Surprise: Higher taxes in Maryland chasing out the wealthy

posted at 4:01 pm on July 9, 2012 by Erika Johnsen

In light of President Obama’s exhortation to hike taxes on those making more than $250,000 a year earlier today, here’s a well-timed piece of evidence demonstrating what happens when you decide you’d rather engage in populist persecution and punish the wealthy for their economic contributions rather than make tough budget-cutting decisions. A new report indicates that the state of Maryland is bleeding residents and tax revenue — an emigration likely due to the wildly blue state’s recent tax hikes.

The study, by the anti-tax group Change Maryland, says that a net 31,000 residents left the state between 2007 and 2010, the tenure of a “millionaire’s tax” pushed through by Gov. Martin O’Malley. The tax, which expired in 2010, in imposed a rate of 6.25 percent on incomes of more than $1 million a year.

The Change Maryland study found that the tax cost Maryland $1.7 billion in lost tax revenues. A county-by-county analysis by Change Maryland also found that the state’s wealthiest counties also had some of the largest population outflows.

In total, Maryland has added 24 new taxes or fees in recent years, Change Maryland says. Florida, which has no income-tax, has been a large recipient of Maryland’s exiled wealthy.

“Maryland has reached the point of diminishing returns. We’re taxing people too much and people are voting with their feet,” said Change Maryland Chairman Larry Hogan. “Until we change our focus from tax increases to increasing the tax base, more people are simply going to leave, leading to a downward spiral of raising revenues on fewer citizens.”

Yet again, one of the United States’ laboratories-of-democracy offers us another example of the results of poor public policy; in this case, desperately clinging to tax hikes on the wealthy as a solution to your problems (which, by the way, they aren’t): Raise taxes on the entrepreneurs, business owners, inventors, innovators, movers and shakers all you want, but you can’t reasonably expect that they’ll stick around to pay ‘em. At some point, it’s going to become worthwhile for the moneymakers to jump ship. In 2011 alone, a record 1,800 individuals renounced their United States citizenship — and if that doesn’t provide a red flag about our tax code, I don’t know what does.

Here’s just one case in point that broke earlier today:

Denise Rich, the wealthy socialite and former wife of pardoned billionaire trader Marc Rich, has given up her U.S. citizenship – and, with it, much of her U.S. tax bill.

Rich, 68, a Grammy-nominated songwriter and glossy figure in Democratic and European royalty circles, renounced her American passport in November, according to her lawyer. …

By dumping her U.S. passport, Rich likely will save tens of millions of dollars or more in U.S. taxes over the long haul, tax lawyers say.


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I didn’t know that Clinton’s tax rates were so unreasonably onerous- and that’s why raising taxes on a state by state basis isn’t going to fly. And by ‘mover and shaker’, is that how describe Denise Rich and other high value members of our society?

bayam on July 9, 2012 at 4:50 PM

I agree Denise Rich was a bad example, but still an example.

And going to Clinton’s rates means a 10% increase in amount paid, from 35% to 38%. The rich WILL change their spending, investing and saving patterns to account for a 10% increase in taxes. Or, they will have a politician craft an exception they can use to keep it. Or they will leave the country to a more tax friendly nation.

PastorJon on July 9, 2012 at 4:57 PM

And to think the Dems are grooming O’Malley to become presidential timber in the near future. LOL! Hey, Free Staters come on over to VA (but fleeing Dems need not apply).

Bob in VA on July 9, 2012 at 4:58 PM

Here you go damien1967, knock yourself out:

•You can write a check payable to the Bureau of the Public Debt, and in the memo section, notate that it’s a Gift to reduce the Debt Held by the Public. Mail your check to:

Attn Dept G
Bureau of the Public Debt
P. O. Box 2188
Parkersburg, WV 26106-2188

kirkill on July 9, 2012 at 4:58 PM

Maryland is a classic example of what happens when one party controls everything. Even if we can elect a Republican guv, we can never elect enough R delegates and senators. Because of this, the march to utopian Marxism in the People’s Republic of Maryland continues.

