States Target the Rich

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States Target the Rich

Post by twilson »

This is the direct result of the raygun class war against everybody who is not rich.. I don't know why anyone would be even remotely surprised by this but i guess most cons are.

You want to make the middle-class poorer by declaring war on labor ? Thats fine.

But why did you retard repubs ever hallucinate that that would be the end of the story. All those people that are getting poorer and poorer are not going anywhere. They are just getting more and more pissed off. Did you actually hallucinate that they were going thank repubs for cutting their income ?
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States Target the Rich

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Post by Chester »

The politicians can try to target the rich.

Problem is, the rich are the ones with both the resources and a strong motivation to escape the thieving political parasites.

And escape, they do.....


Maryland Millionaires are disappearing.

State income tax isn't why those millionaires are fleeing

Jay Hancock
May 22, 2009

The millionaires are fleeing Maryland, all right. But not because of the measly tax surcharge on income over $1 million.

They're bugging out because of Maryland's estate tax, which applies to a bigger portion of a dead person's hoard than the federal estate tax or those in other states.

Strange to tell, rich refugees didn't want to speak with me. But their lawyers did. They suggest the high inheritance tax costs the state a lot more than it brings in because absconding aristocrats don't pay any Maryland tax, let alone the one when they die.

"For years and years, I have had clients who complained about Maryland taxes and never took any action," says Lowell G. Herman.

But recently, nearly a dozen customers with big stashes set up residence elsewhere, largely because of Maryland's failure to match other states in reducing or eliminating its estate tax, he says. "But that's just sort of the beginning. There are many others who are thinking about it."

Wailing rose from Annapolis last week after this newspaper reported that income tax returns from those making more than $1 million plunged by a third.

Suspicion focused on the millionaire tax, which takes 6.25 percent of every dollar pocketed over that amount. According to one theory, that slightly higher (and temporary) rate, which became effective last year, pushed plutocrats across the border.

The much more likely explanation is that the worst financial crisis in decades culled the ranks of million-dollar filers. But that doesn't mean numerous wealthy Marylanders aren't becoming wealthy Floridians or Virginians.

They are. But their problem is the estate tax, which involves much bigger dollars.

"Nobody's going to leave the state because income tax rates go up a point over a million dollars - or whatever it is. It's just not going to happen," says Stuart Levine, a Baltimore tax lawyer and adjunct professor at the University of Baltimore law school. "But they do have to leave to some degree because of the estate tax."

Maryland has a complicated relationship with rich people. As one of the wealthiest states in the country, it cultivates more than its share. But they don't like to stick around once they've amassed a pile. At least they don't want to be taxed here.

Along with a cameo appearance in baseball records for his 50-home run, 1996 season, former Baltimore Oriole Brady Anderson shows up in Maryland's tax annals.

The state tried to declare him a resident and claimed thousands in back taxes, even though he owned a house in Nevada. A comptroller's hearing officer rejected the claim.

Maybe the most famous Maryland "domicile" case involved a former Internal Revenue Service manager and tax consultant for the state. The guy bought a condo in Miami Beach, kept his house in Pikesville and claimed residency in low-tax Florida.

Maryland tax authorities, his former colleagues, came after him with guns blazing. They investigated his voting records, car registration and phone book listings, declared him a Marylander and billed him $2,246 in back taxes.

"Former tax collectors do not like to pay income taxes any more than other taxpayers," wrote the judge who ruled on his appeal.

They probably like to pay estate taxes even less. Virginia eliminated its estate tax in 2007; Florida, in 2005. Many other states have done the same.

The federal estate tax doesn't kick in on accumulations smaller than $3.5 million. But Maryland taxes as much as 16 percent of estates exceeding $1 million, which when you think about it is not huge for a lifetime of earning and saving. The value of a home alone in Maryland could get you halfway there. It got worse in 2005 after Congress no longer allowed a federal credit for state-paid estate taxes.

For somebody worth $3 million, leaving Maryland would save his or her heirs $182,000. That's well worth the effort and often easy to do. People worried about the estate tax are mainly retirees. Many already own second homes in low-tax states, and it's hardly a sacrifice spending a few extra months a year in Sarasota to avoid filing in Maryland.

