Individual states looking to raise taxes on millionaires

State budgets, like the federal budget are facings some serious shortfalls and in an effort to bridge that gap individual states are turning to millionaires.Governors from two of the largest Democratic states have looked to its wealthy residents to help generate revenue. Budgets cuts alone have not been enough and state lawmakers are reluctant to cut more from their educational, transportation and other job creating investments. 

In the past, states have been hesitant to raise taxes but several states including Maryland, New Jersey and Oregon have allowed their millionaire taxes to lapse. New York Governor Michael Cuomo recently refused to re-new a millionaires tax, which will generate about $3.5 in revenue and make up half of the state budget shortfall. 

Cuomo changed the tax bracket so that New York residents making over a million dollars will pay a top tax bracket of 8.82 percent, which was due to fall to 6.8 percent this year. A tax attorney can help an individual or business determine their tax bracket.

There are a number of ways to reduce an annual tax bill. Many people and businesses can take deductions that they may not be aware of until they consult a tax lawyer.  Every person no matter what their income is interested in reducing the amount of state and federal taxes they have to pay. Along with helping with tax returns, a tax attorney can help with any criminal on legal matters with a federal or state tax authority.