Turley Warns Blue States Are Trying to 'Capture' Wealthy Residents

Legal expert says states are using 'Teddy Bear laws' to claim taxpayers haven't truly left, despite relocating.

Apr. 18, 2026 at 1:06am

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A cinematic painting of a solitary high-rise apartment building in a major city, with warm diagonal sunlight and deep shadows creating a contemplative mood about the political and economic forces shaping urban life.As high-tax states pursue aggressive policies to retain wealthy residents, the resulting legal and economic tensions are casting a long shadow over the lives of urban dwellers.NYC Today

Legal scholar Jonathan Turley warned that high-tax, Democrat-led states are using aggressive tax policies to try and 'capture' or 'trap' wealthy residents who have already moved to other states. Turley compared these efforts to a 'deranged ex-spouse in denial,' as states refuse to acknowledge when taxpayers have officially relocated and instead claim they still have ties to the state.

Why it matters

These emerging state tax strategies represent a significant legal overreach, as states attempt to extend their regulatory reach far beyond their own borders. Turley argues these policies are symptoms of 'economic atrophy,' as states focus on extracting revenue from those heading for the exit rather than competing to attract new residents.

The details

Turley's comments come as Democratic New York Governor Kathy Hochul advances a 'pied-à-terre tax' targeting wealthy individuals who no longer live in New York City but maintain high-value secondary residences there. Turley says these 'Teddy Bear laws' use sentimental or residual ties like storage units, boats, or secondary apartments as grounds to claim an individual is still a tax resident, even after they've officially relocated. Similar tax hike efforts targeting the wealthy have also emerged in states like Washington, Virginia, and California.

  • On April 18, 2026, Turley appeared on the Fox Business program 'Kudlow' to discuss the emerging state tax strategies.

The players

Jonathan Turley

A legal expert and George Washington University law professor who warned about high-tax, Democrat-led states using aggressive tax policies to try and 'capture' or 'trap' wealthy residents who have already moved to other states.

Kathy Hochul

The Democratic Governor of New York who is advancing a 'pied-à-terre tax' targeting wealthy individuals who no longer live in New York City but maintain high-value secondary residences there.

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What they’re saying

“The blue states are solving their problem with this exodus of people leaving by making taxes retroactive and trying to essentially capture people in the state.”

— Jonathan Turley, Legal Expert and George Washington University Law Professor

“They just say you really didn't leave us. You still love us, you're still here. You've got all of these so-called items of affection here. You must still want to be with us.”

— Jonathan Turley, Legal Expert and George Washington University Law Professor

The takeaway

Turley's warnings highlight the growing legal and economic tensions between high-tax states trying to retain wealthy residents and those residents seeking more favorable tax environments in other parts of the country. As states like New York and California pursue aggressive tax policies, they risk further economic contraction and an accelerating exodus of businesses and high-net-worth individuals.