Rep. Alexandria Ocasio-Cortez‘s recent call to raise taxes on New York’s highest-earning 5 percent would hit households making $250,000 or more, according to a new analysis.
The firebrand Democrat signed on to a statement issued last month by the New York City Democratic Socialists, calling on the city and state to ‘fund resources for all New Yorkers’ by raising taxes on the top 5 percent.
In an analysis on Monday for the Wall Street Journal, Tim Hoefer, the CEO of conservative think tank Empire Center for Public Policy, accused the congresswoman of attempting to redefine the term ‘rich’.
‘Considering the left’s prior focus on “the 1 percent,” this is a major development,’ he wrote.
Hoefer wrote that while the top 1 percent of New Yorkers make nearly $1 million in adjusted gross income, the 5 percent threshold is a little above $250,000 for a household, or a married couple making about $127,000 each.
Rep. Alexandria Ocasio-Cortez famously wore a dress reading ‘tax the rich’ at the 2021 Met Gala. She has called for higher taxes on the top 5% of New York earners
Hoefer argued the $127,000 threshold would include many government workers, teachers and school administrators, and first responders.
‘The move from targeting the top 1 percent to the top 5 percent is a recognition that the socialist program, to borrow from Margaret Thatcher, risks running out of other people’s money,’ he wrote.
Ocasio-Cortez was one of 20 elected officials from New York to sign on to the recent Democratic Socialists statement, alongside state Senators Julia Salazar, Jabari Brisport, and Kristen Gonzalez.
The statement sharply criticized Governor Kathy Hochul and Mayor Eric Adams, both Democrats, accusing them of a plot ‘to cut social services and maintain the profits of their wealthy donors’.
The statement slammed ‘violent budget cuts’ and called for ‘full funding of schools, higher-education, and healthcare.’
‘We can pay for these public services by raising taxes on the top 5 percent of New Yorkers,’ the group added, without offering further details.
Ocasio-Cortez, a member of the US House who represents parts of the Bronx and Queens, has no power to pass legislation at the state or local level, but is a prominent and influential voice in progressive circles.
Rep. Alexandria Ocasio-Cortez, D-N.Y., speaks during a House Oversight Committee impeachment inquiry into President Joe Biden on September 28
The statement sharply criticized Governor Kathy Hochul (left) and Mayor Eric Adams (right), both Democrats, accusing them of enacting ‘violent budget cuts’
The skyline of lower Manhattan is seen under the Blue Supermoon in August
Meanwhile, New York, which has among the highest top marginal state income taxes, is already seeing an exodus of wealthy millennials, according to a new study.
The analysis released last week by financial advice site Upgraded Points found that New York lost the largest share of millennials who earned more than $200,000 in 2021.
New York’s population of wealthy millennials shrank by 27,191, a decline of 4.6 percent, wiping away $8.3 billion from the state’s tax base, the study found.
The other states with the largest percentage drop in wealthy millennial population were Illinois (-2.6 percent) and California (-2.3 percent).
Vermont had the largest relative increase, growing by 8.5 percent, followed by Idaho (7.4 percent) and Montana (6.7 percent).
Source: | This article originally belongs to Dailymail.co.uk
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