P.S. When is the gutless coward Martin O’Malley going to apologize for being a bully in high school? WaPo and the Baltimore Sun need to investigate this with the same vigor they went after Mitt Romney.

H.E. Pennypacker on July 9, 2012 at 4:59 PM

Funny, I think I saw someone make mention of it but, I have to admit, when I saw the headline, the first thing I thought of was, “Who’s John Galt?”

God Bless America!

paratisi on July 9, 2012 at 4:59 PM

And going to Clinton’s rates means a 10% increase in amount paid, from 35% to 38%. The rich WILL change their spending, investing and saving patterns to account for a 10% increase in taxes. Or, they will have a politician craft an exception they can use to keep it. Or they will leave the country to a more tax friendly nation.

PastorJon on July 9, 2012 at 4:57 PM

Or the business owners will just have to pass more of those costs onto the consumers, and cause us all to have to pay for those higher tax rates.

That’s why the left needs the Wesley Mouch’s, so they can pass insane laws to try to spread the wealth around…so it brings everyone down to a level they can control more easily.

kirkill on July 9, 2012 at 5:02 PM

The millionaires who stay in Maryland are mostly trial lawyers and lobbyists and defense contractors who just jack up their rates whenever taxes go up. The others are Redskins, Capitals, Ravens, Orioles, Nationals, and Wizards. There is a sizable enclave of black millionaires in Prince George’s County, many of whom are athletes and agents who serve them. They don’t move because there really isn’t another place like PG County for wealthy blacks.

I have friends who live in Takoma Park. They are far from rich, but they will never complain about taxes or move because they are progressives and the progs run Takoma Park. Everyone else I ever knew that lived in Maryland has left for Virginia or Delaware.

rockmom on July 9, 2012 at 5:02 PM

1,800 individuals renounced their United States citizenship — and if that doesn’t provide a red flag about our tax code, I don’t know what does.

The U.S. is one of the few countries that holds its citizens liable for tax on world wide income which causes many expatriates a panacea of problems. Some can’t get bank accounts since foreign banks do not want the hassle of dealing with the IRS tax code. If an expat is married to an alien then he/she had better not have any joint accounts or the IRS will go after that money too. This is why there is a spike in the number of people renouncing their citizenship.

Note, by contrast, that a Canadian who is employed in the U.S. for a time will be taxed by the U.S. but that revenue need not be declared in Canada. And this is so with most other developed countries. It seems fair to me, you pay tax to the country where the money is earned. While in the U.S. one can change states to reduce state tax burden but the only way to escape the IRS is to leave and get permanent residence and/or citizenship in another country.

Annar on July 9, 2012 at 5:03 PM

paratisi on July 9, 2012 at 4:59 PM

thanks, I did mention it, because I’m reading Atlas Shrugged now, it’s just freaky how the left is doing exactly what Ayn Rand warned us of…

kirkill on July 9, 2012 at 5:03 PM

And we (MD) have our own little enclave of illegals who fled Prince William County 3 years ago when they enacted a law requiring cops to check papers, as well as schools. They moved here and one of the richest counties in the country (Montgomery) now can’t fill its pot holes and is having an epidemic of TB.

Portia46 on July 9, 2012 at 4:37 PM

My last trek through there was shocking. It looked like little Mexico, with Spanish grafiti as far as the eye could see.

Laura in Maryland on July 9, 2012 at 5:03 PM

And to think the Dems are grooming O’Malley to become presidential timber in the near future. LOL! Hey, Free Staters come on over to VA (but fleeing Dems need not apply).

Bob in VA on July 9, 2012 at 4:58 PM

Hah. He will literally have to murder Andrew Cuomo. And Cuomo is doing a hell of a lot better job as Governor and is actually intelligent. Martin O’Malley is one of the biggest idiots I’ve ever seen in public office. All he does is whatever the unions or the DNC tell him to.

rockmom on July 9, 2012 at 5:05 PM

It is always amazing to me that liberals cannot understand basic economics and supply and demand. My teenage kids understand this concept.

g2825m on July 9, 2012 at 4:52 PM

With the mapping of the human genome, there is hope that scientists will find the defect that causes liberalism in our lifetime. It appears to be a severe form of cognitive dysfunction.

