New York Leads US In Income Loss

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A new report tallies up all the people who moved from one state to another between 2000 and 2010.  When those people leave, their money goes with them.

It turns out New York saw the biggest loss in income.

The nonprofit Tax Foundation says $45.6 billion was drained from the New York economy as people moved out of state.

The organization says its figures are based on IRS data.

The Tax Foundation's Nick Kasprak says the loss is a big hit to New York.

"If you just add up the incomes of all the people that have left the state and the people who have entered the state, the net loss is $45.6 billion." he said. "That's a lot of money. That is $45.6 billion that is no longer taxable."

Tony Collins, who co-chairs the North Country Regional Economic Development Council, says "It's a double whammy. We're losing revenue from personal taxes and we lack the stimulus to the economy of people taking their personal wealth and investing it."

Collins says keeping creative and innovative people in New York is essential to the economy. He says the state must work to keep people -- and attract new ones -- by creating incentives.

Earlier this summer, Gov. Andrew Cuomo signed a law that creates tax-free zones around state college campuses and some private colleges.
 
Representatives from the Tax Foundation say their report does not explain why people were leaving New York, but they did see a trend.
 
They say many people left New York, a place with a high income tax, for places like Florida, which has a lower income tax.
Monday, July 28, 2014
, Watertown, NY

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