Although many say that raising taxes on the rich won't hurt the economy and they need to pay their "fair share" here is more proof that just raising taxes on the rich will result in a loss to the economy...
The French are fleeing. A spate of proposed tax hikes is leading hundreds of wealthy French to consider leaving the country and putting their homes on the market, real-estate agents say. The result: the best opportunity in years for foreigners to buy a Parisian pied-à-terre or country château.
The number of high-end homes on the market has increased, with sales due to expatriations skyrocketing this year to several a week from a few a month, says Charles-Marie Jottras, president of leading luxury brokerage Daniel Féau. Fiscal expats account for more than half of the homes Daniel Féau lists between $6.4 million and $19.2 million, compared with about 10% in prior years.
Several high-profile businessmen have already packed their bags. Former L'Oréal Chief Executive Lindsay Owen-Jones has taken up residence in Lugano, Switzerland. Belgium now counts Amaury de Sèze, who served as chairman of supermarket giant Carrefour, as a local. Nicolas Chanut, founder of French investment advisory firm Exane, moved to London.
Flush French are fleeing the new government's attempts to repair France's public finances by increasing taxes on salaries, capital gains and household wealth. Among the controversial proposals in the 2013 draft budget is a 75% tax rate on salaries higher than $1.3 million, up from less than 50% currently. "Wealthy French are not that masochistic," says Mr. Jottras. The proposed taxes apply only to primary residents of France, however; those who buy a property as a vacation home and spend less than half the year in France will not be affected.
The article is about cheap housing but the gist of the issue is that higher taxes will result in an exodus of the wealthy...read more http://homes.yahoo.com/news/is-this-...190653964.html