Economic dyslexia is only one of the symptoms. Electoral madness is another symptom, and it has reached epidemic proportions in many states.

MessesWithTexas on July 9, 2012 at 5:06 PM

After doing everything in her power to advance the policies which are driving up U.S. taxes, and all of the other disastrous social programs that drain away our resources providing for those who will not be productive through campaign contribution, influence wielding, and manipulation of our markets, Ms Rich NOW decides that her money is more important to her than this NATION… and her citizenship.

Thanks for that, Ms Rich.

I’m sure you’ll understand if I wish you EXACTLY the future that you deserve. Nothing more, certainly, nothing less.

I think that we should pass legislation that prohibits anyone who resigns their citizenship in the United States of America from ever setting foot in this nation again for any reason.

You can bet YOUR last dollar that if war were to be declared where ever MS. Rich decide to reside, rendering her ‘fashionable’ parts of the world unsafe, she would instantly return to this nation and demand to be allowed to remain as long as necessary, rather than the 3 plus months per year that our laws currently allow.

You may also rest assured that should Ms Rich require advanced medical treatment not on offer any where else with the high outcomes that we expect of our health care providers or with the immediacy that our system still affords, Ms. Rich would immediately return to this nation and demand first rate treatment regardless of duration, and, judging by how much Ms Rich values her wealth, she’d probably try to stick the U.S. taxpayers with as much of her tab as possible.

People like Ms. Rich love to say witty little things like “You don’t get rich or stay rich if you spend it.” Obviously, like the late but largely unlamented, Leona Helmsly, Ms Rich believes that “Only the little people pay taxes.”

No doubt she plans to attend fashionable events and celebrity galas, and shop here, and visit her friends at will.

She will reside here for about 3 months per year, spend ‘the season’ in Paris, or Milan, or Monaco, perhaps, any place that her friends deem ‘trendy’ that year.

Lets face it, she want’s all of the advantages of U.S. citizenship without paying for ANY of it.

She stood before a United States flag when she renounced this nation, its citizens, its flag, and her allegiance to this nation.

I think the least we should do is renounce Ms Rich, and all those like her, FOREVER.

thatsafactjack on July 9, 2012 at 5:14 PM

Oh Boy!!!

Owe the IRS? You’re Not Going Anywhere
Published April 05, 2012
************************

A new bill making its way through Congress could allow the federal government to prevent Americans who owe back taxes from leaving the country.

The provision is part of Senate Bill 1813,

which was introduced by Senator Barbara Boxer (D-CA) in November and passed by the Senate on March 14 “to reauthorize Federal-aid highway and highway safety construction programs, and for other purposes.”(More….)

**Senate Bill 1813**

http://www.gpo.gov/fdsys/pkg/BILLS-112s1813es/pdf/BILLS-112s1813es.pdf
==============

http://www.foxbusiness.com/politics/2012/04/05/owe-irs-youre-not-going-anywhere/

canopfor on July 9, 2012 at 5:14 PM

I remember a few years ago where Obama said we needed to increase competition for HealthCare…I think. He said some good stuff about competition, of course most of us knew he was lying.

Federal power decreases competition. We need more competition between states and even more among cities. If your city raises your taxes, move to the city next door. If your state raises taxes moe to a state with less taxes. This is COMPETITION! The problem is that Obama and the other far left liberals can force stupid laws on MA, MD, RI, MI, IL, CA, etc… But states like Texas and Arizona and others they cannot touch because the population understands how liberalism works. So they have to go after us with Federal laws.

It is a pipe dream, but it sure would be nice if Mitt talked about increasing competition between states by reducing federal control.

jeffn21 on July 9, 2012 at 5:15 PM

I’m beginning to see why the Left rejects federalism (it’s racist!) and prefers a top-down, command and control, all-powerful, centralized federal government instead.

visions on July 9, 2012 at 4:04 PM

It’s good you see this, but extend this thinking to the world as well. European lefties in particular can’t stand America because that is where their business class would flee to escape their oppressive economic policies – at used America used to be where they would flee.

