Comment on Texas Attracted California Techies. Now It’s Losing Thousands of Them.
locuester@lemmy.zip 6 months agoSource? Texas has no income tax so I’m finding this a weird thing to say
mosiacmango@lemm.ee 6 months ago
locuester@lemmy.zip 6 months ago
This isn’t comparing taxes. It’s comparing what section of the population shares more of the total burden.
This isn’t saying the people in Texas pay more, just that the distribution is different across income groups. Which makes sense because there is no income tax. Overall, everyone in Texas is paying less than they would in Cali.
mosiacmango@lemm.ee 6 months ago
You realize that the percentage of your income that is taxed is a fixed number regardless of state, right? That 1% of 60k in California is the same as 1% of 60k in Texas?
It very directly shows that poorer people in Texas pay more than poorer people in California over the wide range of taxes in each state. They fully take into account land ownership or not, which you can confirm by reading the linked article in the comment.
locuester@lemmy.zip 6 months ago
Ugh I’m sorry. I started trying to make sense of it and then somehow confused myself into thinking it was a % share of total - as if each side added to 100%. Nevermind, I was wrong.
Anyhow, back to the chart - it simply makes no sense in that case. I would need to take a look at the underlying to tell me how the bottom 20% pay 13% of income to taxes in a state with 0% income and 6.25% sales tax. Only thing left is property tax (according to chart it’s those 3).
Yes I realize small local sales taxes may apply, but is a max of 2%.
How much property does this bottom 20% own?!
capital@lemmy.world 6 months ago
Income taxes get all the attention but they aren’t the only taxes.
I don’t know about the 600k figure specifically though.
locuester@lemmy.zip 6 months ago
They aren’t. There is sales tax too, which is higher in Cali. And property taxes seem moot if we’re talking about poor people, no?
bradorsomething@ttrpg.network 6 months ago
It’s an odd argument, but I think it comes down to sales tax and property tax. Property tax is high in texas, and sales tax is 7% (not the highest in the nation, but high, and local sales tax can also run 1-2%). I think the theory is that you only pay so much sales tax in goods for one person, so it balances out california’s higher property taxes.
locuester@lemmy.zip 6 months ago
That makes zero sense.
Cali sales tax is 7.25, Texas is 6.25
Poor people likely don’t own property, but yeah it’s about double in Texas.
Income tax in Cali ramps from 1% up slowly to 9% at just 68k/yr. But even lowest income pays 1%. Texas is 0%.
The argument has no merit. None. California appears to have objectively higher tax on most people, and certainly on all those who don’t own property.
What am I missing?
plumcreek@lemmy.ml 6 months ago
Landlords pass on higher property taxes to their tenants in the firm of higher rents. You don’t need to own property to be affected by high property taxes.
locuester@lemmy.zip 6 months ago
Ok, then we are getting into estimated tax derivatives. Yeah I can’t just make guesses there.
That’s not direct tax.
But I agree there could be something there. It would be minimal I’d assume but I truly don’t know.
bradorsomething@ttrpg.network 6 months ago
Texas has a base sales tax of 6.25, which can be raised by local taxes up to 2%. So it is effectively 8.25% everywhere.
locuester@lemmy.zip 6 months ago
Ok? But that income tax is huge…
I hadn’t considered the fact that some people make money under the table and/or illegally. And this pay not income tax in either state, but a ton of sales tax.
I highly doubt a large amount of that in a 2% local sales tax county is what causes this. If so, that’s crazy.
inclementimmigrant@lemmy.world 6 months ago
itep.org/whopays-7th-edition/#income-taxes
locuester@lemmy.zip 6 months ago
I agree with all this. Not sure it’s relevant.
CA charges almost no tax on its poorest, and the poorest make $0 , so they see no benefit. Same in TX.
inclementimmigrant@lemmy.world 6 months ago
So you’re just going to be willingly obtuse. Got it.
locuester@lemmy.zip 6 months ago
Not being willingly obtuse, this is a good faith discussion. It feels very obtuse on the other end tbh, and I’m genuinely trying to have an intelligent discussion.
“Other taxes and bullshit” I agree 100% that I’m not taking into account. Thats where I’m looking for some sources of specific info. Not just unsourced opinions.
iquanyin@lemmy.world 6 months ago
the poorest rely the most on services and on things like clean water. they can’t just jet off to a better area.