Taxpayers vote with their feet: Why has the IRS stopped reporting tax migration info?

CuteOldGuy's Avatar
Here's an interesting article on how high taxes effect people:

Migration trends in California have reversed in recent years. There was a time when people moved too California.

What was for a long time a shining jewel of the great American experiment has lost much of its luster as tax rates and regulations have squeezed the economy. Despite the fantastic weather, the beautiful ocean and mountains, and de facto legalized pot (or perhaps for some because of such legalization) people nonetheless feel that the Golden State is no longer golden. As such they have sought less taxed pastures farther east.

The same can be said for New York. Though the Empire State doesn’t have particularly good weather, and people are moving south not east, taxes are killing people there. As in California, the people who can, are leaving.

When taxes are high enough for people and businesses to pull up their stakes and move halfway across a continent something is wrong. Taxes are too high in the place from which they left.

We know that this kind of tax migration is happening largely because the IRS reports such migration. Or at least it did. It does no longer.

The National Review reports that the data is no longer public due likely to the embarrassing nature of the information. Pols in high tax states want the tax bases of their respective states to think that they have no option but to pay ever higher rates.

Why would you want to leave New York anyway? Florida is way too hot. And let’s be honest. That nest egg you built up. Well, you didn’t really “build” it yourself anyway. New York State had at least an equal part in your modest success. If you think about it, you’re just paying us back.


More here: http://www.againstcronycapitalism.or...igration-info/
California is likely showing us our future; key demographics grouped into voting majorities approve ever expanding benefits and more government. Taking from those who produce and re-distributing to the voting blocks.

Californians can flee to Texas, Washington, Utah and other low tax states, but once America falters, there is no place for the middle class to run and hide from the tax man.

And make no mistake. The Progressive left (with Obama in lead) will go after the middle class wealth once they are finished fleecing the 2%. Afterall more than half of America's wealth is in the middle class (it's where the money is).

http://online.wsj.com/article/SB1000...043696178.html

http://news.investors.com/ibd-editor...ead.htm?p=full

http://www.forbes.com/sites/realspin...or-the-cities/
Chica Chaser's Avatar
California's Population Is Moving Out, Census Report Shows
More people are moving out of the state than into the state, a new Census report shows......

The trend can be explained, in part, in monetary terms. Even in an economic boom, the cost of living in California has increased, prompting people to move out, and, in recent years, unemployment in the state has skyrocketed.

The Census Bureau calculates that the most popular destination is Texas (58,992), a state that is luring California companies. That’s followed by Arizona (49,635), Nevada (40,114), Washington (38,421) and Oregon (34,214).
http://www.nbclosangeles.com/news/lo...182914961.html
Old-T's Avatar
  • Old-T
  • 12-11-2012, 06:05 PM
I have a relative in NY. He won't be for long.

He inherited 100K, added it to 100K he had saved, and thought he could buy a decent house to move his 5 person family into (he had always been an apartment dweller). Then he ren into the reality of the NY housing market: with he and his wife working, making what most would call decent money, AND 200K for a down payment--he couldn't qualify for what they wanted, about 2200 sq ft and a small yard in the area he wanted to live.

Then I sent him info on housing a lot of other places and he discovered he could get a larger home, more land, newer house, less traffic, and a compairable or better school district for far less. In some of those places the 200K would buy the home without a mortgage.

The tax rate never entered his mind or his decision.
Doove's Avatar
  • Doove
  • 12-11-2012, 06:26 PM
And make no mistake. The Progressive left (with Obama in lead) will go after the middle class wealth once they are finished fleecing the 2%. Afterall more than half of America's wealth is in the middle class. Originally Posted by Whirlaway
Yup, as long as you Obama haters continue to talk about what he will do, you can never be proven wrong.
Yup, as long as you Obama haters continue to talk about what he will do, you can never be proven wrong. Originally Posted by Doove
I know that you will likely get flame sprayed and called many names for this, but before that happens, I must agree with the factual accuracy of your statement. Plus it made me laugh!
Yssup Rider's Avatar
California is likely showing us our future; key demographics grouped into voting majorities approve ever expanding benefits and more government. Taking from those who produce and re-distributing to the voting blocks.

Californians can flee to Texas, Washington, Utah and other low tax states, but once America falters, there is no place for the middle class to run and hide from the tax man.

And make no mistake. The Progressive left (with Obama in lead) will go after the middle class wealth once they are finished fleecing the 2%. Afterall more than half of America's wealth is in the middle class (it's where the money is).

http://online.wsj.com/article/SB1000...043696178.html

http://news.investors.com/ibd-editor...ead.htm?p=full

http://www.forbes.com/sites/realspin...or-the-cities/ Originally Posted by Whirlaway
You are certifiable. I here Saskatchewan is wide open and looking for a few more DIPSHITS!
Yup, as long as you Obama haters continue to talk about what he will do, you can never be proven wrong. Originally Posted by Doove
That's why he passed legislation that major parts of which kick in in 2014.
SEE3772's Avatar
I have a relative in NY. He won't be for long.