World wide socialism can’t stay in power as long as America and her free markets exist.

Daemonocracy on July 9, 2012 at 5:21 PM

People want to keep what they EARN. It’s simple, understandable human nature and you don’t need a Ph.D. from a fancy school to just inherently know this.

If somebody is saying to you “When you earn X amount we will go from taking 25% of what you EARN to 38% of what you EARN”, what will you do? You will have two choices: stop increasing what you earn, or go someplace where you can keep more. If you can’t move, you stop.

You want to see America, and by effect, the whole world roaring again economically?:

1) Strip the tax code to: 15% income tax on individuals no matter how much you make in income. No deductions, loopholes, etc. Virtually eliminate the IRS.
2) Corporations pay 1% of NET income a year to keep name registered and stay in the public trading game.
3) Reduce regulations to protecting the environment and people from REAL poisons and fraud and enforce the laws evenly. Require each industry to establish an insuring structure like Underwiters Laboratories.
4) Truly get rid of waste and fraud in government, including the massive duplication.
5) Reduce the federal government to its constitutionally enumerated responsibilities and transition things like the DoE to state by state control.

Big changes, probably impossible. But in the age of the Internet and things like Angie’s List, we the people can hold each other accountable better than government regulators paid to look the other way. Look at how much “green” is touted by companies without government regulations, because that’s what society is pushing.

PastorJon on July 9, 2012 at 5:21 PM

at used least America used to be where they would flee.

Daemonocracy on July 9, 2012 at 5:22 PM

And by ‘mover and shaker’, is that how describe Denise Rich and other high value members of our society?

bayam on July 9, 2012 at 4:50 PM

Ignore reality and jump to the inane? Next you’ll being naming some useless celebrity who has left California instead of addressing the incredibly fleeing capital and businesses of that particular state.

NotCoach on July 9, 2012 at 5:23 PM

Stop them form leaving! Revoke their passports!

Oh wait, You can’t do that….

Dumbass state government…

patch on July 9, 2012 at 5:26 PM

PatriotGal2257 on July 9, 2012 at 4:50 PM

LOL! I know how that feels, I moved to Texas in 1979, the year the Pirates won the World Series, and the Steelers won the Super Bowl. Those Dallas fans are brutal!

Night Owl on July 9, 2012 at 5:28 PM

With the mapping of the human genome, there is hope that scientists will find the defect that causes liberalism in our lifetime. …MessesWithTexas on July 9, 2012 at 5:06 PM

I think a huge part of is Liberal Tenured Professors. They try to make libs think they are being “intellectual”, which isn’t the same thing as “intelligent”.

kirkill on July 9, 2012 at 5:28 PM

Here’s what the actual Maryland taxes are going to be. Put federal taxes on top of that — wouldn’t you move?

Married – Withholding – Annual payroll period
If the taxable income is
$ 150,000 $ 175,000 changes tax amount to 7,125.000
$ 175,000 $ 225,000 change tax amount to 8,375.00
$ 225,000 $ 300,000 change tax amount to 11,000.00
$ 300,000 change tax amount to 15,125.00

Single – Withholding – Annual payroll period
If the taxable income is
$ 100,000 $ 125,000 change tax amount to 4,750.00
$ 125,000 $ 150,000 change tax amount to 6,000.00
$ 150,000 $ 250,000 change tax amount to 7,312.50
$ 250,000 change tax amount to 12,812.50

natasha333 on July 9, 2012 at 5:31 PM

The certified members of the lunatic-left d-cRAT socialist club of morally, ethically, socially, politically and fiscally bankrupt states: new york, california, massachusetts and illinois are blindly careening down the lunatic-left “Road to Hell”. MD along with CT, WA, RI, DE, VT, HI, NC and OR are currently just charter members of this horrific “club”, but each is trying hard under their lunatic-left rulers to achieve “certified member” status. All of them are fully committed to flushing the entire US down the drain with them.

Don’t want to go to lunatic-left hell? Then stop acting like imbeciles, throw out all the TAX-AND-SPEND mentally defective d-cRAT socialists and instead elect responsible, conservative, Tea Party-backed American patriots – OR – move to a responsible, successful American state like Glenn Beck and the millions of other fed-up people who want a sane, pleasant, low-tax, high-growth, job-creating place to live and raise their children have done.

