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CounterPunch Exclusives

Rural and Republican Voters Support Higher Taxes on Millionaires

Photo by Michael Discenza

Sociologist Gregory D. Squires argues that it’s a myth that taxes drive millionaires to flee cities and states that tax them. An abridgment of Squire’s Baltimore Sun commentary, from Monday, January 26, 2026, forms the second half of this piece, where he provides empirical evidence that this belief is false. I believe it is false because many of the wealthy recognize that they need to be taxed, fairly, of course, to sustain a livable economic and social environment for all.

Unfortunately, the belief that millionaires will flee is one both Republicans and Democrats often espouse. Squire quotes then-Republican New Jersey Governor Chris Christie, “If you tax them, they will leave.” Meanwhile, Democratic California Governor Gavin Newsom has opposed a proposed state wealth tax on the grounds that it will scare wealthy Californians away and has concluded, “Wealth taxes are going.”

Despite this persistent myth, there is broad public support for equitable taxation. 

In February 2025, Seattle voters passed Proposition 1A of Initiative 137, by 60%. It was a citizen-led initiative to fund mixed-income social housing through a new “excess compensation” tax. The tax requires firms to levy a 5% tax on salaries and compensation above $1 million. For instance, if a company paid an employee $100,000 above $1 million, the company would pay $5,000 in tax. In total, about 170 of the 50,000 active businesses registered in Seattle would be subject to this tax, not individual workers.

Overwhelmingly, Seattle voters believed it was a fair tax, given that the housing shortage in the Seattle metropolitan area is most acute among the lowest-income renters. In Seattle, studies show that 86% of those earning the median income (AMI) have to devote between a third and a half of their gross income to rent and utilities.

Outside of Seattle, statewide polling shows that the public recognizes it’s time to start taxing the wealthiest, so their taxes, like everyone else’s, are based on their ability to pay. For instance, 61% of Washingtonians support a 9.9% tax on incomes above $1 million, while just 29% oppose it, according to a poll from Northwest-based DHM Research.

Most importantly, DHM polling showed that “There is a majority backing for the tax across all parties: 71% of Democrats, 54% of Republicans, and 52% of Independents or other (third-party) voters support it.” Additionally, Seattle Times columnist Danny Westneat noted that support for the wealthy to shoulder their share of funding for government services cuts across geographic lines. For instance, 14 of Eastern Washington’s 20 counties, most of which are rural, including some of the redder places in the state, voted to retain that tax on the rich in a 2024 vote on a capital-gains tax.

Although there is support for taxing the........

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