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The Wealthy Were Fleeing for Low-Tax States Long Before the Pandemic


Cliff Hawkins/Getty Images
Low-tax states, especially Florida, are getting wealthier as a result.
BofA says tax migration is far from a settled area but evidence of it is adding up.
Tax-induced migration was a key part of the narrative of 2020, but the story actually began long before that. 
Lower-tax states are continuing to get richer thanks to a steady influx of new residents from higher-tax states, per a recent Bank of America Research note, which looked at recently released IRS data for tax returns from 2019, reflecting 2018 earnings.
The data showed that net gains in adjusted gross income (AGI) for lower-tax states were higher than those in higher-tax states: the latter saw $111 billion in AGI in 2018, while the former saw nearly $145 billion. The net AGI gain of lower-tax states also increased from 2017 to 2018 by $2 billion, to $34 billion, the team led by Ian Rogow wrote.  ....

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36 million families may start receiving Child Tax Credit deposits on July 15


36 million families may start receiving Child Tax Credit deposits on July 15
By Aimee Picchi
June 9, 2021 / 7:08 AM
/ MoneyWatch
The IRS is sending letters to more than 36 million families who may qualify for monthly payments under the federal Child Tax Credit. Under the expanded tax benefit, families may be eligible to receive up to $300 per child on a monthly basis from July 15 through December 15.
President Joe Biden s $1.9 trillion American Rescue Plan expanded the Child Tax Credit from $2,000 annually to as much as $3,600 per child. It also will send monthly payments to parents of children under 18, providing what one expert has called a baby step toward universal basic income. ....

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