Remember, “Escape from New York” isn’t just a movie – it’s a real life fact. So, let me welcome all the real Americans who have finally had their fill of d-cRAT socialist extremism and move to a state that respects America and American values.

For those who leave a failed lunatic-left state for a better place and get “homesick” there is a solution. Every now and then a circus will come to your nice town and provide you with all the sights, sounds and smells associated with the Big Apple, or Chicago, or Boston, or San Fran, etc. (but without the muggings and molesting). And the best part is that after a week or so, THEY ALL GO AWAY !

TeaPartyNation on July 9, 2012 at 5:33 PM

And there’s this, which was posted in the headlines last week, I believe.

I didn’t really know much about O’Malley at first, but after reading this article, he must not be allowed to come anywhere near the White House, or the Senate, for that matter. All the comments from Portia46 and Laura in Maryland amplify that.

My ex-PA girlfriend who now lives in Maryland is fairly non-political, but I wonder what she thinks now that the health care law is now in effect, because she has worked in the medical field herself and is transitioning to another area of it. Ditto for her employers, who I believe sell private health insurance policies.

PatriotGal2257 on July 9, 2012 at 5:33 PM

Laura in Maryland on July 9, 2012 at 4:16 PM

A little west, in Carroll. Westminster, actually. Have a good friend in Blair though. ;)

BKeyser on July 9, 2012 at 5:38 PM

Night Owl on July 9, 2012 at 5:28 PM

LOL, yeah, I hear you. Some Steelers fans can be really obnoxious toward the away teams as well, which I really don’t get. I’ve never got into being that kind of rabid sports fan of any team. I think there’s still such a thing as being sportsmanlike and being a gracious winner and a gracious loser.

PatriotGal2257 on July 9, 2012 at 5:46 PM

Let us not forget that Obama’s 250k tax is ON TOP OF Obamacare taxes.

maubman on July 9, 2012 at 5:56 PM

I didn’t know that Clinton’s tax rates were so unreasonably onerous- and that’s why raising taxes on a state by state basis isn’t going to fly. And by ‘mover and shaker’, is that how describe Denise Rich and other high value members of our society?

bayam on July 9, 2012 at 4:50 PM

But you said the problem with the economy is weak demand. So why do you want to weaken demand further?

Chuck Schick on July 9, 2012 at 6:01 PM

Bkeyser, I live in Westminster too! It’s where my husband was born and raised – and within commuting distance of his job market. I love it here – except it’s Maryland, and Maryland is run by idiots.

Anna on July 9, 2012 at 6:11 PM

Anna on July 9, 2012 at 6:11 PM

Hiya homey! I’ve been here since 2000, coming from Eldersburg by way of Randallstown. LHS grad ’83.

BKeyser on July 9, 2012 at 6:27 PM

I love western Maryland. We should just secede from the rest of the state. They’ll never miss us!

NavyMustang on July 9, 2012 at 6:29 PM

And to think the Dems are grooming O’Malley to become presidential timber in the near future. LOL! Hey, Free Staters come on over to VA (but fleeing Dems need not apply).

Bob in VA on July 9, 2012 at 4:58 PM

I’m Baltimore born and bred…after a stint in NOLA, I’ve wound up in Texas for the past 6 years. While I’m a big fan of TX policies, and can’t stand the weather and the drivers (lol)…and am looking to be back on the East Coast…most likely the Tidewater (Hampton Roads) area of VA. I will not be returning to the People’s Republic of MD.

right of the dial on July 9, 2012 at 6:42 PM

The Parable of 10 Men in a Bar

Not a Bible parable, obviously, but one of the best analogies I’ve ever seen to explain the downfall of Socialist taxation policies.

Suppose that every day, ten men go out for beer and the bill for all ten comes to $100. If they paid their bill the way we pay our taxes,it would go something like this:

The first four men (the poorest) would pay nothing.
The fifth would pay $1.
The sixth would pay $3.
The seventh would pay $7.
The eighth would pay $12.
The ninth would pay $18.
The tenth man (the richest) would pay $59.

