Is outlined here: Taxing the Wealthy Sounds Easy. It’s Not. – The New York Times.
It’s worth a read. It’s thoughtful, even if you may not agree with it. Also, just because something is not easy does not mean do not attempt it.
Taxing drives behaviour. My thought is drive behaviour in the right direction. Tell affluent people to use their wealth in directed ways that improve our society or tax them so that it can be done. If they disagree, then it is time to make explicit the social contracts in place and ask what has to be changed to make for a better society. Because for most societies in the world, including Canada’s, the social contract can be a lot better.
You will hear anecdotes of people doing so, but in reality:
While everyone seems aware of a handful of high-profile millionaires decamping to low-tax states for tax reasons, in truth few move in response to state tax rates. Young examined tax data from every millionaire in the United States over thirteen years. He found that, even over that long time horizon, only 0.3% of all millionaires, on net, moved to a lower tax state. A larger share—about 2.5 percent– move from one state to another each year, but most do not migrate for tax reasons.
That quote is from: What Republicans and Democrats Can Learn from “The Myth of Millionaire Tax Flight” | Tax Policy Center.
Remember this the next time someone is arguing that higher taxes will cause the well off to move elsewhere.
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Posted in money
Tagged money, policy, taxes