OK, you don't feel sorry for the retiree with $3 million. It doesn't matter. She can choose where to live, and driving her from Maryland means she's not buying in local stores, attending the symphony, or paying sales and income tax.

"I've never said this about any other law," said Herman, who agrees it's the estate tax, not the income tax, that's compelling the wealthy to leave. "This is one of the dumbest laws I've ever seen. It's very shortsighted from an economic and sociological standpoint for the state of Maryland."

One problem with that view is that last year, Maryland's estate-tax haul hit a record $195 million. But that could have been an aberration, swelled by the deaths of a few very rich folks, says David Roose, director of the comptroller's Bureau of Revenue Estimates.

We'll know much more in a year or two, after the comptroller's office replaces its neolithic computers. It'll be able to track how many people in which tax brackets are moving in, moving out, living and dying.

If Maryland hasn't cut the estate tax by then, don't be surprised if it shows the millionaire exodus has increased.

Now the Maryland Kleptocrats (political class) are hollering because the wealthy are refusing to stand still and have their pockets picked..... Wonder how long until they attempt to pass an "exit tax" (one of the more famous Hitler regime taxation programs, at least that haircut left the head attached).



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Post by Hacks »

That suggests confiscatory taxes on the wealthiest should be Federal rather than state taxes. The people that are targeted here generally have multiple residences, so their residency status is fluid and can be gamed to avoid state taxation. Make the rich renounce their American citizenship to avoid taxes and you should see much better compliance.
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Post by Chester »

Hacks wrote:That suggests confiscatory taxes on the wealthiest should be Federal rather than state taxes. The people that are targeted here generally have multiple residences, so their residency status is fluid and can be gamed to avoid state taxation. Make the rich renounce their American citizenship to avoid taxes and you should see much better compliance.

I'll bet that trickle of folks emigrating from the US is about to become a flood.

Once upon a time the benefits of American Citizenship outweighed the taxation burden. Now, the US judicial system is a farce, most of congress is for sale to the highest bidder and the current administration is blindly following the FDR path to a greater depression.

I used to consider living in a "Banana Republic" to be riskier than living in the US. Now I'm not so sure. When the Judicial system officially exchanges robes for kangaroo suits, it will be past time to leave.

When the federal kleptocrats begin confiscatory taxation predation on the wealthy, expect to see the tax revenues and tax compliance fall quickly. The government should learn from the experiences of Argentina and Brazil, not repeat the same damned stupid mistakes over and over.



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If you want government to intervene domestically, you’re a liberal.
If you want government to intervene overseas, you’re a conservative.
If you want government to intervene everywhere, you’re a moderate.
If you don’t want government to intervene anywhere, you’re an extremist. :facepalm:

— Joe Sobran (1946–2010)

LAW - The tool used by government to control it's citizens (current US definition)

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Would you move for $13,800 a day??

Post by Chester »

Case in point.

This guy is very wealthy. Founder of Paychex. So, he's going to save $13,800 every single day just by moving from New York to Florida.

Do you honestly think that he wouldn't move to Bermuda if the Federal kleptocrats decided to start taxing the wealthy???

And do you honestly think that most of the wealth in the US wouldn't start racing for the exits if confiscatory federal wealth taxation looked like a reality??? (never mind that it wouldn't happen because the uber-rich all own a senator or 2)
WHY I'M LEAVING NEW YORK
Guest View by Tom Golisano

I love New York. But how much should it cost to call New York home? Decades of out-of-control budgets, spending increases and relentless borrowing have made New York simply too expensive.

Politicians like to talk about incentives -- incentives for businesses to relocate, incentives to buy local and incentives to make smart decisions. After reviewing the 2009 budget, I have identified the most compelling incentive of all: a major tax break immediately available to all New Yorkers. To be eligible, you need only do one thing: move out of New York state.

Last week I spent 90 minutes doing a couple simple things: registering to vote, changing my driver's license, filling out a domicile certificate and signing a homestead certificate -- in Florida. Combined with spending 184 days a year outside New York, these simple procedures will save me over $5 million in New York taxes annually.

That savings doesn't include that Florida has a 6 percent sales tax, compared to New York's 8 percent or more. Florida has lower utility taxes and lower gasoline taxes. The Florida homestead certificate guarantees my property taxes will not grow more than 3 percent.