So, that’s what they decided to do.

The ten men drank in the bar every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve. ‘Since you are all such good customers,’ he said, ‘I’m going to reduce the cost of your daily beer by $20.’ Drinks for the ten now cost just $80.

The group still wanted to pay their bill the way we pay our taxes so the first four men were unaffected. They would still drink for free.

But what about the other six men – the paying customers? How could they divide the $20 windfall so that everyone would get his ‘fair share?’

They realized that $20 divided by six is $3.33. But if they subtracted that from everybody’s share, then the fifth man and the sixth man would each end up being paid to drink his beer. So, the bar owner suggested that it would be fair to reduce each man’s bill by roughly the same amount, and he proceeded to work out the amounts each should pay.

And so:
The fifth man, like the first four, now paid nothing (100%savings).
The sixth now paid $2 instead of $3 (33%savings).
The seventh now pay $5 instead of $7 (28%savings).
The eighth now paid $9 instead of $12 (25% savings).
The ninth now paid $14 instead of $18 (22% savings).
The tenth now paid $49 instead of $59 (16% savings).

Each of the six was better off than before. And the first four continued to drink for free. But once outside the restaurant, the men began to compare their savings.

‘I only got a dollar out of the $20,’ declared the sixth man. He pointed to the tenth man, ‘but he got $10!’

‘Yeah, that’s right,’ exclaimed the fifth man. ‘I only saved a dollar, too. It’s unfair that he got ten times more than I got!’

‘That’s true!!’ shouted the seventh man. ‘Why should he get $10 back when I got only two? The wealthy get all the breaks!’

‘Wait a minute,’ yelled the first four men in unison. ‘We didn’t get anything at all. The system exploits the poor!’

The nine men surrounded the tenth and beat him up.

The next night the tenth man didn’t show up for drinks so the nine sat down and had beers without him. But when it came time to pay the bill, they discovered something important. They didn’t have enough money between all of them for even half of the bill!

And that, ladies and gentlemen, journalists and college professors, is how our tax system works!!

The people who pay the highest taxes get the most benefit from a tax reduction. Tax them too much, attack them for being wealthy, and they just may not show up anymore. In fact, they might start drinking overseas where the atmosphere is somewhat friendlier.

[Found on the Internet, here’s what Snopes has to say about the authorship. Regardless of who wrote it, it explains the concepts very well.]

The tenth man represents the top 10% of income earners.
From 1993 to 2005 the total income tax share (as a percentage) paid by the “tenth man” has ranged from 59% in 1993 to over 70% in 2005:

tax year % paid by “Tenth Man”
1993 59.24
1994 59.45
1995 60.75
1996 62.51
1997 63.20
1998 65.04
1999 66.45
2000 67.33
2001 64.89
2002 65.73
2003 65.84
2004 68.19
2005 70.30

Source: IRS

The Bush tax cuts, which the MSM (Marxist Socialist Media) called “tax cuts for the rich”, actually INCREASED the percentage of the total income tax share paid by the top 10% of income earners…the “tenth man”. Don’t get me wrong…I think the Bush tax cuts are a good thing. They are like the bar owner reducing the price from $100 to $80. What I am against is the MSM distortion of those tax cuts as somehow “unfair” to the people who either pay no taxes at all or pay a very small amount. The MSM encourages the 9 men to beat up on the tenth man, and that’s just stupid. Here is a real-life example of what happens when the tenth man decides he’s had enough and he’s leaving…

The story here about Maryland is yet another example, in a long list of examples. Raise taxes too high, beat up the people who pay the overwhelming majority of the tax burden, and they will go elsewhere, leaving your locale broke and busted.

ITguy on July 9, 2012 at 6:46 PM

BKeyser on July 9, 2012 at 6:27 PM

Howdy, neighbor! We’ve been here as a household twice, in 2007 and since 2009. My husband joined the Navy to see the world and ended up right back here.

