Ascalon VI Capital’s Anthony Esposito Slams Blue-State “Tax Squeeze” on Working Americans
In a pointed interview, Ascalon VI Capital’s Anthony Esposito blasted blue-state governments—particularly Colorado and New York—for what he called an outrageous new attempt to squeeze more money out of working-class taxpayers. Esposito criticized Colorado’s move to add a new line on its state tax form requiring residents to report the federal deduction they receive for overtime pay, only to add it back as taxable income at the state level. In his view, the state is effectively trying to “take the federal benefit you earned and tax it themselves.”
Esposito argued the policy exposes a deeper problem: mismanaged state budgets that rely heavily on federal funding while offering expansive social programs like free transportation and free groceries. Now that those states can’t continue riding on federal dollars, he said, they’re turning to their own citizens to fill the gap—particularly those who already shoulder most of the tax burden. He warned that this kind of policy will only accelerate the ongoing exodus from high-tax states.
He also called out the hypocrisy of leaders such as New York Gov. Kathy Hochul, who often accuse Republicans of cutting taxes “for the rich,” yet preside over state policies that directly hit the middle class. Esposito described it as an “insulting” move that treats hardworking residents as a bottomless revenue source while politicians publicly posture about protecting them.
The interview ended with a blunt assessment: state officials can rail against the wealthy all they want, but they know the middle class is the real tax base—and the group they repeatedly rely on to pay for costly programs. As Esposito put it, it’s the middle-income earners who “always pay the bills.”
