Friday, November 16, 2012

California Prop 30 -- How Greedy Is Your State?

California aims to be the most greedy of all 50 states with Proposition 30--

Would Prop. 30 really drive millionaires out of California? - "A counterpart to the biblical adage that the poor will always be with us is the notion that the rich will always be one tax hike away from leaving us. That's the foundation stone, after all, of the argument against raising taxes on "job creators" and of bestowing preferential treatment on capital gains (largely collected by the rich) over wage income (the sustenance of us other poor slobs). And it's a linchpin of the campaign against Proposition 30, Gov. Jerry Brown's proposal to raise income taxes on income above $250,000, topping out at a 13.3% rate on income over $1 million. Go after the wealthy like that, the argument goes, and the rich will flow out of the state like rainwater cascading down a sewer grate."

Here's the kicker--it passed, but may have solved nothing!--

Proposition 30 win no guarantee of fiscal safety for California - "California's unstable tax base, debt and falling revenue are among the threats that could upend the budget despite the infusion from the passage of Proposition 30."


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