I love knowing I’m not alone up here. : )

Anna on July 9, 2012 at 6:47 PM

Compare and contrast that with the Bush Tax Cuts, which LOWERED RATES FOR ALL TAXPAYERS, yet resulted in an INCREASE in tax renenues!!!

President George W. Bush “inherited” the Dot Com bust and the 9/11/2001 attacks, both of which hurt our economy and decreased employment (increased unemployment).

The second part of the “Bush Tax Cuts” were signed May 28, 2003, and turned the economy around… both employment and revenues went UP as a result of the Bush Tax Cuts.

For employment numbers, use the Employment-population ratio: http://data.bls.gov/timeseries/LNS12300000
For Revenue numbers, use: http://www.whitehouse.gov/sites/default/files/omb/budget/fy2013/assets/hist01z1.xls

Let’s look at the Employment-population ratio in the last month of each Fiscal Year (September) from 2000 onward:

Year Employment-population ratio in September
2000 64.2
2001 63.5
2002 63.0
2003 62.0
2004 62.3
2005 62.8
2006 63.1
2007 62.9
2008 61.9
2009 58.7
2010 58.5
2011 58.4

And let’s look at Receipts (Revenues) from 2000 onward:

Table 1.1—SUMMARY OF RECEIPTS, OUTLAYS, AND SURPLUSES OR DEFICITS (–): 1789–2017

Year Total Receipts (in millions of dollars)
2000 2,025,191
2001 1,991,082
2002 1,853,136
2003 1,782,314
2004 1,880,114
2005 2,153,611
2006 2,406,869
2007 2,567,985
2008 2,523,991
2009 2,104,989
2010 2,162,724
2011 2,303,466

Starting with Fiscal Year 2000, note how both employment and revenues went DOWN in FY 2001, DOWN again in FY 2002, and DOWN again in FY 2003. That’s the effect of the Dot Com bust and the 9/11 terrorist attacks.

But the Bush Tax Cuts turned the economy around. Note how both employment and revenues went UP in FY 2004, UP again in FY 2005, UP again in FY 2006, and while employment dropped slightly in 2007, revenues were UP again that year.

The Bush Tax Cuts improved employment and improved revenues… Revenues in FY 2007 were 44% larger than FY 2003 revenues!

It wasn’t until the Democrats took majority control of the House and Senate, in January 2007, that the economy really started to tank. The Democrats have been in majority control (holding 2+ out of 3 of the House, Senate and Presidency) for 5.5 years, and they spent the first half of that driving the economy in the ditch and the second half of that leaving the economy in the ditch.

If the Bush Tax Cuts are allowed to expire, and tax rates go up, both jobs and revenue will be lost. We will have lower employment (higher unemployment) and lower revenues.

To allow the Bush Tax Cuts to expire would be irresponsible.

ITguy on July 9, 2012 at 6:49 PM

We’re taxing people too much and people are voting with their feet,” said Change Maryland Chairman Larry Hogan. “Until we change our focus from tax increases to increasing the tax base, more people are simply going to leave, leading to a downward spiral of raising revenues on fewer citizens.”
I know how to fix that.
Make it a crime to move from state to state.
Fixed!
I’m sure the IRS can enforce this issue.
It’s a no brainer!

Badger40 on July 9, 2012 at 4:51 PM

OK, now there’s a typical liberal Maryland solution for you:
-Impose a hefty tax on relocation out of the state. Rob ‘em blind if they choose to leave.

Yiwen on July 9, 2012 at 7:31 PM

This is not a phenomenon that started with the O’Malley regime. Maryland has been unfriendly to businesses for decades, and since the time when George Allen was governor of Virginia, Maryland has been bleeding white collar jobs to its sister to the south. Even when Maryland had a Republican governor (Bob Ehrlich) and Virginia had a Democrat (Mark Warner), Virginia was far more pro-business.

Selkirk,

No disrespect intended, but please do us Virginians a favor and don’t call us Maryland’s “sister to the south”. We are NOT family.

Virginia was Virginia when Maryland was a pup.
Virginia will be Virginia when Maryland grows up.
And if you G-ddamned Terrapins don’t like my Cavalier sass
You can pucker up your Terrapin lips and kiss my Cavalier a$$.
(Oh I think I need another drink for the glory of the UVa.)

