run state.


4 posted on 02/11/2019 8:55:04 AM PST by headstamp 2
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To: SeekAndFind
Lower Tax Withholding results in smaller refunds!!!!

Commentators only miss this because they want to.

5 posted on 02/11/2019 9:04:48 AM PST by G Larry (There is no great virtue in bargaining with the Devil)
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To: unixfox

Lizzie Warren must love this.


6 posted on 02/11/2019 9:06:00 AM PST by sauropod (Yield to sin, and experience chastening and sorrow; yield to God, and experience joy and blessing.)
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To: ADSUM

Really? Then why are they even crying? They lost something they never even had in the first place then.


7 posted on 02/11/2019 9:06:39 AM PST by Openurmind
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To: SeekAndFind
Best comment I heard on this issue (I wish I could give proper credit to the source):

"The Democrats are all for taxing the rich. Just not their rich."

8 posted on 02/11/2019 9:11:01 AM PST by edwinland
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To: Openurmind

The state is crying because of their tax and spend policy.

They complain about state tax deduction against federal tax, but they don’t allow a deduction of federal tax against state tax.


9 posted on 02/11/2019 9:20:36 AM PST by ADSUM
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To: SeekAndFind

Another method for making red states purple or blue.


10 posted on 02/11/2019 9:22:20 AM PST by Theoria (I should never have surrendered. I should have fought until I was the last man alive)
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To: unixfox

Yeah, what are they complaining about?

Oh yeah, children and the mentally ill are always bitching about sumthin


11 posted on 02/11/2019 9:32:21 AM PST by A_Former_Democrat ("Mods/Indies/Dems/Non-voters" JOBS or MOBS? Are CRAZY DIMS REALLY who you want BACK in POWER?)
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To: SeekAndFind

You people are all missing the point.

This is all a carefully planned operation by the leftist politicians. The people they are driving out are going to places like Florida and Texas and then voting Democrat.

Colorado has been turned into a liberal Mecca. Florida is getting very close. Idaho is also. Expat Californians are destroying the West.

Seriously, I don’t think it’s carefully planned but it’s working exactly that way. They are driving people out and those people are ruining the states they go to


12 posted on 02/11/2019 9:35:36 AM PST by ChildOfThe60s (If you can remember the 60's....You weren't really there)
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To: SeekAndFind

Glad I live in a state without an income tax.

Unfortunately it is drawing the refugees from over taxed states who want to do things like what they’ve just escaped from.


13 posted on 02/11/2019 9:52:03 AM PST by fella ("As it was before Noah so shall it be again,")
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To: unixfox
They’ve always said “TAX THE RICH!” and now they are getting what they want.

Well that's always the conundrum, you can't tax the poor.

14 posted on 02/11/2019 10:49:07 AM PST by Lockbox
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To: ChildOfThe60s

You may be correct on people vacating that held real money, but it really accelerates states with financial issues into a corner, and makes it more likely that they bankrupt themselves within the next five to eight years (unless they cut their budgets).


15 posted on 02/11/2019 10:59:40 AM PST by pepsionice
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To: SeekAndFind
, the average millionaire living in New York paid $502,191 in state and local taxes compared to $71,113 for the average Texas millionaire.

Not to defend New York, but surely this lying with statistics. If I earn $2M in Texas and pay $71,113 in taxes, but earn $20M in New York and pay $502,191 it's not a fair comparison.

And surely not even in New York does someone earning $1M pay $502

16 posted on 02/11/2019 11:36:36 AM PST by AndyJackson
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To: SeekAndFind

Ever wonder why Rush Limbaugh left NY for Florida? There ya go.

Plus he can play golf year round. :)


17 posted on 02/11/2019 11:49:19 AM PST by upchuck (When a society is open, then it [the Left] can’t win. ~ Daniel Greenfield)
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To: AndyJackson

That’s an excellent point. Average millionaire in NY vs avg millionaire in TX is not a fair comparison without knowing how many dollars are used in the calculations.


18 posted on 02/11/2019 11:52:20 AM PST by upchuck (When a society is open, then it [the Left] can’t win. ~ Daniel Greenfield)
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To: upchuck

Without knowing the methodology used to arrive at these numbers, they are worthless. common sense tells us that a person with a lot of money and higher income is going to benefit from being in Texas over New York. But beyond that.......


19 posted on 02/11/2019 3:28:51 PM PST by ChildOfThe60s (If you can remember the 60's....You weren't really there)
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