By moving to Florida, I can spend that money on worthy causes, like better hospitals and improving education, and on worthy projects like the Clinton Global Initiative. Or maybe I will continue to invest that money in fighting the status quo in Albany. One thing is certain: That money will not continue to fund Albany's bloated bureaucracy, corrupt politicians or regular handouts to the special interests.

How did we get here in the first place? It all starts with spending, spending and more spending.

BUDGET SPENDING

New York's budget was $72.7 billion in 1999. Ten years later, it has ballooned to $131.8 billion. That growth is astounding, but it continues to get worse. Each year, New York's budget has had 6 percent compounded growth, double the average rate of inflation (2.8 percent). Florida's budget, on the other hand, went down 8 percent this year.

HEALTH CARE SPENDING

New York spends $2,283 per person on Medicaid. That's the highest per capita spending in the nation and twice the national average. In the last decade, the Medicaid budget has grown by 50 percent ($30 billion in 1999 and $45 billion in 2009). In almost every sector (hospitals, nursing homes, medicine, clinics, and home and community care), spending per recipient regularly exceeds the national average.

Faced with escalating costs and diminishing returns, Albany and their allies, the health care unions (SEIU has over 300,000 politically active members), had only one answer: Increase taxes.

EDUCATION SPENDING

New York spends the most per pupil in America on education, spending 63 percent above the national average. Costs went up about 60 percent in the last decade ($12.7 billion in 1999 and $20.7 billion in 2009). Like health care, education is something worth spending on and worth investing in, but we're spending more and getting less. New York City schools graduated 54 percent of high school students in 2007, Buffalo 47 percent and Rochester 45 percent.

Why? Perhaps it's because the New York state teachers union, with its $114 million budget, is always trying to convince Albany to spend more. Maybe it's because it's mandatory that all teachers pay union dues. Whatever the cause, when faced with potential cuts, the union and their allies have one response: Increase taxes.

LOCAL GOVERNMENT SPENDING

It's not just the state. It's the range and breadth of New York layers of governments and special taxing districts. In New York, the average state and local tax burden is $5,260 for every man, woman and child. That's by far the highest in the country. Like Albany, when faced with a difficult problem, these municipalities have one answer: Increase taxes.

Upstate New York has been particularly hard hit. Add unreasonable real estate taxes to the uncontrolled state spending, and you have whole communities decimated. The assessment process is unfair, unworkable and unreasonable, and the result is that 15 of the 20 highest taxed counties in America are right here in Upstate New York. While homeowners in other areas build equity, we just pay more taxes.

NO ONE'S HOME

This problem did not begin with the current recession. New York faced a $6 billion shortfall before the economic downturn. However, in the face of economic turmoil Gov. Paterson, Speaker Silver and Majority Leader Smith looked to the unions and special interests, who answered with one voice: Raise taxes.

Among other taxes and fees, they raised the marginal tax rate on the most successful (and most mobile) New Yorkers to 8.97 percent, the second highest rate in the nation.

It was irresponsible and it may just prove to be counterproductive, since the top 1 percent of earners account for about 50 percent of state revenue. We're the ones who can -- and will -- leave.

It's not an easy decision, but I'm being forced away from my family and friends, a pain shared by too many parents and grandparents in this state.

I'm leaving. And by domiciling in Florida, I will personally save $13,800 every single day. That's a pretty strong incentive.

Like I said, I love New York, but I'm not going to pay New York more for the waste, corruption and inefficiency that is New York state government.

Tom Golisano is the Chairman of the Board of Paychex, Inc. and the founder of the B. Thomas Golisano Foundation. He created Responsible New York so the voices of ordinary New Yorkers can be heard over the special interests, to hold elected officials accountable and to advocate for government reform.

I would love it if the folks who are pro-taxation would pay my taxes for me. I'm tired of having all that money taken from me, and getting little or nothing in return.


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If you want government to intervene domestically, you’re a liberal.
If you want government to intervene overseas, you’re a conservative.
If you want government to intervene everywhere, you’re a moderate.
If you don’t want government to intervene anywhere, you’re an extremist. :facepalm:

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LAW - The tool used by government to control it's citizens (current US definition)

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Post by Hacks »

Yes I think the richest percentile of Americans would stay in the US in droves if taxes on their incomes and estates were returned at least to the much higher rates of forty or fifty years ago. I doubt more than an insignificant few would be willing to renounce their and their family's US citizenship to gamble their entire future on some probably corrupt coconut kingdom without the infrastructures, physical, legal or judicial or secure large market access to safely generate future wealth.