He inherited 100K, added it to 100K he had saved, and thought he could buy a decent house to move his 5 person family into (he had always been an apartment dweller). Then he ren into the reality of the NY housing market: with he and his wife working, making what most would call decent money, AND 200K for a down payment--he couldn't qualify for what they wanted, about 2200 sq ft and a small yard in the area he wanted to live.

Then I sent him info on housing a lot of other places and he discovered he could get a larger home, more land, newer house, less traffic, and a compairable or better school district for far less. In some of those places the 200K would buy the home without a mortgage.

The tax rate never entered his mind or his decision. Originally Posted by Old-T
Ca. 1981, in conversation with a co-worker.

At that time, $750K bought a small tract house in Southern California.

A bunch of Boston-area real-estate brokers had an idea. They took out ads in LA and SF and especially Silicon Valley newspapers, showing what kind of MANSIONS could be bought back East for that kind of money, and pointing out that the job market around Boston was just as hot as the one in California.

A BUNCH of people took them up on it.

No word on how they reacted to learning about Winter.
People are leaving California (and mostly coming to Texas) for jobs. It's not because of taxes.

Real estate in parts of New York and California has always been outrageously expensive. Again, not a tax issue. It's a "what the market will bear" issue. When you've got buyers willing to shell out a million bucks for a 2,000 SF brownstone in Manhatten or a condo in San Diego, that's what those things are going to cost.

Regarding the lack of reporting by the IRS, only you could see a government conspiracy there COG.
The migration is a cost/quality of life issue; of which taxation in California plays a big role !

But equally important is the burden that bigger state government (debt, unfunded obligations, regulatory, etc) is placing on businesses and individual households.

But don't take my word for it. Read about it from the experts at City Journal, one of the foremost publicans on urban issues.

http://www.city-journal.org/2012/22_4_california.html
http://www.city-journal.org/2011/21_...usinesses.html
http://www.city-journal.org/2009/19_4_california.html
http://www.city-journal.org/2012/22_...nia-taxes.html
http://www.manhattan-institute.org/h...m#.UMieJuTAd8E
I read the first link....yes, the usual blitz of ready-made republican solutions to every single problem: cut taxes, bust the unions, drill for oil and seal the border. Horseshit.

Does it ever strike anybody as being just a gigantic coincidence that the Republican "solutions" to all of our economic problems all involve attacks on policy and programs that have ALWAYS been in GOP gunsites, even in the best of economic times?
People are leaving California (and mostly coming to Texas) for jobs. It's not because of taxes.

Real estate in parts of New York and California has always been outrageously expensive. Again, not a tax issue. It's a "what the market will bear" issue. When you've got buyers willing to shell out a million bucks for a 2,000 SF brownstone in Manhattan or a condo in San Diego, that's what those things are going to cost. Originally Posted by timpage
Really? It's NOT because taxes? Can you cite some statistics for that?

Do you really believe that taxes don't play ANY role in relocations? That's a progressive's fantasy, not reality.

The TRUTH is that people relocate for a number of reasons and taxes are one of the significant factors. I know this because people in my own family retired young and moved DELIBERATELY to a low tax state that also had a low cost of living. They consulted a tax planner who ran through different tax scenarios for TX, NC, SC, FL, GA and I think, VA.

They saved over $10K per year JUST in property taxes. That doesn't count the 10% income tax in NY or the abominable cost of living.

Now if that want to get second careers (both in late 40s, the tax burden will be much lower than NY.

Also, SOME parts of NY and CA are outrageously expensive. Other parts are not. So why not stay in the state and move to one of the cheaper areas? Becuase you still have to pay California's 10+% state income tax.

A lot of people in CA and NY have decided that if they have to move out of the "cool" and "hip" parts of the state, they might as well move OUT of the state and take care of tax problems, too.

What's the point of moving to Utica or Schenectady as opposed to NC or TX? If you aren't within a 2 hour drive of Manhattan or the beaches of Long Island, you might as well be in Plano.

I heard a radio report about two weeks back that pro athletes that are free agents are trying to front load their contracts with cash bonuses before taxes go up.

And I heard MANY times about free agents that picked new teams based on the tax rates in the city where they were moving. Texas has a big advantage in that department. Every jock that plays here saves 10% off the top on state income taxes compared to NY and CA.
Does it ever strike anybody as being just a gigantic coincidence that the Republican "solutions" to all of our economic problems all involve attacks on policy and programs that have ALWAYS been in GOP gunsites, even in the best of economic times? Originally Posted by timpage
Does it ever strike anybody as being just a gigantic coincidence that the Democratic "solutions" to all of our economic problems all involve increased government spending and higher taxes on the "evil" rich - even in the best of economic times?