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Millionaires Race From Sanctuary State, Leaving It In Ruins

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Americans are fleeing California in droves. Known as one of the least free states in the nation, California is known for burdensome regulations, over taxation, the train to nowhere, crumbling infrastructure, yet California is also home to fisheries and beautiful vineyards, redwood forests and some of the most fertile farmland and scenic views in the nation.

Overtaxation, overregulation, and government abuse and mismanagement are destroying what was once a beautiful state with sanctuary policies and the producers in the state are paying a hefty price.

Forbes reports

“According to new research released by Charles Varner, associate director of the Stanford Center on Poverty and Inequality, California lost an estimated 138 high-income individuals following passage of the Proposition 30 income tax increase championed by Gov. Jerry Brown (D) and approved by Golden State voters in 2012.

Trending: HUGE Migrant Caravan Barreling Into U.S. Just Met With Savage Surprise From Trump!

This new research by Varner updates a previous paper released six years ago that looked at domestic migration to and from California following a 2004 income tax hike.

‘One reason we wanted to update our previous paper is that this tax change in 2012 is the largest state tax change that we have seen in the U.S. for the last three decades,’ Varner said.

Prop. 30 raised the state’s top income tax rate by more than 29%, increasing it three percentage points from 10.3% to 13.3%, which is now the highest state income tax rate in the nation. Prop. 30 also hiked the tax rate on income between $300,000 and $500,000 by two percentage points (a 21.5% rate increase) and raised the rate on income between $500,000 and $1,000,000 by three percentage points (a more than 32% rate hike).

In 2016, California voters extended the Prop. 30 income tax increases, which were originally scheduled to expire in 2019, until 2030. There will be an effort to extend those income tax hikes yet again prior to their expiration in 2030; book it now.

Varner’s new research examined taxpayers who were and were not hit by the Prop. 30 rate hikes. He found that in the two years before the Prop. 30 tax hike was imposed (2011 and 2012), net in-migration for both groups “was positive and roughly constant.” Yet following 2012 and the passage of Prop. 30, net in-migration dropped for households that were facing an effective tax increase of 0.5 percent or more. The reduction was greatest for households facing the highest effective tax hike, according to Varner and his coauthors.

This isn’t surprising for those who are familiar with other attempts to soak the rich with punitive state income tax hikes on high earners. Take what happened in Maryland after Martin O’Malley, the former Democratic presidential candidate and governor imposed a millionaires tax hike a decade ago.”

For anyone familiar with the current progressive talking points, this sounds much like a former presidential candidate and current Senator from Vermont Bernie Sanders campaign rally and the talking points of many so-called Democratic Socialists, like that of current New York Congressional candidate, Alexandria Ocasio Cortez.

Forbes goes on to note additional research from Varner noting other areas that have tried the same approach as California is currently trying and all have ended in abject failure. –

“In 2008, in an attempt to address a state budget deficit brought about by Maryland’s structural overspending problem, then-Gov. O’Malley championed and enacted a new millionaire income tax bracket, raising the rate to 6.25%. A May 2009 Wall Street Journal editorial described the disappearance of one-third of the state’s millionaires in the year following O’Malley’s tax increase:

One year later, nobody’s grinning. One-third of the millionaires have disappeared from Maryland tax rolls. In 2008 roughly 3,000 million-dollar income tax returns were filed by the end of April. This year there were 2,000, which the state comptroller’s office concedes is a ‘substantial decline.’ On those missing returns, the government collects 6.25% of nothing. Instead of the state coffers gaining the extra $106 million the politicians predicted, millionaires paid $100 million less in taxes than they did last year — even at higher rates…All of this means that the burden of paying for bloated government in Annapolis will fall on the middle class. Thanks to the futility of soaking the rich, these working families will now pay Mr. O’Malley’s ‘fair share.’”

Some, like the folks at Next 10, a San Francisco-based think tank, point to high housing costs as a more important factor than high taxes when it comes to what is driving people to leave California. While it’s clear that up is the only direction in which most California legislators want to take the state’s overall tax burden, it’s uncertain what action, if any, California officials will take to reduce exorbitant housing costs. When given the opportunity to institute a modest reform this year to help alleviate the high cost of housing, California officials declined.

Earlier this year Assemblyman Scott Wiener (D-San Francisco) introduced Senate Bill 827, legislation that would permit higher density housing near mass transit stops statewide. Passage of 827 would’ve permitted apartment buildings of up to five stories to be constructed near stations for San Francisco’s BART, Los Angeles‘s Metro Rail, and other mass transit stops throughout California. Despite claims that they are defenders of the downtrodden, Democrats who have steep majorities in both chambers of the California legislature were unable to pass Wiener’s bill. The failure to enact Wiener’s bill, which policy experts across the political spectrum viewed as a reasonable reform with which to begin addressing high housing costs, leaves little hope for those who want to see California lawmakers repeal or reform regulations that unnecessarily inflate the cost of housing.

