I’ve usually argued that variations in state earnings tax charges assist clarify interstate migration patterns, significantly for high-income earners. Locations like Tennessee, Texas, and Florida appeal to residents from greater tax areas. Bloomberg Journalist Jonathan Levin not too long ago made the next assertion concerning Jeff Bezos’ choice to maneuver to Florida:
Lastly, I’d be remiss to disregard taxes fully. Washington, the place Bezos based Amazon in 1994, not too long ago permitted a brand new 7% capital good points tax focusing on funding earnings above $250,000, and it nonetheless had a huge impact on Bezos, who has bought billions of Amazon.com shares over time. In March, after the state Supreme Court docket upheld the brand new tax, fellow Washington billionaire Ken Fisher introduced (with attribute grandstanding) that he was transferring his cash administration firm to Texas, the place the tax was zero. Bezos did not explicitly point out taxes, however the math will need to have crossed his thoughts.
Maybe Bloomberg’s editors weren’t blissful together with his article, as a result of they added the next headline:
Bezos’ transfer to Miami is not about Washington taxes
The billionaire returns to a city the place he went to highschool and the place his mother and father stay, it is so simple as that.
Actually, is it that straightforward? (Most individuals in all probability by no means look previous the title.)
PS. On September 24, Bloomberg printed an article stuffed with made-up figures. Practically six weeks later, they nonetheless have not corrected the article. Have they got an editor?