Gonna make a law preventing them from moving away first? Your idea has been tried before. It reduces total tax receipts.
The “they’ll just leave” argument doesn’t really hold up in this case.
But, let's say, they do. And they also have to stay out. Wouldn't that be.. kinda nice actually?
Your taxes would stay the same either way. Yes, of course, there would be less luxury spending, but the millions of normal people still exist. And they spend and they produce.
Why not let the ultra wealthy just leave and idk go to mars or something? Kick them out, seize their assets, run society without them if they do not want to be part of it anyway.
I found a study saying the effect was minuscule in Norway, Sweden and Denmark https://taxjustice.net/wp-content/uploads/2024/08/Taxing-ext...