Do you agree with the theory that if California passes the billionaire tax, some billionaires will leave the state, thereby decreasing tax revenue?

[Anonymous]

One of the unique characteristics of America is that the people pay federal and state income taxes. The state of California wants to impose a wealth tax on billionaires. Some people theorize that it will cause some billionaires move to another state, thereby leading to less tax revenue.

I generally agree with the theory that billionaires will leave the state, thereby leading to a decline in tax revenue.

No, I do not agree with the theory.

[Chazmatazz269]

Half right. California lawmakers wrote in a loophole that allows them to impose the tax on lower tax brackets without voter approval. So when the billionaires inevitably leave, it will be the working class who makes up the difference.
Therefore there will never actually be a shortage of tax revenue. One thing that California politicians have down pat is taking people’s money. Nobody does it better.

[Pterodon]

Not just CA. It’s all democrats and liberals. Ever heard of a democrat wanting to lower taxes?

[Chazmatazz269]

It’s not a hypothetical in California. The wealth tax is written and on the ticket for the midterms.
Also, yes. The Clinton administration balanced the federal budget and part of that process included reducing taxes for low income and middle class earners.
JFK reduced the top tax bracket from 90% to 70%. For context, it’s a little over 30% today and historically the top tax bracket has been more than double that. The post WW2 boom was largely funded by that 90% tax on the wealthiest people and organizations. None of them fled the country either. Go figure.
If you’re looking for modern examples, look up Corey booker of New Jersey and Chris Van Hollen of Maryland. Current sitting senators who have proposed common sense tax reductions for working class people.
You are being lied to. Read more and stop perpetuating misinformation.

[Pterodon]

Won’t vote for any. They’re just chameleons

[shish_kebab]

I wouldn't call it a theory. Elon musk moved almost all of his corporate headquarters out of California to Texas.
Spacex, Tesla and even X, the formerly known Twitter site, all moved to Texas.

When California can't pay their bills they're going to start demanding the federal government step in and bail them out.

[Agape93]

Nah. Costs too much to uproot your business, staff and logistics over a raise in taxes

[Pterodon]

Disagree. They’re fleeing NY and CA. Elon left

[Agape93]

Elon only relocated the headquarters. The bulk of his business is still in California.

Then where are they going, and why are they in a decades long flight still?

[Pterodon]

They’re going to Texas and Florida. Not bullshit

[Agape93]

Then after over almost 20 years since of every election cycle it gets brought up, why have they not gone anywhere even when taxes go up for them? You'd think they'd have all gone by now.

[Pterodon]

There’s many that are a democrat definition of wealthy and as the real wealthy leave the democrats just keep lowering the threshold

[Agape93]

Such as?

[Pterodon]

They keep trying to raise taxes to fund entitlements. Why raise taxes? Because they can’t pay for them. Their tax bases keep moving

[Agape93]

Fair enough

[Abbycado]

Perhaps some will. I doubt they all will. You won’t have to worry.

[Pterodon]

It’s not a theory. The wealthy and corporations have moved and will continue to leave blue states because of democrat policies

[DryGermanGuy]

The Californian fiscal policy makers weren't born yesterday. That law works retroactively.

[Chayce]

Now that the Montana supercars loophole has been patched I'd imagine even more will be leaving.

[exitseven]

yes, they are already leaving.

[Anonymous]

Nope