Taxes are not driving the wealthy away from NYC: report

Same percentage of rich and low-income residents left the city in 2012

New York /
Jul.July 21, 2014 12:20 PM

A new report suggests that New York’s tax burden is not heavy enough to make the wealthy flee the city and state just yet.

The city’s Independent Budget Office reported on Monday that the share of high-income households that moved out of the five boroughs in 2012 was equal to the share of low-income households that left, the New York Times reported. Earners at both the top and bottom of the spectrum saw 1.8 percent of their populations pick up and head out.

Of those New York City households making $500,000 or more that did move, most stayed nearby in areas with similar tax levels, according to data cited by the paper. Other parts of the state absorbed 42 percent of them, while New Jersey took in 22 percent and Connecticut welcomed 12 percent.

In fact, the study showed that more on-the-move families who made less than $500,000 headed to low-tax Florida: 10 percent versus 2 percent of wealthy outbound New Yorkers, reported the Times. Texas, another state known for low taxes, took in the same percentage of rich and not-so-rich Gothamites. [NYT]Tom DiChristopher


Related Articles

arrow_forward_ios
The commercial market was hit hard by the pandemic, and property tax revenue is expected to fall 5 percent. (iStock)
Tax bills show how much Covid devalued NYC real estate
Tax bills show how much Covid devalued NYC real estate
Principal Deputy Assistant Attorney General Pamela S. Karlan and New York Policy Director Martha E. Stark. (Getty, NYU, Tax Equity Now)
NYC property tax reform advocates call for DOJ intervention
NYC property tax reform advocates call for DOJ intervention
House Ways and Means Chair Richard Neal and President Joe Biden (Getty, iStock)
House Democrats consider curtailing Biden’s inheritance tax plan
House Democrats consider curtailing Biden’s inheritance tax plan
The Mercedes House (Photos via Instrata, Ten Arquitectos)
Nab this rent-stabilized penthouse for $8K per month
Nab this rent-stabilized penthouse for $8K per month
Non-New York residents who worked remotely last year will still have to pay New York taxes. (iStock)
NY tax officials crack down on remote workers
NY tax officials crack down on remote workers
Andrew Yang (Getty, iStock)
Yang targets vacant lots with $900 million tax plan
Yang targets vacant lots with $900 million tax plan
Donald Trump and 40 Wall Street (iStock, Sterlfilms/Wikimedia)
40 Wall’s valuation chop means tax savings for Trump Org
40 Wall’s valuation chop means tax savings for Trump Org
(Getty)
San Francisco’s tax base to decline for first time in 25 years
San Francisco’s tax base to decline for first time in 25 years
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...