If California drives away taxpayers who supply an outsized share of state revenues, discourages the entrepreneurs and investors who create new companies and jobs, and makes an already volatile budget even less stable, the bill won’t stop with 200 billionaires.
California has a budget problem. Proposition 40 will make it worse.
The November ballot measure promises an irresistible political bargain: Tax roughly 200 billionaires, raise tens of billions of dollars and use the money for health care, education and food assistance.
But there’s a catch buried in the state’s own fiscal analysis. The nonpartisan Legislative Analyst warns that the measure would likely reduce California’s existing income-tax revenues by hundreds of millions of dollars or more every year.
That’s particularly dangerous for a state already extraordinarily dependent on a relatively small number of high-income taxpayers.
Nothing contained in this blog is to be construed as necessarily reflecting the views of the Pacific Research Institute or as an attempt to thwart or aid the passage of any legislation.
The Wealth Tax will cost Californians dearly
Wayne Winegarden and Kerry Jackson
If California drives away taxpayers who supply an outsized share of state revenues, discourages the entrepreneurs and investors who create new companies and jobs, and makes an already volatile budget even less stable, the bill won’t stop with 200 billionaires.
California has a budget problem. Proposition 40 will make it worse.
The November ballot measure promises an irresistible political bargain: Tax roughly 200 billionaires, raise tens of billions of dollars and use the money for health care, education and food assistance.
But there’s a catch buried in the state’s own fiscal analysis. The nonpartisan Legislative Analyst warns that the measure would likely reduce California’s existing income-tax revenues by hundreds of millions of dollars or more every year.
That’s particularly dangerous for a state already extraordinarily dependent on a relatively small number of high-income taxpayers.
Read the entire op-ed here.
Nothing contained in this blog is to be construed as necessarily reflecting the views of the Pacific Research Institute or as an attempt to thwart or aid the passage of any legislation.