Going back to California’s high tax burden, Varner’s new research backs up the old adage that when you tax something you get less of it. That applies whether the thing being taxed is cigarettes, booze, or, in California’s case, millionaires.”

 

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Honduran Migrant Caravan EXPLODES As it Approaches Border

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Amazing how this happens mere weeks before the midterm elections.

Time to put military on full alert and stationed at the border. This is an invasion and needs to be stopped in its tracks AT the border.

Stop the invasion!

From The Gateway Pundit:

On Wednesday, the caravan of mostly Honduran migrants exploded to a whopping 4,000 people as it approached the Mexico-Guatemala border, despite President Trump’s warnings to cut off U.S. aid.

The Mexican government flooded the Mexico-Guatemala border with hundreds of police officers in anticipation of a stand off with the migrants.

President Trump meant business when he issued a strong warning to Honduran President Hernandez Tuesday over the migrant caravan marching northbound to United States.

The organizer of the caravan, Bartolo Fuentes was detained in Guatemala Tuesday and it was reported Honduran migrants had splintered off into smaller groups in order to travel undetected as they made their trek to the Mexican border. Reuters reported late Tuesday that some Honduran migrants had headed back to Honduras, however; it appears the caravan has grown as it make its way through Guatemala.

The Associate Press reported Wednesday that the Hondurans were spotted in Chiquimula, Guatemala marching through rain, determined to make it the Mexican border.

Because the migrant caravan has grown to over 4,000 people, the Mexican government has sent an additional 500 police to its border with Guatemala, reported NBC News.

Secretary of State Mike Pompeo will be traveling to Mexico on Friday to discuss plans to stop the caravan.

A caravan of migrants fleeing Honduras has grown to 4,000 and the Mexican government has sent an additional 500 federal police to its border with Guatemala in anticipation of their arrival, according to U.S. government documents obtained by NBC News.

Part of the caravan, which has split into two groups, is now approaching the Mexico-Guatemala border amidst a surge in border crossings on the U.S.-Mexico border.

Secretary of State Mike Pompeo will travel to Mexico to meet with his counterparts on Friday, where plans to stop the caravan will be a “prominent” topic of discussion, according to a senior State Department official who spoke to reporters on Wednesday.

“I am certain that there will be conversations in Mexico about how we can work together on this issue,” the official said about the caravan. “We are certainly looking for concrete results and for solutions that work for both countries.”

President Trump didn’t even wait until the caravan of Hondurans reached Mexico before issuing a very stern warning to the Honduran president on Tuesday threatening to cut U.S. aid immediately!

The President’s fury continued into late Tuesday evening as he fired off another pair of tweets putting Honduras, Guatemala and El Salvador on notice.

Anyone entering illegally will be arrested and detained prior to being sent back to their country, President Trump said.

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Democrats Just Announce Sick New Way They Plan To Dominate GOP In Midterms To Regain Control

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Yet another perfect example if the tyrannical nature of the democrats. They can’t win by the rules, so they change the rules. Dishonest, lying, cheating, thieves. All that party is.

We must vote in November. Stop the democrats!

From The Daily Wire:

When all else fails, change the system.

Leftist luminaries, who weren’t able to stop the confirmation of Supreme Court Justice Brett Kavanaugh, suggested in the aftermath that Americans should consider reforming the Senate. Reminded that expanding the Senate would require a Constitutional Amendment, they’ve now, apparently, resorted to “reforming” the other half of the bicameral legislature, the House of Representatives.

NBC News reports that some Democratic activists are suggesting that to even out the “balance of power,” the size of the House should grow as much as double its current size.

“Expanding the House of Representatives would be a vast improvement over the status quo — with the potential to impact all branches of government,” activist Steve Vladick opines for NBC’s “Think” platform.

“[C]hanging the size of the House of Representatives — from its current total of 435 seats to 650 seats, or one for every 500,000 constituents — would make that body far more reflective of the country at large; would dramatically affect presidential elections; and, perhaps alone among all of these proposed reforms, would most be in keeping with the wishes of the Constitution’s drafters,” he continues.

Vladick argues that “changing the size of the House of Representatives would make that body far more reflective of the country at large” by narrowing the size of Congressional districts and limiting district size based on population. In most cases, that would involve halving districts.

But it’s not clear how having more districts with fewer people makes the House more representative, since House members are duly elected and, in most cases, making the districts smaller wouldn’t improve a member’s ability to lunch with every last one of his or her constituents.

What it does do, however, is help the Democrats remain in control of one house of Congress at all times by giving larger cities and their immediate metropolitan areas (where there are bigger populations in smaller areas) more seats. Unless large cities with high populations switch to the GOP in the near future, Democrats would hold the clear majority in the House ad infinitum.

So really, the House would become “more reflective” of … Democratic strongholds.

Tricky, tricky.

Unfortunately for Democrats, none of these proposals — expanding the Senate, packing the Supreme Court, or doubling the size of the House — are likely headed for approval.

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