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> Tax filers in the top 1% of income, earning around $1 million and above, have typically accounted for 40% to 45% of the state’s total personal income tax reve

> Tax filers in the top 1% of income, earning around $1 million and above, have typically accounted for 40% to 45% of the state’s total personal income tax revenue One problem with very progressive taxation is you become dependent on relatively few people, possibly with their own income sources undiversified. If these people move, the stock market has a flat year, or the tech sector gets hit, that's a lot of money, even if 95% people in the state are still doing ok. >> It’s probably going to be some combination of cutting back spending and raising taxes The article almost acknowledges this, but if taxes really are chasing away people, even more taxes gets you into a death spiral.

throwup238 3y ago
> The article almost acknowledges this, but if taxes really are chasing away people, even more taxes gets you into a death spiral. Maybe for a city like Detroit but California has something that most people, including most rich people, really want: great weather and lots of accessible nature. The other problems are solvable but geography is destiny. This is the first article that has enough concrete data to make me worried but we've been through this before and the state is in a much better place than it was 20 years ago with Davis and Schwarzenegger. All of this has happened before and all of this will happen again.
TMWNN 3y ago
>One problem with very progressive taxation is you become dependent on relatively few people, possibly with their own income sources undiversified. If these people move, the stock market has a flat year, or the tech sector gets hit, that's a lot of money, even if 95% people in the state are still doing ok. Such as what happened to New Jersey when one person, David Tepper, moved to Florida.