State Hotel California

The State of California wants to tax the Evil Rich even if they aren’t citizens of that State, but only visit or otherwise are there part-time.

California Democrats have introduced a bill in the state legislature that would impose a tax on the state’s highest earners that would include residents who live there part-time or have moved.

And

The tax will apply to every resident, regardless of whether they are in the state part-time or temporarily. It will also allow the state to pursue wealth taxes from former residents who built their wealth in California but moved.

The Failure of the Trump Tax Cuts

They failed to live down to the claims of the Progressive-Democratic Party politicians who’ve decried them since their enactment. They’ve also exceeded the expectations of the CBO.

The government collected a record $4.9 trillion in revenue last year, according to the latest report from the Congressional Budget Office, a nonpartisan federal agency. That’s nearly $500 billion higher than what the CBO had projected.

In particular, those Left-hated reductions in corporate taxes didn’t yield the Left-promised drop in Federal revenue:

Receipts from corporate income taxes, meanwhile, were $425 billion, exceeding CBO’s projection by 25%….

Rules and Defense Spending Cuts

The House—in particular, the majority Republicans—along with too many so-called defense journalists are having trouble with a rule that potentially leads to defense spending cuts, a particular anathema in today’s environment of a Russia at war and a People’s Republic of China threatening war.

However, the fact is defense spending has always been vulnerable to cuts, particularly by the Progressive-Democratic Party and its predecessor Democratic Party. The proposed rule just makes the potential explicitly stated. But it does not mandate defense spending cuts; it mandates spending cuts in one (or more) places if there are to be spending increases in other places. Quoting from the proposed rules:

Taxes and our Federal Tax Code

Former President Donald Trump (R) paid breathtakingly little Federal taxes compared to his wealth over the six years covered by his tax records, which the Progressive-Democrats so dishonestly, if strictly legally, released. And yet, despite those same Progressive-Democrats’ desperation to expose illegalities in his low tax payments, those same records prove he did nothing illegal; he simply took advantage of what our tax code—as enacted over the years by both parties as they held sway—plainly, and by design, allows.

Think that’s unfair compared to you and me? Think it’s not right that rich folks should have access to…loopholes…that us average Americans can’t reach?

How Much

Progressive-Democratic Party politicians constantly and loudly insist that they need to raise taxes so that the rich actually pay their fair share.

Here are some data on what Americans actually pay at various levels of tax remittances.Notice, too, that the Federal Poverty Guideline for a family of four in 2020 was $26,200 for the Lower 48 and DC.

And there’s this, showing the progressing progressiveness of our tax code.Even as that marginal tax rate has come down, the percentage of total income taxes paid by those Evil Rich has gone up.

I Agree with the Progressive-Democrat

California Congresswoman Rosa DeLauro, the Progressive-Democratic Party member who chairs the House Appropriations Committee, claims she’s open to a tax cut deal.

Our ask is simple: if we can provide tax cuts for America’s corporations, we can certainly provide a tax cut for America’s kids[.]

I agree, and it is a simple ask. Provide the tax cut for America’s kids by reducing the personal income tax rates their parents have to pay.

Sadly, DeLauro isn’t at all serious.

Get Rid of the EV Subsidy Altogether

Allied and friendly governments object to the Biden administration’s battery-operated car tax subsidy requirements that these vehicles be assembled substantially in the US or they’re not eligible for the subsidy. That puts battery-operated cars assembled in Europe, Japan, and the Republic of Korea at a substantial disadvantage in the competition for sales in the US.

They’re right, but for a different reason than they think.

Child Tax Credit

And other tax credits. Scott Hodge was one of the developers of the Child Tax Credit more than 25 years ago, and today he thinks the idea—well intended as it was—turns out to be bad tax and social policy (did I hear a sotto voce “unintended consequences?”).

His Monday Wall Street Journal op-ed went into detail on how the child tax credit, along with the subsequent proliferation of tax credits, turned out to be heavily counterproductive, reducing family prosperity through reducing the number of workers—who are family members—in the work force and thereby reducing overall GDP.

The IRS as Political Tool

It’s not the tax collection agency it’s made out to be. We all recall, for instance, the IRS’ Lois Lerner-run Exempt Organizations Unit targeting Conservative tax-exempt organizations, slow-walking or outright denying those organizations tax-exempt status purely for political reasons, without consideration of how well they met statutory criteria for the status.

It’s also been well-publicized that the IRS has been funded for next year to hire 87,000 agents for the ostensible purpose of increasing audits of the Evil Rich, and the agency is buying ammunition and hiring agents who are willing to use lethal force in the course of their “duties.”

Arizona Has a Chance to Lead the Way

This fall, the good citizens of Arizona will be voting on, among other things, a State constitutional amendment that would make it more difficult to increase State taxes.

If passed it would amend the state constitution to require a 60% majority to raise taxes through any future referendum. Current law requires a two-thirds majority to raise taxes through legislation but only a simple majority to do so by plebiscite.

State Representative Tim Dunn (R), who led the effort to get this onto November’s ballot:

When you have something that you can’t change without going back to the voters, I think we should have overwhelming support.