O'Malley Millionaire Tax Tanks Montgomery County Revenues

Despite continued denials by Democrats in Annapolis, the surcharge on high income earners in Maryland pushed through by Governor Martin O'Malley in 2007 has driven these taxpayers to other states.

According to an Associated Press article posted at Examiner.com, Montgomery County has experienced a 27% decline in tax returns from high income earners.

This decline has contributed to a loss of $4.6 billion in taxable income: "County Executive Isiah Leggett says some wealthy residents who own homes in other states are establishing residency elsewhere. Officials believe the state's millionaire tax is a factor." Click Here

The O'Malley increase in tax rates was enacted as a temporary measure and is set to expire but Democrats in Annapolis are considering legislation to made the surcharge on high income earners permanent. 

This well-known economic principle is known as "Soak the Rich - Lose the Rich." (for a further description from the Wall Street Journal, click here)