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GLENN: I swear to you it's unreal what these people think they can get away with and how long are we going to let them get away with it. We're just talking about the New York tax increase. Larger than announced for the wealthy. Larger than what they announced, and we've looked it up, Stu. You were pretty close. The higher New York income taxes are described in Pages 199 to 208 of a 907 page bill labeled education, labor and family assistance.
STU: You are saying I was giving too much credit in being concise?
GLENN: In a 907 page bill, education and family assistance. In New York the combination of new state taxes plus new city taxes result in a top tax rate of 12.62%. That is above California's brand new higher tax of 10.55%.
STU: Remember that's just state and local. So that doesn't count your federal which is going up to 40% under Obama at least. So that would bring us that's at least paying to
GLENN: You are paying between once you finish with all of your taxes, your real estate, your car, your drivers, you know, your license plate, your sales tax, consumption tax, gas tax, everything else, the rich are paying about 70% of their income. That's amazing. And by the way, yesterday at this time we told you about Michael Jackson and how he acquired the rights to the Beatles songs? You know the one thing we didn't really talk about that is he acquired the rights to the Beatles songs because the Beatles were being taxed 90% of their income over in England. Out of control. 90%. They could only keep 10% of their income. And so what happened? They decided that they were going to sell the library to a private institution so that they could make their money through capital gains in a different way and they could play the tax game. And I thought to myself, you know, we never even mentioned Yoko Ono and John Lennon, they wanted to get around the taxes? What? That's not even possible. Why would somebody like John Lennon and Yoko Ono, the socialists of socialists, ever want to do that?
STU: That's a great point. Jeez. These people never live to their own standards.
GLENN: Never. Never. Never. You know what? Here's another thing. I mean, we know this. Marxism, socialism, communism, they all have separate lanes on the highway for the elite. These people are always better than you.
The thing I want to know, I want to talk to a tax attorney. I want to know how is it legal to put a retroactive tax in? And I'd like to know before they figure it out, how far back can you go? Because if they can go back six months, can they go back a year? Can they go back a year and a half? How far can they go back?
STU: Because I worked at a Chili's in, like, 1990 let's see, that was about 1995.
GLENN: And if they can go back, why can't I get retroactive refunds? For instance, I spent a lot of the Nineties dirt poor. Stu, you knew me at the time.
GLENN: We were poor. We were poor. Can I get retroactive assistance now?
STU: I don't see why not.
GLENN: Why not. Why not.
STU: Other than the fact that they changed the rules to stop it.
GLENN: Do you know how difficult it's going to be to become rich in this country? Stu, could you do me a do a two minute investigation for me.
GLENN: I want to find the percentage of millionaires that were not, were not rich, that millionaire people who became millionaires. What are the percentage of people that are rich now that are not like Ted Kennedy or John Kerry?
STU: Right, that had yeah.
GLENN: That came from money.
STU: Or married into it.
GLENN: Yeah. What is the percentage of the people? Is that in our old book?
STU: I believe it's not the exact stat but I can give you something I think mildly close.
GLENN: That's right because there's a whole chapter on poverty, right?
STU: And income inequality which, part of that chapter had to do with the movement in between quintiles.
GLENN: Yeah, yeah.
STU: From, like, the lowest 20%, how many people move up to the fastest 20%, et cetera.
GLENN: It's in An Inconvenient Book.
STU: That's going to take me a few minutes.
GLENN: Yeah, I think it's toward the back of the book. Anyway, it's going to be impossible to become rich. How do I'm just looking. I'm just looking at the news and I'm I can't take it. The rich get richer. It's never been more true than it is right now. And it's not that the rich had, you know, the ability to just get richer and make more things. You know, sometimes money gives you access to things that other people can't do. That's what everybody used to complain with. Now it is that the rich, these giant global corporations are actually taking your hard earned money and taking it and it's being funneled through the United States government to companies like General Electric. It's absolutely incredible. How are you going to get rich? If you hit $200,000 a year and they start taking 50, 60% of your salary, you can never really get ahead. You can never have the money to invest. The more you make, the more they take. So you can never the only ones think of this. The only ones that can remain rich are those who are already rich. So they have built the class system that we tried to escape from. The class system, one of our problems with England was there was a class system. You could never if you were a lord or a lady, you had the money, you had the land. You were a baron. You could make it and your family would always make it. But you could never cross into that class. Well, isn't that what we're creating now? If you have money right now, well, then if you can keep it, you can be the ruler. But they are going to make sure that no one like you ever crosses that barrier because the closer you get to that barrier, the more they take.
So this isn't really about the rich. This is about keeping you in your class. Making sure that the stations remain the same and stable.
Do you have the numbers?
STU: Yeah, this is obviously not going to the millionaire level. I can look that up later. But the top quintile, so your top 20% of wage earners. If you're born into that family of the top 20%, there's only a 22% chance that you stay there. 78% of people come from out of that quintile to make up the richest 20% of wage earners. And if you are come from the bottom, there's a 60% chance you leave that bottom wage, group of wage earners and that of those people, another 60% get out, move up more than one quintile. So you go from lower class to middle class in one generation, and everyone, almost everyone moves up and not all you have to work hard to maintain a rich lifestyle.
GLENN: So it's a what it's saying here is you're going to be able to move from class to class. There's free movement of classes now. You can be rich. Look at Bernie Madoff's wife. You can be wild and rich and now you can't find an apartment. You can move from top to the bottom, but you can also move from the bottom to the top. You can move from class to class. What this system is that we're creating is a class system that does not allow commingling. If you're poor, you remain poor. If you're on your way to being rich, you're going to stay in the class that you were in. You can't ever get there. And if you're rich, you stay there. You stay there. It's an amazing thing. We have flipped we have become or we are becoming exactly what our founders fought against.