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Why does Chuck hate NY?; Is Schumer Ignorant Of The Constitution; and his protege’ Gillibrand – a big spender, her NTU tab!

October 17, 2011

Sen. Charles SchumerWhy does Chuck hate NY?

Last Updated: 10:53 PM, October 6, 2011

 What good is having someone in the US Senate leadership representing your state — if he’s going to work to hurt it?

Certainly Sen. Chuck Schumer’s new “millionaire’s tax” is not in New York’s best interests.

Schumer and Senate Majority Leader Harry Reid seek a 5.6 percent surcharge on earnings over $1 million to pay for yet another $450 billion stimulus plan.

Problem is, New York has a wildly disproportionate share of the nation’s seven-figure earners: Though home to less than 7 percent of the US population, the state collects income tax from some 15 percent of the $1 million-plus crowd, the Manhattan Institute estimates. So Schumer’s hike will sting far more here than elsewhere.

So what, you say? They can afford it?

Well, the hike would also hit income from capital gains, interest and dividends, slapping New Yorkers harder still — both personally, and by further weakening the economically critical financial sector.

Now, we understand why a junior senator like Kirsten Gillibrand rushed (as one blog put it) to “side with Schumer” on the tax. But New York’s senior senator should know better. If he won’t look out for the state’s interests in the Senate, who will?

Not that the hike will help other Americans, though. (Even the pro-tax New York Times noted yesterday that the plan “seems more about politics than policy.”)

President Obama has sought to stir up animosity toward “millionaires and billionaires” as he heads toward the presidential race, and he may be succeeding.

No one really believes another nearly half-trillion dollars in new spending, paid for with a nearly half-trillion-dollar tax hike, will help the economy one bit. (Even Keynesians say you need to increase deficits to boost GNP.)

Rather, by further taxing investments, small businesses and dividends, Schumer & Co. will only make the economy worse.

The good news for New York: The plan is expected to die. No thanks to Schumer.

 

Is Schumer Ignorant Of The Constitution

Friday, 07 October 2011 11:02

There is an interesting little editorial in the New York Post today about Senator Schumer’s support for the 5.6 percent surcharge on earnings over $1 million. The article makes a great point demonstrating how this particular tax impacts New York.

New York has a wildly disproportionate share of the nation’s seven-figure earners: Though home to less than 7 percent of the US population, the state collects income tax from some 15 percent of the $1 million-plus crowd, the Manhattan Institute estimates.

In Schumer’s defense he has stated the threshold should be higher.

Schumer said the $250,000 limit is unacceptable since it will hit the metropolitan area disproportionately because of the high cost of living here.

“$250,000 makes you really rich in Mississippi but it doesn’t make you rich at all in New York and there ought to be some kind of scale based on the cost of living on how much you pay,” Schumer said.

So in Chuckles mind there should be one set of taxes for rich New Yorkers and one for those rich folk in Mississippi. Unfortunately there is one little problem with this idea and it happens to be the Article 1 Section 8 of the U.S. Constitution.

The Congress shall have Power To lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defence and general Welfare of the United States; but all Duties, Imposts and Excises shall be uniform throughout the United States;

It is a pretty sad day when member of Congress for 30 years and a Harvard Law School grad doesn’t know basic constitutional law.

  •  In other news:

Schumer Shapes the Bench

Brooks vs. Gillibrand?

And for some more on Gillibrand:

 

Vol. 2 Issue 34 October 4, 2011  September Snapshot

 

The National Taxpayers Union Foundation (NTUF) presents a monthly overview of the bills we scored in September, including cost estimates and sponsorship data. Please note that the estimates are preliminary and that NTUF revises estimates as new data becomes available. Links to each Member’s BillTally report are for the previous Congress. For more information on how NTUF scores legislation, BillTally’s methodology is available here.

NTU: Gillibrand’s a spending star in Senate:

BillTally Member Detail Report ~ 111th Congress Complete

(Note: All costs are annualized in millions of dollars)

Gillibrand, Kirsten NY
    Increase   Cut   Net
    $271,996   -$7,693   $264,303

 

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