Liberals understand that raising taxes on cigarettes discourages people from smoking. Yet they haven’t figured out that raising taxes on wealth creation – like running a small business – hurts wealth creation. It looks like they may soon learn what they missed from the day that they skipped Economics 101.
From the New York Post
Congressional plans to fund a massive health-care overhaul could have a job-killing effect on New York, creating a tax rate of nearly 60 percent for the state’s top earners and possibly pressuring small-business owners to shed workers.
New York’s top income bracket could reach as high as 57 percent – rates not seen in three decades – to pay for the massive health coverage proposed by House Democrats this week.
Click on the graph to the right to see an enlarged version of the graph produced by the New York Post. Check out the “Single Wall Streeter” in the top left corner. Do the math and you probably won’t feel too sorry for the dude who makes $159,000 plus change. Many of you in flyover country think that’s pretty good.
Even in the prime locations In Texas, you can own an impressive home and live pretty danged well on an after-tax salary of $159,000. But in New York City, that puts you squarely in the middle-class. The average studio apartment in New York City is about $2,400 a month. A similar apartment in North Dallas Suburbs will only set you back about $500 a month.
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