California Senate Dems Want to Disincentivize Wealth By Taxing Success, How Many More Companies Will Plan Their Exodus?

California Socialism

Socialism 101 –Image: Read My Mind

(WaPo) Last week, a California State Senate Committee not only discussed what they deem to be ‘economic inequality’  but by a vote of 5-2  it recommended to the full Senate, a bill that would raise taxes on companies which it determines, has a high disproportionate pay gap between corporate executives and employees.

Interestingly just this week Toyota Motor Sales & Toyota Financial Services announced  they will be vacating its headquarters from Torrance, California to the State of Texas which offered the company some $40 Million in tax incentives together with 30 years in the ‘Lone Star State’ tax free–end result, the City of Torrance, will be left a gigantic hole from losses of tax receipts in their budget they will have to somehow fill and the State of California will be losing some 3,000 more good paying jobs in addition to tens of millions in tax revenue that is gone forever.

Liberal/Progressive ideology may buy votes in my beloved deep blue State of California but it most assuredly doesn’t create a positive business climate.

In February, SF Gate reported that a new study conducted by Bain & Co for the California Business Roundtable–representing large corporations in the state found just under 60% of California business leaders said they have policies in place to restrict growth in the state and move jobs to other states–ironically the State of Texas was cited as the most frequent destination.

Another group of business executives, said their policy is to avoid adding jobs in California at all, except when absolutely necessary–the Bain study concluded, the cost of doing business in California is 30% higher than in an average Western state, together with the complexity of California’s environmental, labor and other regulations, the threat of litigation and delays in obtaining permits hamper operations, all create an anti-business atmosphere and a disincentive to continue to do business in California.

California already with the highest personal income tax in the country with a top rate of 13% compared to 0% for the State of Texas and a regulatory structure that treats businesses especially manufacturers as enemy combatants writes Investors Business Daily California has seen more than 250 major companies exit the state since 2011 and these problems are only destined to get worse, should Liberal/Progressive Democrats in Sacramento have their way of disincentivize wealth by taxing success.

How many more wealth creators (employers) and job opportunities will flee California to make somewhere, anywhere else their Golden State?

California: Record High Say They Pay Too Much in Taxes

California TaxesCalifornia Has the Nation’s Highest State Income Tax Rates
Soquel by the Creek

(Cal WatchDog) According to a new PPIC Statewide Survey a record high 60% in California say that one pays more than they feel they should in state and local taxes–just two years ago, 46% held that view.

Today 6 of 10 in California, also have the perception that California ranks above average or near the top in state and local income tax burden per capita.

On the 08 April, I wrote here that ‘California Tax Freedom Day’ is 6 days later (30 April) than it was in 2013 and 10 days later than it was in 2012

H/T: Breitbart

Obama’s Watch: Poverty Rates Break 50 Year Record

Obama War on PovertyObama’s Record: War on Poverty –Image: Right Change@Facebook

(Washington Times) Fifty years after President Johnson started a $20 Million taxpayer funded war on poverty, the overall percentage of impoverished people in the United States has only declined slightly and the poor have lost ground during Obama’s Watch.

While Obama often rails against ‘income inequality’ in America, his deeds and actions together with his families personal lifestyle, doesn’t match his political rhetoric.

As Americans continue to tighten their belts, ‘The Obama’s Family’ spent wasted $4 Million of taxpayers money on a lavish 17 day Hawaiian vacation which Michelle O, has stayed behind to celebrate her 50th Birthday at additional costs to the taxpayers and to the ire of Maui locals, all the while:

  • About 50 Million Americans are living below the federal poverty line which the federal government defined in 2012 was an annual income of $23,492 for a family of four;
  • Despite Obama’s pledge not to raise income taxes on those earning less than $250,000 on 01 January, new ObamaCare taxes began to be deducted from Americans paychecks;
  • Food Stamp enrollments for an entire year hit a record high of 47,665,069 in 2013 according to the U.S. Dept of Agriculture, representing nearly 1 out of 7 people in the United States;
  • Obama seeks an additional 13 week extension of emergency unemployment benefits to the long term unemployed that ended on the 28 December at a cost of about $6 Billion all the while President Obama’s personal ‘political action committee’ Organizing For Action claims that ‘we’ve seen 41 consecutive months of job growth since Obama took office with more than 7.3 Million new private sector jobs’ added to the economy together with growing opportunities for upward mobility.

