Taxpayers Crown Winner of America’s Biggest Loser: New York
Newly released IRS migration data from 2013 shows that New York lost more taxpayers than any other state in the nation. That year, nearly 115,000 residents left the Empire State, taking with them $5.65 billion in adjusted gross income (AGI) to spend elsewhere.
This new data shows that New York will remain America’s “Biggest Loser,” having lost nearly 1.6 million taxpayers between 1985 and 2013. Those residents took with them more than $80.8 billion in annual AGI.
The phenomenal failure of New York to retain taxpayers and businesses is directly related to its uncompetitive tax and business climates. By some measures, New Yorkers face the greatest tax burden of any state in the nation. The personal income tax system consists of eight brackets and a top rate of 8.82%. The corporate tax of 7.1% and property tax collections are $2435 per person. The Tax Foundation ranked New York 50th until this year after a set of minor tax reductions.
In 2013, New York had the largest population losses to the following states:
- Florida -20,465 (-$1.35 billion)
- New Jersey -16,223 (-$1.1 billion)
- Texas -10,784 (-$354 million)
- North Carolina -9,070 ($294 million)
- California -7,849 (-$200 million)
Even Democrat Governor Andrew Cuomo acknowledged that the status quo has “cost us dearly” being the “highest tax state in the nation.”
In an attempt to edge out some bottom-of the-list competitors, Cuomo has enacted minor property tax caps, corporate tax relief, and attempted to lure G.E. from Connecticut in the midst of that state’s massive tax hikes this year.
Who was the biggest winner in 2013? Click here to find out.