Editorial

Loving the illegals, ignoring our own

Yatindra Bhatnagar

The state of California, once the Golden State is on a path of economic and moral ruin.

The trend was started a long time back with liberal Governor Jerry Brown that’s now continuing aggressively with the new one, Gavin Newsom, a more liberal.

California is already a heavily taxed state and by accepting hundreds of thousands of illegal ‘refugees’ and giving them ‘a sanctuary city and state’ and also all kinds of facilities the burden on taxpayer is going to increase manifold. Recently the state became more generous to the illegals by deciding to provide them with Medical, that’s denied to a big number of ‘regular’ residents of California.

Who is going to pay for this additional burden? Obviously, those who are the ‘regulars’ and also those who are denied the facility! Wow!

According to Tonya Moreno, a Certified public Accountant (CPA), California taxes are among the highest in the country. They will affect you if you’re buying a home, making money there, or even just shopping in the Golden State.

California's sales tax rate is the highest in the nation at 7.25 percent. Add to it some local sales taxes, the rate reaches a high of 10 percent in some cities, though the average being 8.54 percent.

Then there are additional excise taxes on some products like an extra 33 percent if you buy fruit from a vending machine here.
California also has an additional tax on cigarettes and gasoline. A pack of cigarettes costs $2.87. Gas has added an extra 53.49 cents a gallon. As of 2018, the average California driver pays $3.05 per gallon compared to the national average of $2.26. This year it’s anywhere between $3.95 and $4.19 or more.

Rep Alexandria Ocasio-Cortez would advise you to stop driving and start walking to save the planet – and your money. Aha! But she hasn’t started doing it herself. Her plan is for others. This ‘charity’ doesn’t start from home, her home.  

California State Income Tax is also one of the highest in the country at around 13.3 percent as of 2018. The state's standard deduction, however, is a fairly decent $4,236 per person.
Income taxes are levied on both residents’ incomes and income earned in the state by non-residents. Many states have reciprocity agreements with other states that allow non-residents to work there without paying income tax except to their home state, but California isn't one of them.

The highest rate of 13.3 percent begins at incomes of $1 million or more as of 2018. The lowest 0 percent rate is reserved for earners of less than $8,223 in taxable income. 

Many federal deductions are limited or disallowed in California, but other state tax credits are available, including an exemption credit for yourself and your dependents, a credit for renters, a credit for single or divorced parents, and a credit for people who have dependent parents. 

Capital Gains Tax in California 
California tax law includes no special provisions for capital gains tax so unlike federal tax law, the state doesn't give you a break for long-term gains on assets you hold onto for over a year.

If you sell any property or asset for more than your tax basis or investment in it, you'll pay taxes on your profits at your personal income tax rate regardless of the duration of ownership. This means that if you fall into that 13.3 percent tax bracket, you'll pay that rate on your capital gains, too. 

If your sale is such that you must also pay the federal long-term capital gains tax rate of 20 percent, you'll end up paying the second-highest capital gains tax rate in the world—a combined 33.3 percent. 

California Inheritance and Estate Taxes
This is one area in which California residents really do get a tax break. When federal estate tax laws changed on January 1, 2005, the legislation eliminated California's estate tax, and the state has no inheritance tax. At least you can die here tax-free.

Many of the facilities are not available to the normal, regular citizens of the state who also pay taxes. The bleeding-heart liberals, leftists and Democrats, without asking the voters and the taxpayers, are bent upon depleting the resources and would certainly impose new taxes in their hypocritical humanitarian zeal to provide for illegals. This is a sure way to invite more and more.

The recent border patrol estimate is over one hundred thousand a month crossing the border illegally and becoming ‘guests’ of the liberal Democratic administration. May arrivals topped 140,000 and the Democratic leadership doesn’t care. They only care about how to get more people who will be enrolled through the motor-voter practice, courtesy the Department of Motor Vehicles.

That process doesn’t need verification and, obviously, DMV is not capable or authorized to verify the status of applicants for a driver license.   

Forget the 50 or so lawsuits the California state has launched against President Trump, federal administration and agencies that would cost hundreds of millions of dollars for which the voters have not been consulted or requested for additional funding.

In any case, the state has spread a welcome mat for these illegal thousands every day giving those free health care facilities under the Medicare and Medical programs, affordable housing, and other kind of welfare grants.

According to Fox News, as a part of the state’s new budget plan, low-income illegal immigrants living in California between the ages of 19 and 25 will be eligible for Medi-Cal, the state’s Medicaid program. If passed, the plan – which was proposed by California Governor Gavin Newsom – would make California the first state to offer full health insurance to immigrants living in the U.S. illegally, The Hill reports.

This plan is estimated to cost $98 million out of the state’s total $213 billion budget and is set to go into effect in January 2020.

To pay for the medical benefits for illegal immigrants, USA Today reports that California lawmakers have decided that they will tax citizens who do not have health insurance. 

Reportedly, Democrats in the state’s Legislature have agreed on the budget plan, but the plan is yet to be passed by the body as a whole.

Anthony Wright, executive director of the advocacy group Health Access, said he sees this plan as a great start. According to the Sacramento Bee, Wright said, “While it’s not all we sought, it will provide a real tangible difference for people, especially for those around and below poverty and for middle-income families who don’t get any help under the federal law.”

He further commented on Twitter writing, "We will continue to pursue steps towards the Governor’s & Legislature’s shared goal of getting to universal coverage in the next few years. #Health4All”

Executive director of the California Immigrant Policy Center Cynthia Buiza regarded the policy as helpful but too exclusive. “For California’s immigrant communities, today’s budget deal is bittersweet. The exclusion of undocumented elders from the same health-care their U.S. citizen neighbors are eligible for means beloved community members will suffer and die from treatable conditions. And the exclusion of many immigrants from the Earned Income Tax Credit will perpetuate the crisis of economic inequality in our state.

6/24/19