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WFP: "Cuts Alone Won't Fly With Voters"; Calls For Increased Taxes On Wealthy

by: robert.harding

Mon Dec 15, 2008 at 13:41:38 PM EST


The Working Families Party used a poll conducted by Kiley and Company to show that spending cuts proposed by Governor David Paterson "won't fly with voters" while calling for a modest tax increases on the wealthiest New Yorkers.

According to a poll conducted by Kiley & Company, and commissioned by the Working Families Party, the vast majority of New Yorkers are in strong opposition to the planned cuts by Gov. David Paterson and are in strong support of a solution to the State's budget crisis that uses a combination of both some spending cuts with some tax increases on New Yorkers who make more than $200,000 a year.

" This poll shows that New Yorkers are speaking loud and clear, and Governor Paterson and Albany legislators would do well to listen: they do not want the solution to this budget crisis to just be a giant swing of the axe," said Dan Cantor, Executive Director of the Working Families Party. "It's clear that New Yorkers are nearly united behind a solution that combines prudent spending cuts with sound tax increases on those that make over $200,000 that would both restore fairness to the tax system and help raise the necessary revenue to close this budget gap."

The poll showed that New Yorkers were strongly resistant to the proposed massive cuts to healthcare, education programs, and the safety net. When asked whether the state should "seriously consider" a list of budget proposals in order to close the budget gap, or should "definitely not consider taking that step," between 60% and 75% of all voters said Albany should "definitely not" consider any of the following steps:

· Reducing the amount the state would reimburse hospitals for services provided under the Medicaid program (60% say "definitely do not take that step")

· Reducing state funding for Medicaid and other health care services by $1.7 billion over the next year and a half (65%)

· Cutting state aid to public schools by $1.4 billion over the next year and a half (75%).

Cutting is the easy way out. The real solution is finding more revenue sources. The proposed millionaires tax would be a great revenue source, but it has fallen on deaf ears.

These cuts will do nothing except rob New Yorkers of important services that are provided to them. Whether it is education or health care, these are important parts of the state budget that will have a far-reaching effect.  

robert.harding :: WFP: "Cuts Alone Won't Fly With Voters"; Calls For Increased Taxes On Wealthy
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I can't wait to see what the WFP thinks about Paterson's proposed (0.00 / 0)
tax hikes on clothing and gasoline.  This is going to get good.  

Yes a millionaire tax is a good idea (0.00 / 0)
because any millionaire who lives in N.Y. state is already announcing to the world that high taxes don't bother them much.  The millionaire tax should be raised every year until there's clear evidence that it's causing anyone to leave or not move to N.Y. state.  Then it should be stepped back just a notch and left right there.

We do need cuts (4.00 / 2)
but we also need the millionaire's tax.  This is a big deficit, and we can't get it closed just by raising revenue.  That being said, it is wholly reasonable to patch the budget together with a short-term millionaire's tax.  I think we can get this through the Assembly but we need to push hard to get it through the Senate.

A poll on the Millionaires tax (0.00 / 0)
by Quinnipiac (buried in their Senate poll) showed 84% support, including 72% among Republicans.

I tend to think that raising taxes on the super rich during a recession is like collecting the offering in an empty church, but fundamentally I favor the idea.

But The only millionaires making anywhere near their normal money right now are Surgeons and top notch lawyers.

So don't expect it to raise anywhere near the money that is hoped.


Further explanation (0.00 / 0)
Lets say I made $1 million this year.

If I'm that rich, I probably have been putting many hundreds of thousands of dollars in the market every year, totaling 6 million in purchases by me.

Usually, I make 6 figures in the market and either leave it there, so my total stocks are worth 9 million on  1/1/2008.

This year, however, I lost half of it - 4.5 Million dollars. What does that mean to me? Well, if I sell all of my stock in December, I can claim a loss of 1.5 Million dollars (the other 3 isn't a taxable loss because it was never real money)

Therefore, my income for 2008 is (1 million in salary - 1.5 million in capitol losses) = $-500,000

Guess how much I pay in taxes, millionaires tax or not?


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