Considering that a small number of wealthy people pay most of New York City’s taxes, it shouldn’t be a problem if they leave. It worked out fine for Motor City, it’ll work out great for the Big Apple.
One friend says 10 wealthy people have told him they are leaving and another says disgusted New Yorkers bought $1 billion in residential property in Florida since the November election.
The Sunshine State confers an automatic tax cut of about 12 percent because it has no city or state income tax, nor does it have an inheritance tax.
Beyond taxes, the mayor’s open hostility is a factor. His insulting treatment of former Mayor Bloomberg at the inauguration remains a cloud over him. As one affluent woman, a self-described liberal, told me, “De Blasio hates me, so I hate him.” She doesn’t personally know him, but draws her conclusion from his words and deeds.
As Bloomberg often noted, about 5,000 very wealthy families paid 30 percent of the city’s income tax. Losing even a few of them means significantly less money for filling potholes and hiring cops.
But then William Wilhelm Jr. aka Bill de Blasio will just raise taxes and more people will flee and he’ll raise taxes more and then Detroit.
“One of the most interesting things about 1975, when NYC almost went broke, was that in the previous seven years, the city kept borrowing more and more money,” he told me. “And all of a sudden in February of 1975, the city had $8.5 billion of debt and no way of paying back unless the banks were willing to continue to underwrite it. And they weren’t. The question was, why did they keep lending up until then?”
Luckily New York City doesn’t have $8.5 billion in debt now. It has $110 billion in debt.
But at least Bill de Blasio is known for being a responsible money manager? Sorry, he’s a progressive. They don’t do responsible.
Bill de Blasio is in debt up to his eyeballs.
He has treated his two Park Slope houses as ATMs, taking out a series of loans on each that have left him owing $1.28 million, city records show.
He and wife Chirlane McCray secured a $360,000 mortgage in 2000 to buy the 11th Street house where they now live. In the ensuing years, they took out lines of credit on the home and modified their mortgage several times as it rose in value.
Just last month, they took out a $650,000 mortgage.
Just wait till William Wilhelm Jr. mortgages all of the city, changes his name and gets on the first plane back to Venezuela.