75% of natural catastrophe losses in the USA over the past 25 years have occurred in Florida, Louisiana and Texas. We now have a tax system that encourages people to move to these states (TX & FL) that will inevitably be subsidized by the “donor” high tax states when the next major hurricane rolls through
I agree AND there needs to be a limit on the amount of federal spending a state can receive in proportion to the federal tax it contributes. Poorer, mostly red states disproportionately receive federal benefits, while the wealthier blue states disproportionately pay federal taxes. This incentives the poor states to keep state and local taxes low because they are being subsidized, using the same market principles you outline in reference to SALT.
75% of natural catastrophe losses in the USA over the past 25 years have occurred in Florida, Louisiana and Texas. We now have a tax system that encourages people to move to these states (TX & FL) that will inevitably be subsidized by the “donor” high tax states when the next major hurricane rolls through
I agree AND there needs to be a limit on the amount of federal spending a state can receive in proportion to the federal tax it contributes. Poorer, mostly red states disproportionately receive federal benefits, while the wealthier blue states disproportionately pay federal taxes. This incentives the poor states to keep state and local taxes low because they are being subsidized, using the same market principles you outline in reference to SALT.