Lead headline on the Drudge Report today – “Terrifying 57% tax looms for biggest earners in NYC.” It links to a NY Post article that points to the “job-killing effects” of the proposed tax surcharges to pay for the Democrats health care plan. As the Post noted,
That means New York’s top earners, small-business owners and most dynamic entrepreneurs will be facing new fees and penalties.
They’re likely to cut back on hiring and expanding their businesses – likely to deepen the recession. Also, high earners may have alternatives, such as moving to countries with lower tax rates. That’s what happens when states hit their wealthiest residents with higher taxes. Just see what happened in Maryland, which tried to fleece millionaires – many of them moved out of the state.