4 ms·

It's at least somewhat germane. California is, I believe, one of many states that sends more to the federal gov't in taxes than its citizens receive in federal

by blahedo 17y ago

It's at least somewhat germane. California is, I believe, one of many states that sends more to the federal gov't in taxes than its citizens receive in federal benefits. If some of that federal money were turned back to the state, they'd be able to implement their progressive policies without exceeding their budget or raising taxes. Alternatively, if the fed spent more on progressive stuff instead of elective foreign wars, California could scale back their own spending on similar programs and once again be within budget while still retaining the progressive policies they seem to desire.

cwan 17y ago
That'd be a more reasonable argument if say Californians' taxes were used to fund the progressive policies of other states (though it is true that Californians get something like 80 cents per dollar sent to Washington). Californians however at an individual level are subject to the same federal tax rules as people in other states (and if they were poorer I'm sure the pendulum would swing the other way). This being the case, it is even more remarkable the financial straits that California finds itself in. It has some of the biggest advantages geographically and started with and still generally has a wealthy and high income tax base. The state of California also chooses to tax well above that of other states - stats here: http://www.taxfoundation.org/research/topic/15.html http://www.taxfoundation.org/research/topic/15.html - and still manages to run a massive deficit.
- grandalf 17y ago
  California state taxes are a small fraction of what most California residents pay in overall taxes. Plus, because of California's high cost of living, a worker in California is paid more to do the same work as in another state, yet falls in a higher federal tax bracket and so pays thousands more per year in Federal taxes for doing the same work and experiencing the same standard of living as a citizen of another state.
  - cwan 17y ago
    Sure the cost of living might be higher, but the opportunity for making money is also higher - or that's how it's supposed to work. One of the problems in California is that the benefits are now beginning to under weigh the costs which is why you have a outflow of migration towards surrounding states like Texas. Many of the problems are now structural like higher state and municipal taxes - so that despite getting ever fewer benefits, taxes are ever increasing.
    - grandalf 17y ago
      I concede that CA has higher state taxes, but I don't see why this is particularly relevant when I and most Californians pay a massive chunk of our income to the Federal government, which spends the money frivolously and doesn't even have a balanced budget. California could add a few percent to state income taxes and inconvenience its residents minimally in comparison with the high rates of Federal taxation Californians experience (due to higher cost of living). It's just so far out of proportion that I consider it absurd to spend much time worrying about California's budget.
      - pmorici 17y ago
        "massive chunk of our income to the Federal government" So does every other resident of every other state, you act like this is some problem unique to CA. Not to mention that if the sate did raise it's income tax that would help it's residents pay a lower amount of federal tax because don't you normally subtract your state tax liability from your earnings to determine your federal taxable income? Sounds like you need to write your legislature and beg for an income tax increase.
        grandalf 17y ago
        Well, due to inflated cost of living, Californians tend to be in higher tax brackets than workers in other states, which leads to a disproportionate amount of money being paid into Federal taxes.
  - 17y ago
anamax 17y ago
> California is, I believe, one of many states that sends more to the federal gov't in taxes than its citizens receive in federal benefits. CA elects congress critters that push the programs that do that spending, so CA can't complain that the money goes elsewhere.

by blahedo 17y ago

cwan 17y ago

That'd be a more reasonable argument if say Californians' taxes were used to fund the progressive policies of other states (though it is true that Californians get something like 80 cents per dollar sent to Washington). Californians however at an individual level are subject to the same federal tax rules as people in other states (and if they were poorer I'm sure the pendulum would swing the other way). This being the case, it is even more remarkable the financial straits that California finds itself in. It has some of the biggest advantages geographically and started with and still generally has a wealthy and high income tax base. The state of California also chooses to tax well above that of other states - stats here: http://www.taxfoundation.org/research/topic/15.html http://www.taxfoundation.org/research/topic/15.html - and still manages to run a massive deficit.

grandalf 17y ago
California state taxes are a small fraction of what most California residents pay in overall taxes. Plus, because of California's high cost of living, a worker in California is paid more to do the same work as in another state, yet falls in a higher federal tax bracket and so pays thousands more per year in Federal taxes for doing the same work and experiencing the same standard of living as a citizen of another state.
- cwan 17y ago
  Sure the cost of living might be higher, but the opportunity for making money is also higher - or that's how it's supposed to work. One of the problems in California is that the benefits are now beginning to under weigh the costs which is why you have a outflow of migration towards surrounding states like Texas. Many of the problems are now structural like higher state and municipal taxes - so that despite getting ever fewer benefits, taxes are ever increasing.
  - grandalf 17y ago
    I concede that CA has higher state taxes, but I don't see why this is particularly relevant when I and most Californians pay a massive chunk of our income to the Federal government, which spends the money frivolously and doesn't even have a balanced budget. California could add a few percent to state income taxes and inconvenience its residents minimally in comparison with the high rates of Federal taxation Californians experience (due to higher cost of living). It's just so far out of proportion that I consider it absurd to spend much time worrying about California's budget.
    - pmorici 17y ago
      "massive chunk of our income to the Federal government" So does every other resident of every other state, you act like this is some problem unique to CA. Not to mention that if the sate did raise it's income tax that would help it's residents pay a lower amount of federal tax because don't you normally subtract your state tax liability from your earnings to determine your federal taxable income? Sounds like you need to write your legislature and beg for an income tax increase.
      - grandalf 17y ago
        Well, due to inflated cost of living, Californians tend to be in higher tax brackets than workers in other states, which leads to a disproportionate amount of money being paid into Federal taxes.
- 17y ago

anamax 17y ago

> California is, I believe, one of many states that sends more to the federal gov't in taxes than its citizens receive in federal benefits. CA elects congress critters that push the programs that do that spending, so CA can't complain that the money goes elsewhere.