May Profit From Tax Cut Maryland would like to entice the wealthy such retirement-home mogul John C. Erickson to reside within the state. At the request of a generous philanthropist and campaign donor, Maryland lawmakers have proposed a tax cut that would apply to about 700 of the state's richest residents at a potential cost of millions of dollars a year in lost revenue. The bill was written as an incentive for retirement-home mogul John C. Erickson, who moved from Maryland two years ago to avoid paying several million dollars in state capital gains tax. Erickson chose to establish residency in Florida, a state that does not tax capital gains, before selling off extensive real estate holdings. He has warned that the charitable foundation bearing his name would begin focusing more on causes in his new home town of North Palm Beach, Fla., if he remains much longer in his adopted home state.
Rich people have a place in our society.
In fact, it's good if we can get them to be Maryland residents. There's nothing wrong with being rich. For the state to underwrite these transactions is absurd. It's eating truffles at the public trough. The legislation passed the Senate last year but died in the House without a powerful shepherd.