Logic Takes A Vacation

Breitbart posted an article today about the State of New York’s $2.3 billion budget shortfall. Governor Cuomo is blaming the Trump tax bill for the shortfall.

The article explains the logic:

According to Cuomo, it was Trump’s tax cut that caused “many of the state’s richest residents — who pay 46 percent of the state’s income tax — to either change their primary residence or leave New York entirely.”

…What Trump’s tax reform did was to restore fairness to the tax code, was to put an end to the injustice of all Americans — including those in the middle class — paying for the sky high tax rates in states like New York.

You see, before Trump reformed the tax code, all Americans were subsidizing the rich.

It used to be that you could write off every penny of your state income tax on your federal income tax. Trump put an end to this outrage. Here’s how it works…

In the state of New York, if you earn over $1.078 million per year, you pay an income tax to the state of almost nine percent.

In other words,  using round numbers, a New York resident who earns $10 million owes the state of New York close to $900,000 in income taxes. But…

Democrat-run states like New York knew that their rich residents would not feel the sting of that $900,000 tax bill because that $900,000 could be written off of their federal tax bill.

Basically, this was a sleazy way for Blue States to steal money from federal taxpayers, to make all of us pay for their grotesque tax rates. These Democrat-run states not only got all of this tax money, they also avoided getting voted out of office for over-taxing because the federal write-off removed most of the sting for the wealthy taxpayer.

Thankfully, Trump’s tax bill put an end to this shell game. Whereas before there was no limit on the amount of state income tax you could write off on your federal taxes, now there is a $10,000 limit. This means that the poor sap gutted for $900,000 in income taxes by New York, now eats $890,000 of it, which is as it should be.

Hey, if you’re a rich guy who thinks your taxes are too high, instead of making middle class taxpayers subsidize your ass, maybe stop voting for Democrats? Just an idea.

For those who want the rich to pay more taxes, the Trump tax plan has accomplished exactly that in New York and some other states that have excessive taxes.

The article concludes:

The truth, though, is spelled out very well by economist Marty Cantor, who laid it out for a local news outlet.

“The problems here are caused by the governor and his administration,” he told News12, “It’s too expensive to live on Long Island and in New York state. Taxes are too high, people are leaving. It has nothing to do with Trump.”

Here’s the kicker: The $10,000 write-off limit did not go into effect until  2018. So how does Cuomo explain 2017’s $4.4 billion deficit? How did the Orange Bad Man create that one?

Crickets.

When You Give To A Charity, Know Where Your Money Is Going

Yesterday BizPac Review posted an article about the Association of Black and Puerto Rican Legislators, Inc., a group of black New York State legislators who run a charity to provide scholarships for black and Latino youth.

The article reports:

The caucus of black New York state lawmakers run a charity whose stated mission is to empower “African American and Latino youth through education and leadership initiatives” by “providing opportunity to higher education” — but it hasn’t given a single scholarship to needy youth in years, according to a New York Post investigation.

The group collects money from companies like AT&T, the Real Estate Board of New York, Time Warner Cable, and CableVision, telling them in promotional materials that they are “changing lives, one scholarship at a time.”

The group — called the Association of Black and Puerto Rican Legislators, Inc.  — instead spent $500,000 on items like food, limousines, and rap music, the Post found.

The politicians refused to divulge the charity’s 2017 tax filing to the Post despite federal requirements that charities do so upon request.

The article provides some insight as to where the money collected goes:

State. Sen. Leroy Comrie of Queens, the group’s number two, refused to come out when Post reporter Isabel Vincent stopped by his office. All of the politicians mentioned are Democrats.

“The real purpose (of the charity) is to bring people to get over their apathy and out to Albany and get motivated,” the charity’s former chairman, Assemblyman Nick Perry of Brooklyn, previously said.

There has been no money used for scholarships in that past two years, the Post reported, citing sources. That’s even after the Albany Times-Union called outthe charity in January 2017 for meager spending in prior years.

The charity gave $36,000 of its $565,000 in revenue to scholarships in 2015. That year, it spent $85,000 on a concert with Eric Benet and Regina Belle, and $157,000 on food, according to the Times-Union’s analysis of its tax filings.

