“To repeatedly assault high-income earners when 51% of our taxes are paid by 2% of New Yorkers—this blows my thoughts once I hear individuals say, ‘so what in the event that they go away.’ No you permit! I would like my high-income earners proper right here on this metropolis!”
So stated New York Metropolis Mayor Eric Adams final week in a uncommon second of readability.
After all, they aren’t his high-income earners. They only occur to reside the place he lives. In case there’s any doubt, they belong to themselves, to not anybody else. John Locke’s idea of self-ownership is each highly effective and helpful.
These are the opening three paragraphs of David R. Henderson, “I Need Excessive-Earnings Earners to Keep,” TaxBytes, IPI.org, December 21, 2022.
Luckily, there’s a coverage that may make the tax system much less unfair and would additionally assist retain high-income New Yorkers. Make the tax fee 3 % on everybody. The charges at present vary from 3.078 % for individuals with revenue between 0 and $21,600 to three.8765 % for individuals with revenue above $90,000. (These tax charges are for married individuals submitting collectively.) Lower that fee to three % and everybody would get a little bit of a break. The tax lower could be greatest on the highest-income individuals. That make sense as a result of, as Adams identified, they now pay a disproportionate share of NYC taxes. Their share would nonetheless be too excessive, however the tax lower could be a modest transfer in the best route.
Learn the entire factor, which is brief.