Posted by Uofa2 on 12/10/2020 10:32:00 AM (view original):
Sure, let the states that depend on the welfare of California’s and New York’s taxes secede. Whatever.
Just when I think you can't post anything dumber than you already have, you prove me wrong. You think other States in this Country are surviving off of California taxes? California isn't even surviving of of California taxes. When are you going to start checking the validity of thinks you post beforehand, so you don't look totally stupid? Here's one of the numerous articles showing just how ridiculous your claim is.
https://www.city-journal.org/california-record-breaking-deficit (There's more than what was copied. I'd love you to read, but that would mean you actually have an interest in the truth, so I'm sure you won't.)
Every state and municipal budget in America will take a big hit because of the coronavirus lockdowns, but no public purse is in as much trouble as California’s. Its Department of Finance recently estimated that the Golden State could face a $54 billion shortfall in the fiscal year beginning July 1, which surely must be the largest deficit any state has ever accumulated, surpassing the $40 billion hole that nearly swallowed Sacramento in 2008. Still, though Governor Gavin Newsom said last weekend that the staggering deficit was “a direct result of Covid-19,” that’s clearly not true. Critics have long warned that the state’s tax base is volatile, being increasingly reliant on wealthy residents and vulnerable to sharp contraction in the next recession. Combine that with California’s spending spree—including expenditures to fix problems that the state’s own bad policies have worsened—and the swing from prosperity to penury isn’t hard to understand.
It’s no exaggeration to say that California—with its 13.3 percent personal income-tax rate, the highest of any state—is the model of progressive fiscal policy. The state also takes a big tax bite out of capital-gains income, another significant source of revenue. In 2017, Californians reported $142 billion in capital gains, by far the largest amount of any state. Two-thirds of that total came from people making more than $1 million. The top 1 percent of California earners now account for about 23 percent of the state’s adjusted gross income but pay 46 percent of the income tax—nearly $50 billion last year, all of which came from an estimated 15,000 households. Before the coronavirus recession hit, California projected that more than 70 percent of its general fund revenues—or $102 billion—would come from personal income taxes. That’s compared with just 25 percent in the 1960s, when the top rate was about half what it is today.