It’s been reported that for the tax year 2014, 15,422 Massachusetts residents reported gross incomes of more than $1 million.
That number is about to decline, more than somewhat. It’s hard to predict demographic trends, but this one is a no-brainer, because it now appears that the kleptocracy that is Massachusetts state government is going to impose a “graduated” income tax on those 15,000-plus earners. They’re going to get stuck paying an extra 4 percent on their bills, unless of course they flee or finagle their declared incomes under a million, which thousands will now most assuredly do.
The question of soaking the so-called rich will now go on the November 2018 statewide ballot after a vote by the legislature Wednesday.
The proposed tax increase is called the “Fair Share Amendment,” because it’s not fair, just like the Affordable Care Act was not affordable.
The graduated income tax has been voted down by the Massachusetts electorate five times, but they’re making voters nearly as smart as they used to.
The case for the non-working-class’s latest assault on the Massachusetts economy was laid out by Rep. Jay Kaufman of Lexington, formerly home of the Minutemen, now home of leftist pukes like Kaufman and “Dr.” Jonathan Gruber.
The pitch, of course, is that the new tax will fall on only one-half of one percent of the population – “99.5 percent of us,” Kaufman smarmily said, “will not be impacted save for the better services from the revenue that comes.”
He said this with a straight face. Then he said it’s only “$40,000 on $1 million income…. I wish I could pay that.”
So are we then to assume that Rep. Kaufman checks the box to voluntarily pay a higher state income tax rate already, given that he’s so eager to pay his “fair share” and then some?
“And it will be dedicated to education and transportation.” Yeah, right. Because these State House leeches keep their words – just ask the stoners. The potheads thought they were going to pay a 12 percent tax on their weed brownies. Now it’s up to, what, 28 percent.
“I think we will hear,” Kaufman continued, “there is compelling evidence reason that millionaires will migrate – that is specious. There’s no evidence of that from other states.”
Oh, really? Let’s look at the record, starting with Connecticut. Here’s a headline from last year: “Wealthiest Look to Leave State as Tax Rates Climb.”
The nuts in the Nutmeg State raised the highest income tax rates. Millionaires fled (see GE), and revenues collapsed, so they raised the rates again, and collections fell further – now even Gov. Dannel Malloy, not the sharpest knife in the drawer, has gotten the message.
Two of the state’s billionaires decamped for the same town in Florida – Palm Beach. That’s where Joe Kennedy fled 70-plus years ago. Florida has no income taxes. This is not a phenomenon that started yesterday, you know.
Let’s continue our trip down I-95. Welcome to the Garden State, which likewise decided to soak the rich. Here’s a headline from CNBC: “Are they wealthy leaving NJ? Study says yes.”
Welcome to Maryland. This is another headline from CNBC: “In Maryland, Higher Taxes Chase Out Rich.”
During the debate on Beacon Hill, GOP Sen. Bruce Tarr pointed out that “the top 20 percent of the filers already contribute 73 percent of the revenue. I would ask the proponents if 73 percent is insufficient, then what do you hope to get to?”
I’ll tell you what the local “millionaires” are hoping to get to. To New Hampshire, or Florida, or Tennessee, or Texas – somewhere there is no income tax, just like the people in all the other states that have tried this preposterous highway robbery.
The Democrats know this. At least, I think they do. But the end game is to do away with the flat tax. When revenues, which are already crashing, really begin to plummet in 2019 or 2020, the hacks will throw up their soft little hands and say, Oh my God, we’re going to have increase taxes on non-millionaires – but don’t worry, it’ll only be temporary.
You know, like the “fiscal emergency” of 1989 when the Dukakis hacks jacked up the income tax rate to 6.25 percent, but only for 18 months, until the emergency ended. Wink wink nudge nudge.
In 2000, the voters finally took matters into their own hands and cut the tax, but the hackerama told them to stuff it. Twenty-eight years after the 18-month emergency, the tax rate is still above 5 percent.
But this time, they’re not lying. You can trust them, they’re not like the others. Their word is their bond. Just ask the potheads.