If Gerard Depardieu lived in California, he'd be headed for the border here too:
Debate over Proposition 30, the November ballot initiative to raise sales taxes on everyone and income taxes on “the wealthy,” revolved around whether it would solve a problem or lead to lower revenues. ...
Alas, the consequences are now clear of the income-tax hike that the proposition actually made retroactive to the beginning of last year (via Examiner.com):
After Proposition 30 passed on November 6, 2012, the State of California experienced a decline in the total state revenue for the month of November. California State Controller John Chiang reported that the total revenue for the month of November declined by $806.8 million, which is 10.8 percent below budget.
The State of California experienced a decline in its revenue as several of the high income earners have relocated to other states, and have also relocated their businesses out of state. This led to a decline in corporate and income tax revenues by more than $1 billion.
Even more predictably, California’s legislature—which the voters in their infinite ignorance turned into a Democrat supermajority, thus enabling unlimited future tax increases sans ballot initiatives—spent the money before it came in.
As a result of the decline in tax revenues collected, and the increase in spending, California’s deficit increased to $27 billion for the first five months of this fiscal year.
Don’t worry, though. The Democrats will solve the problem by raising taxes.