If Obama is so confident that his economic policies are working so well, why is the economy so lousy and we need an additional ‘emergency extension’ of unemployment benefits?

Related: Obama, The Fed & The Phony Economic Recovery

Obama: Extending Unemployment Benefits Creates Jobs, You Know

Obama Claims ‘No Serious Evidence’ ACA is Holding Back Economy

ObamaCare/Covered California Day 3: How Things Are Going

ObamaCare Tax IncreasesRemember When Obama Pledged Not to Raise Taxes on Middle Class–New ObamaCare Tax Hikes That Took Effect on January 01
Evan Adams@Twitter

Covered California Website“Not happy with Covered California. Waited in online queue to get help and heres what I got.” –Image: Frank Sosa@Twitter

What Others Are Saying…

“@CoveredCA Warning: We met all deadlines but still no coverage & no help! No answers. Still no coverage. No coverage! No help!”
Ken R@Twitter

“I am trying to get some questions answered by @CoveredCA Its impossible to get through via phone, web-chat, Facebook, now I am trying TWIT” –Assemblyman Jeff Miller (R-CA)

“I paid my bill online 3 days ago. Nothing has been deducted from my bank account. I enrolled through @CoveredCA–Help.”
Samantha J Paige@Twitter

“I had zero issues signing up for a new plan under Covered California. Using the BLUE SHIELD website? That has taken me two days off and on to simply register…slowest site evah.” Jim Marks@Facebook

“@CoveredCA: I’ve just been notified by a client that all three toll free numbers you gave out are not working…”
Katherine Wichmann@Twitter

“@CoveredCA: No invoice yet. Jan 6 approaches! No one answers @BlueShieldCA’s Covered phone, the website gives no extension info. What to do?” –Eugene Hung@Twitter

“Been on hold with @CoveredCA for 40+ minutes. Sigh.”
Marcie Diaz-Ordorica@Twitter

“@CoveredCA have not received my 1st invoice from Kaiser”
Fred Walker@Twitter

Related: Covered California Stumbles Into New Year –News Caller

Covered California Projects $78 Million Deficit 2015-2016 –UT San Diego

ObamaCare/Covered California Leave Many Latinos Behind –Calif Report

High Taxed New York, Soon to Trail No State Income Tax Florida in Population

NY Times Opposes First Imcome TaxNew York Times Opposed First Income Tax
Image: Bastiat Institute/Ken Gardner@Twitter

(NY Times) New York which has long been recognized for its progressive and high income taxes will soon fall behind no state income tax Florida which may carry serious political and economic consequences in coming years.

Posted in Tax Hikes. No Comments »

Latest ObamaCare Disaster: Expanded Medicaid is a Tax on the Estates of the Poor After Death

ObamaCare Death & TaxesObamaCare Death & Taxes –WTP@Twitter

(The Seattle Times) As Washington State residents enroll in the expanded Medicaid program, many will be surprised buried in the fine print thanks to ObamaCare, after one is dead they won’t be forgotten, as their estate can still be billed for ordinary health care expenses.

Dr Jane Orient, Executive Director of the Association of American Physicians and Surgeons writing in The Washington Times earlier this year, calls the ‘recovery provision’ a cash cow for state to milk the poor and the middle class.

“People will think this (the Medicaid expansion) is wonderful, this is free insurance,” Dr Orient, said in an interview. “They don’t realize that it is really a loan and is secured by any property they have.”

Even states that are now limiting estate recovery, Dr Orient warns, can change the rules again (at anytime) if budget problems become more intense.

