Day by Day Cartoon by Chris Muir

Thursday, October 8, 2015

If you tax it too much, they will go

From Glenn Harlan Reynolds of Instapundit at USA Today:
IRS data show that taxpayers are migrating from high-tax states like New York, Illinois, and California to low-tax states like Texas and Florida. And it’s not just sports stars or star scientists, doing that, but fairly ordinary people — though, of course, people who earn enough money to pay taxes. If you’re living on welfare benefits and don't plan to change that, you won’t move to a low-tax state to escape taxes; if you move anywhere, it’ll probably be to a state that offers better benefits than the one you live in now.

This phenomenon has numerous implications, but let’s talk about two: In time, if taxpayers tend to migrate from high-tax states to low-tax states, and if people receiving government benefits tend to stay in place or migrate from lower-benefit states to higher-benefit states, then over time lower-tax states will tend to accumulate more people with high earnings, while higher-benefit states will tend to accumulate more people who live on the dole.
Which is why I plan to move out of Kalifornia when I retire.

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