De Blasio's Half-Percent Tax Bump for the Rich Is Just Like "Eugenics," Says Glenn Beck
As you may have heard, Bill de Blasio, Communist in Chief, is busy bleeding the wealthy dry, literally hanging them up from the walls of his Park Slope crash pad and flogging them with frozen tree branches until the pocket change jingles from their pants and the blue blood runs freely from their veins. As a result, according to the latest incisive editorial in the New York Post, the city's rich are plotting their escape from the brutal gulag this city has become.
Michael Goodwin writes that de Blasio's proposed tax hikes on the wealthy have become so outrageous, "talk about quitting Gotham is surging in some circles. One friend says 10 wealthy people have told him they are leaving and another says disgusted New Yorkers bought $1 billion in residential property in Florida since the November election. The Sunshine State confers an automatic tax cut of about 12 percent because it has no city or state income tax, nor does it have an inheritance tax."
In case two anonymous rich people saying things doesn't convince you, Glenn Beck, radio show host, certified rich person and New York-leaver, also believes that a "mass exodus" is underway, due to de Blasio's brutal new proposed tax increases on the rich.
Wait, what tax hikes are those again? Oh yes: in order to pay for universal pre-kindergarten, de Blasio wants a five-year increase on taxes for those who make more than $500,000. He wants to increase the tax rate for those people to 4.4 percent, from 3.87 percent, a difference of 0.53 percent.
Back in September, Business Insider's Josh Barro did a nice breakdown of exactly what that tax increase would look like for the city's wealthiest. Here are his two key bullet points:
You probably won't pay it, even if it becomes law. According to the city's Independent Budget Office, only about 54,000 of the city's 3.5 million tax filers (1.4%) make enough money to pay the proposed tax. And if you only make a little more than $500,000, you'll only pay a little bit extra. Unlike most provisions of New York income tax, there will be no "recapture" -- that is, you'll only pay tax on the amount of your taxable income that exceeds a half million dollars.
Here are some examples of the tax that would be due. Let's say you're a married couple with an income of $700,000. On average, the IBO estimates you'd be able to take about $32,000 in tax deductions and exemptions. With $168,000 in taxable income over the $500,000 threshold, your added tax bill would be $897, or 0.13% of your income. As you get wealthier, the hit gets more substantial. A taxpayer with $10,000,000 in taxable income would pay an added $50,730 in tax, or 0.51% of income.
One percent of the city will pay a fraction of a percent increase in taxes. Clearly, this is class warfare. Both Goodwin and Beck say that the result will be a large-scale migration of rich people southwards to Florida, like beautiful glittery money birds. The result, they argue, will be a loss of endowments to civic jewels like the opera (the Met faced a $2.8 million budget shortfall last year, while the New York City Opera filed for bankruptcy.)
What's next? Oh, probably medical experiments.