Yiwen on July 9, 2012 at 7:38 PM

And by ‘mover and shaker’, is that how describe Denise Rich and other high value members of our society?

bayam on July 9, 2012 at 4:50 PM

Denise and her husband’s money were able to move the Clinton White House to pardon her crook husband. Anyone with that kind of money and influence is by definition a “mover and shaker”.

RJL on July 9, 2012 at 7:38 PM

Also why are so many of my fellow Virginians inviting even MORE of these Marylanders to turn our state bluer?

Instead we should be telling them to stay away!

(And in case anyone wants to know the reason for my perspective, I spent from age 3 to aqe 14 in P.G. county in the late ’60′s and early ’70′s. I thank G-d for my parents’ wisdom to move our family to Fairfax County in 1975. The schools were so much better on the Virginia side.)

Yiwen on July 9, 2012 at 7:43 PM

Unfortunate for the folks on the Lower Eastern Shore. Good thing they are a stout and proud group.

Bmore on July 9, 2012 at 4:11 PM

What, folks on the Eastern Shore are ALL fat???

Mayhaps you meant “stalwart” and not “stout”???

Yiwen on July 9, 2012 at 4:17 PM

No, I did indeed mean stout.

Bmore on July 9, 2012 at 7:43 PM

Yiwen, if you were from the Lower Shore, you would understand my usage. Old English.

Bmore on July 9, 2012 at 7:46 PM

And then the *$%#@#% come to Virginia and keep voting for %#$^&@ Democrats!!

DavidW on July 9, 2012 at 8:10 PM

and am looking to be back on the East Coast…most likely the Tidewater (Hampton Roads) area of VA. I will not be returning to the People’s Republic of MD.

right of the dial on July 9, 2012 at 6:42 PM

I think there are a number of us from Tidewater here. I’m down in the southern part, maybe 5 miles from NC. Far enough from Norfolk people are sane (i.e., conservative).

Hot tip: a really good time to go house shopping is just before a presidential election. Look at the yard signs, and choose your location accordingly.

CJ on July 9, 2012 at 9:11 PM

A little west, in Carroll. Westminster, actually. Have a good friend in Blair though. ;)

BKeyser on July 9, 2012 at 5:38 PM

Well, now you’ve got two.

Laura in Maryland on July 9, 2012 at 10:35 PM

BKeyser on July 9, 2012 at 5:38 PM

And my best friend is in Finksburg by way of Owings Mills.

Waddaya know.

Laura in Maryland on July 9, 2012 at 10:36 PM

Bloody Maryland!

Cool flag otherwise not so merry a land.

Wish Abe Lincoln would come down and detain its state legislators (again)!

Sherman1864 on July 10, 2012 at 3:13 AM

Yiwen, if you were from the Lower Shore, you would understand my usage. Old English.

Bmore on July 9, 2012 at 7:46 PM

Bmore,

I will freeely admit I never spent much time in the Lower Shore.
I knew a few folks in college who were from the Virginia part of the Lower Shore (Onancock, etc.) and in getting to know them, I get it that some old English word usage and even local custom stems from the colonial period. I’ve not been there but definitely got the impression it was a place where old traditions are esteemed…something I can definitely support.

Apologies and thanks for the dictionary reference. I’d never encountered the word “stout” meaning anything other than “overweight”.

Yiwen on July 10, 2012 at 7:19 AM

If it weren’t for my love of the Ravens and my absolute hatred for everything Steelers, I’d have moved 15 miles north into PA some time ago. I just can’t make the move over the M-D line. ;)

I feel the same. I need to find a Ravens roost in South Carolina, Georgia or Florida. Also need need to find good crabcakes. Then I’m out of here.

shana on July 10, 2012 at 6:19 PM

Hiya homey! I’ve been here since 2000, coming from Eldersburg by way of Randallstown. LHS grad ’83.

BKeyser on July 9, 2012 at 6:27 PM

I’m in Eldersburg, too. Go Liberty Lions!

shana on July 10, 2012 at 6:47 PM

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