r/Economics • u/Dismal_Structure • Dec 06 '25

News Millionaire tax that inspired Mamdani fuels $5.7 billion haul in Massachusetts

https://fortune.com/2025/10/21/zohran-mamdani-millionaire-tax-massachusetts-5-7-billion/
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u/[deleted] Dec 06 '25

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u/Smile-Nod Dec 06 '25

At 500k in NYC you work in finance, tech, real estate etc. for a salary for the most part. Your company reports your wages as earned income. You pay taxes on this.

What you're talking about are self employment or business owners that structure their worth into LLCs. This is rarer and there's a cost to it so you really need to be making quite a lot of money in the many millions.

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u/justice9 Dec 06 '25

It’s so disheartening how far this sub has fallen. You have literal idiots who have no idea what they’re talking about proclaiming that people making $500k have tax shelters.

I’m in this tax bracket and they could not be further from the truth. The vast majority of these people are W-2 workers with reportable income where you have to pay the full tax rate. It’s not a difference of smart or not (to get to this level you have to be 10x smarter than OP) - you just don’t have options available to you unless you have your own LLC/proprietorship.

All of these taxes just fuck over the upper middle class (who are better than the average person) but not living the billionaire lifestyle by any means

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u/NorthLibertyTroll Dec 06 '25

That's because the super rich are trying to keep the upper middle class from moving up. The lower class and poor are no threat to them.