Wednesday, February 23, 2011

State Income Tax Does Not Harm Recruitment or Cause Residents to Flee

The Center on Budget and Policy Priorities lays it on the line: It is a myth that taxing those with high incomes causes them to flee states with these tax policies:
"States are addressing huge, recession-induced revenue shortfalls by cutting everything from kindergarten funding to services for Alzheimer’s patients — and more deep cuts are on the way. Policymakers should ask those who can best afford it to pay somewhat more, solid in the knowledge — and despite assertions to the contrary — that they won’t flee from higher income taxes. In short, policymakers should base taxes on the cost of meeting real needs, not on unfounded fears."
Read the full story here

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