Gavin Newsom Opines on Wealth and Taxes

The California Governor finally admits who pays for Sacramento’s spending—billionaires. 

WSJ editorial. Excerpts:

"He now admits that taxes affect where people choose to live and invest."

"The union claims the measure would raise $100 billion in revenue. That’s doubtful given that it has already spurred many billionaires to decamp."

"“The impact of a one-time tax does not solve an ongoing structural challenge,” the Governor said Thursday. “You would have a windfall one time, and then over the years, you would see a significant reduction in taxes because taxpayers will move.”"

"Mr. Newsom said he is very “mindful” that “we rely on a very small number of people that allows us to do historic things”—i.e., spend at historic levels. His recently proposed budget includes $539 billion in spending, up 68% from 2019."

"the top 1% of earners pay about half of state income tax."

"California’s federal Medicaid dollars this year are projected to increase by $18 billion (15%)."