Thursday, April 5, 2018

State Government and the Recent Federal Tax Cut


For John, BLUFYou change the tax structure and you change incentives.  Nothing to see here; just move along.




From the Blog of Mr Dan Mitchell, billed as International Liberty:  Restraining Government in America and Around the World, from 5 April 2018.

Partly this is about the recent Federal Tax Bill and the tendency of high earning people to move to escape state taxes, which are now not deductible.  On the other hand, many people can't move to Florida and do their work out of their Living Room.

Here is the author's informal pole on state fiscal collapse, results from just before 1300 on Thursday, EST:

Illinois — 61.56%

California — 17.58%

Connecticut — 9.59%

New Jersey — 7.06%

New York — 1.77%

Oregon — 0.67%

Alaska — 0.5%

Vermont — 0.5%

Kentucky — 0.42%

Massachusetts — 0.34%

Illinois at the top is no surprise, and I can see why folks might pick California next.  Connecticut, New Jersey and Kentucky make sense.  Our Commonwealth, Massachusetts is voted least likely, but still garners some votes.

Hat tip to the InstaPundit.

Regards  —  Cliff

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