Related: ObamaCare May Be Disastrous for Puerto Rico –Catholic Online

Ted Cruz: Ryan-Murray Budget Deal “Spends More, Taxes More” Continues Funding ObamaCare

Ryan Murray BudgetRyan-Murray Budget Deal Breaks the Sequester Promise of 2011 to Cut Spending a Decade Later –Rep Tim Huelskamp (R-KS)@Twitter

(Heritage Action) The ‘Ryan-Murray House Senate Budget Deal’ despite all the rhetoric and praise RINO House Speaker John Boehner may give it and the supposed “deficit reduction” it actually increases spending during the next 2 years by $63 Billion above current law and lives up to none of the promises it makes.

While Ryan-Murray ‘agreement’ purports to produce $23 Billion in deficit reduction it does so by relying on savings (when has this actually ever happened) in 10 years with promises of future spending reductions later as Sen Ted Cruz (R-TX) points out:

“The new budget deal–spends more, taxes more and allows for continued funding of ObamaCare…This proposal undoes the sequester modest reforms and pushes us two steps back, deeper into debt. Supporters of this plan are asking for more spending now in exchange for minor changes that may possibly reduce spending later.”

When have we heard this before?

Back in 2011 the National Review reminds us that back in 1982 President Reagan, agreed to $3.00 in spending cuts for every $1.00 in tax hikes–promised spending cuts are illusionary and after awhile, they are forgotten about and all that remains is higher taxes on Americans.

Thomas Paine writing in 1791 in the ‘Rights of Men’ pointed out: “It is a general rule that when taxes are once laid they are never taken off.”

We haven’t learned much during the past 222 years.

Related: Spending Deal Strips Key Protection for Senate Minority Rights

Dennis Miller Slams John Boehner –Twitchy

Ryan-Murray House/Senate Budget Deal Betrayal of Conservative Principles

California RINOs That Supported Budget DealCalifornia RINO’s That Supported Budget Busting Betrayal

TSA--Only In DCIn the Ryan-Muuray Budget “Deal” Americans Will Now Have to Pay More For This –Sen Rand Paul (R-KY)@Twitter

President Obama together with House Democrats and RINO’s reeling from low voter ratings, were eager to cut a budget deal that takes the heat off of them for not doing their jobs for the next two years which the Libertarian Party points out:

  • Continues to add $1 Trillion annually to the already out of control $17.2Trillion federal budget deficit;
  • Locks in continuous funding of ObamaCare;
  • Raises taxes, including an increase in TSA fees hidden federal taxes that will be tacked on to your airline tickets.

Republicans who pretend to ‘oppose ObamaCare’ promising to replace and defund it are allowing it to continue unchecked which has resulted in more than 5.5 Million Americans to lose their health insurance, raising premiums, deductibles and costing jobs.

Many in the House GOP have put off being good stewards of the public purse and have betrayed the principles which they’ve claimed. Former Reagan OMB Director David Stockman said on CNBC “Its the final surrender of the House Republican leadership to Beltway politics, kicking the can and ignoring the budget monster that’s hurtling down the road.”

Related: Sen Ted Cruz (R-TX) “I Cannot Support Budget Deal” –Breitbart

Sen Mike Lee (R-UT) Opposes House-Senate Budget Deal

The Budget Deal and Why Were $17 Trillion+ In Debt

California Non-Profit Corp Drops Employee Health Insurance Due to ObamaCare

ObamaCare Steve JobsObamaCare Website Failures Explained –Seth@Twitter

(KRCR TV) Ninety employees of California Vocations a state funded non-profit corporation that supports adults with developmental disabilities, learned that their health insurance with Blue Shield will be terminated at the end of the year.

California Vocations Executive Director Bob Irvine says its been frustrating for the organization and its employees–Irvine said the organizations Board of Directors canceled its policies because the new Obama regulations forced it to purchase more expensive  policies that it simply can not afford.

“That would have been another $250,000″ said Irvine.

Instead, its cheaper to pay a $100,000 per year fine tax for not providing health care insurance saving the company $150,000 per year by canceling the policy.

Employees are left to fend for themselves, thanks to ObamaCare.

Related: Most Uninsured Lack Interest in ObamaCare Exchanges

If Federal Taxes on Cigarettes Deters Smoking, Does Federal Taxes on Earnings Deter Working?

Posted in Economy, Tax Hikes. No Comments »