If people did renounce their US citizenship and leave to protect their wealth it would just open the door for a new wave of entrepreneurs who saw the new potentials. After all, the rich in the US did fine- better than fine in fact- when the income and estate tax rates were much higher than they are at present. If you can't amass a sufficient fortune at the old rates, especially given all the legal loopholes and tax dodges built into the system just for the benefit of the rich, you probably just aren't American entrepreneurial material and are likely to fail anywhere you go.
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Post by twilson »

>> and escape they (the rich) do

Ah Einstein you ever hear the phrase "no one is indispensable".

I suppose you have some kind of right wing fantasy floating around in your head where the rich are gonna teach us a lesson by moving to their own island. Then we will be "sorry" and we will beg them to come back.

Geeze your lame.
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Post by twilson »

Hacks wrote: If people did renounce their US citizenship and leave to protect their wealth it would just open the door for a new wave of entrepreneurs who saw the new potentials.
Yeah thats pretty easy to see if your not busy sucking rich mans dick.

It won't take long for the vacuum to be filled again. It would probably turn out to be a good thing. Instead of the same people continuing to lock up the market a new wave will come in and take over.

But whats even more important is it will put to rest all the sky is falling rhetoric from the chicken littles that "know" the rich are indispensable.

But lets be real.

Very few rich people are gonna leave behind a revenue stream for somebody else to harvest. Chester is just a devotee of the Bush fear tactics. Instead of fear of terrorists he uses the fear of the fleeing rich as his bogeyman.

So friggin lame but when thats all you have...
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Post by Hacks »

Yep, don't let the metaphorical screen door hit your ass on the way out is pretty much all I would have to say to the presumed fleeing masses of wealthy refugees off to their shithole Third World tax havens. More money and markets for real Americans.
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Post by Chester »

twilson wrote:........
But whats even more important is it will put to rest all the sky is falling rhetoric from the chicken littles that "know" the rich are indispensable.

But lets be real.

Very few rich people are gonna leave behind a revenue stream for somebody else to harvest. Chester is just a devotee of the Bush fear tactics. Instead of fear of terrorists he uses the fear of the fleeing rich as his bogeyman.

So friggin lame but when thats all you have...
Now that's funny.

I think you misunderstand. Far from being a devotee of government "fear tactics", I love to laugh at the government scare tactics. They are getting so obvious these days.

And the point of this thread, is that the taxation schemes of the ruling kleptoctats were falling apart because their pigeons flew the coop. The folks the ruling political class were hoping to fleece packed-up and left. Leaving the tax parasites with nothing. And I love to laugh at stuff like that.

Just like the rubes that run the government don't seem to have figured-out that if nearly half of the working population works for government (Fed, state, county and municipal), then 10% unemployment means that nearly 20% of the folks actually paying taxes have stopped paying. (the taxes a government employee pays are just a kickback to their employer) So those government rubes should be really, really scared and looking for ways to cut back government spending. Instead of looking for ways to reduce spending, they are attempting to increase taxes any way they can. Not terribly bright, but then again, I've rarely encountered real intelligence among government officials. (think of your local DMV/BMV or the post office)

The next round of high entertainment will be watching the sheeple whine and complain as their "betters" hitch them up to the "cap and trade" taxation yoke. Because, once again, the taxation scheme intended to keep all the political fat cats in the ranks of the uber rich will fall mainly on the backs of the working class. No matter how they try to sell the scheme, observe that their lips are moving, and thus everything they say is a lie. Then sit back and watch the sheeple bitch and moan about the near doubling of their energy expenditures.


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If you want government to intervene domestically, you’re a liberal.
If you want government to intervene overseas, you’re a conservative.
If you want government to intervene everywhere, you’re a moderate.
If you don’t want government to intervene anywhere, you’re an extremist. :facepalm:

— Joe Sobran (1946–2010)

LAW - The tool used by government to control it's citizens (current US definition)

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