Wednesday, December 5, 2012
What Obama Isn't Telling People
According to yesterday’s Wall Street editorial entitled
Britains Missing Millionaires, Britain raised its income tax rate on the wealthy from 40% to 50%. The next year the number of millionaire tax returns dropped more than 60%. Some of the wealthy just left the country. The estimate is around 10,000. While others rearranged their finances to avoid the new 10% tax increase. That resulted in less money coming in than under the previous 40% tax being collected.
The year before the tax passed, millionaires paid just under 9% of the total tax liability of all taxpayers that year. At the new 50% rate, the shrunken pool yielded only about 4.4%.
The writer said "A funny thing often happens on the way to soaking the rich: They don't stick around for the bath."