Photo by Jay Baker. |
Now,
I'm not going to say that I've never met a tax increase I didn't immediately
despise. Some are truly necessary evils. But this one transcends the boundaries
of what is proper.
The
measure implements a 0.25% increase on the taxes of individuals earning over
$100,000. At first glance, this six-digit figure seems like it belongs to the
wealthy. Governor O'Malley would certainly like you to think so. However, I'd
like to step back and see who this level of income actually belongs to. Let's
start with the national level.
The
Census Bureau reports that the median income for families in the United States
is around $51,000. This figure encompasses everyone, from Alaska to New York
City. Costs of living across the country are vastly different. A studio
apartment in Midtown Manhattan might cost the same as a six-bedroom mansion in
rural Nebraska. With such different costs of living, incomes vary wildly
between regions, meaning wealthy for one region might be middle class for
another.
On
the national level, therefore, $100,000 seems like exorbitant earnings, being
nearly twice the national median income. Let's take a look at Maryland. Here,
in my fine state, the median income is around $71,000, a huge leap from the
national figure. Once again, this gap stems from a much-higher cost of living
in Maryland. $100,000 draws closer to the median income; the upper end of the
middle class will see their taxes go up. Governor O'Malley and his legislature
draw dangerously close to a just taboo of politics: NEVER increase taxes on the
middle class. Especially in an economy as sluggish as ours.
Let's
take it a step further and look at Montgomery County, a suburb of Washington,
DC that one could easily mistake for a part of the city itself. Median income
in Montgomery County is $92,000 - a figure almost identical to the breaking
point Governor O'Malley so carelessly chose as the threshold of the upper
class.
Montgomery
County is no enclave of the elite; the mean cost of a simple, single-family home
here is $694,000 - over two and a half times the national average. For this
highly urbanized, East Coast county, wealthy on a national scale is just middle-income.
Governor
O'Malley's bill will essentially raise taxes on half the residents of
Montgomery County.
We
have different tax brackets for a reason; wealthier people can afford to give
up a larger percentage of their income. However, the situation in Maryland
underscores the trouble with standardizing these tax brackets at a national
level, or even a state level. I'm not saying that we should abolish national
income taxes and set all rates at a county level, but I do believe
tax-and-spend politicians like Governor O'Malley and President Obama should
give more thought to who they may be hurting before taking away your
hard-earned money under the guise of populism.
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