The group said that year it planned to double the amount of scholarships it gave, but it didn’t happen.

In 2017, its annual event featured the rap artist Big Daddy Kane.

Hopefully the Attorney General of the State of New York will decide that the spending habits of this charity are inappropriate and require this group to actually fund some scholarships. However, it’s New York, so I am not optimistic.

Is This What The Voters Wanted?

Yesterday The Daily Wire reported a statement from New York Attorney Gen.-elect Letitia James. The statement is troubling on many levels.

The article reports:

New York Attorney Gen.-elect Letitia James is buttressing President Trump’s claims that there is a “witch hunt” pursuing him; she told NBC News that she intends to investigate not only the president, but also his family and “anyone” in his circle who may have violated the law.

James blustered, “We will use every area of the law to investigate President Trump and his business transactions and that of his family as well,” adding, “We want to investigate anyone in his orbit who has, in fact, violated the law.”

The article also notes:

When she campaigned for attorney general, James stated that she supported legislation allowing prosecutors to charge individuals who received a presidential pardon. Because of the double jeopardy clause, if an individual receives pardons for crimes at the federal level, they cannot be tried at the state level. James stated:

After careful deliberation, I am urging the state legislature to swiftly pass legislation which safeguards against President Trump’s attacks on the rule of law in our country. The pending legislation closes a loophole in our state law that effectively allows the president to pardon individuals for crimes committed in New York State. Given President Trump’s recent use of the presidential pardon in a case adjudicated in New York State and his claim that he can pardon himself as he pleases, it’s clear that we must act now. We can protect New Yorkers from double jeopardy prosecutions without giving away our state’s ability to deliver justice for all.

I wonder if this lady has actually read her job description.

According to the National Association of Attorneys General:

As the chief legal officer of the states, commonwealths and territories of the United States, the attorneys general serve as counselors to their legislatures and state agencies and also as the “People’s Lawyer” for all citizens. Originating in the mid-13th century in the office of England’s “King’s Attorney,” the office had become, by the American Revolution, one of advisor to the Crown and to government agencies.

While varying from one jurisdiction to the next due to statutory and constitutional mandates, typical powers of the attorneys general include the authority to issue formal opinions to state agencies; act as public advocates in areas such as child support enforcement, consumer protections, antitrust and utility regulation; propose legislation; enforce federal and state environmental laws; represent the state and state agencies before the state and federal courts; handle criminal appeals and serious statewide criminal prosecutions; institute civil suits on behalf of the state; represent the public’s interests in charitable trust and solicitations; and operate victim compensation programs.

What New York Attorney Gen.-elect Letitia James plans to do is highly unethical. Using one’s public office to personally go after a person or family you disagree with or don’t like is a blatant abuse of power.  She deserves to be immediately censured for her statements if not impeached.

Why The Government Needs To Get Out Of Healthcare

CBS Local in New York is reporting today that the New York State Health Exchange gave out  $325,000 in overpayments to the deceased throughout the 2013 fiscal year.

The article reports:

Auditors said flaws in the eligibility process also resulted in New York enrolling 21 dead people for Medicaid, while continuing government-funded health coverage for 333 others who died.

The state comptroller’s office says its auditors found overpayments of $3.4 million in total for the year starting Oct. 1, 2013.

The Health Department says it’s been awaiting a new federal system to verify deaths. It confirmed 321 people cited in the audit were dead, four are still alive and it’s checking the other 29.

This might be one way to cut the cost of Medicaid–make sure the people claiming to be covered under it are alive.

The article further reports:

The NY State Health Exchange launched in Oct. 2013, but many faced confusion and other issues like lost insurance coverage and high premiums though the initial enrollment process.

The exchange was established under the Affordable Care Act in an effort to extend coverage to uninsured New Yorkers.

Medicaid now covers about 6 million New Yorkers and costs $60 million annually.

The department notes state enforcement efforts in 2011-2012 recovered $1.73 billion.

It’s time to get the government out of healthcare!