Death due to taxes. This is what may happen to Los Angeles if the affluent depart or avoid the city as a result of a “mansion tax”; many will seek dollar green pastures.
“Shark Tank” star Barbara Corcoran agrees. TMZ located the real estate magnate in New York City. “People hate to pay taxes on entrances or exits to their homes,” she told the entertainment news outlet. “They feel like they’re hit upon, taken advantage of.”
Voters approved Measure ULA last November, which imposes a 4% tax on properties selling over $5 million or above. According to the New York Times, it also charges a 5,5 percent tax on houses that sell for above $10 million. The tax becomes effective today, April 1st.
The tax revenue is intended to subsidize affordable housing in Los Angeles. according to TMZ, and aid to relieve the city’s homeless situation. Some analysts estimate that the “mansion tax” will generate $1 billion yearly. How will these forecasts be satisfied if a large number of rich homebuyers bypass the city to avoid paying the tax? Nobody desires to be incarcerated in their own house.
Corcoran concurs. “The mansion tax is going to give people more motivation for not moving out or moving in.” For the rich, life will become increasingly difficult, and those who wish to escape a self-imposed prison term owing to a tax load will shun the city like the plague.
Corcoran is not opposed to aiding the homeless; just the contrary. She believes an affordable housing fund is “more than fair” because “it’s the obligation of people with money to pay for people who don’t have money.”
“But a mansion tax is the wrong way to do this,” Corcoran added, “it sends tax revenue out of the state. Nobody benefits in the end.” The housing market will remain stalled, and rich individuals will not be drawn to Los Angeles. for housing. They will seek out towns and states with more advantageous tax policies. Corcoran believes that many will choose southern states over the lost utopia of California.
They should have anticipated it. Beware of March’s omens. According to the Times, rich property sellers in Los Angeles reduced prices and made last-minute arrangements in an attempt to sell their residences before the mansion tax took effect.
Luxury brokers such as Josh Altman, a regular on Bravo’s “Million Dollar Listing,” offered agents a $1 million incentive if they found a buyer for a seven-bedroom Bel Air mansion listed at over $28 million by April 1. It’s no surprise. The mansion tax is the responsibility of the seller.
L.A. City of Insanity. But it’s not just L.A.
According to Newsweek, rock star Ted Nugent opened the latest campaign event of former President Donald Trump in Waco, Texas with an electric guitar performance of “The Star-Spangled Banner.” Some would even argue that it matched Jimi Hendrix’s legendary Woodstock performance of the same song in 1969.
More on this story via The Western Journal:
Same song, different world views. Hendrix, it is safe to say, was no conservative. Nugent is. He added a few choice words between guitar riffs. “I am a guitar player, I have a couple of demands. Secure my border. I have a couple of really good ideas: give me my tax dollars back. I didn’t authorize killing babies at Planned Parenthood … I want my money back.” Needless to say, the pro-Trump crowd cheered. CONTINUE READING…