You Can Check-Out Anytime You Like, But You Can Never Leave

by | Aug 17, 2020

New California wealth tax proposal raises taxes on total net worth of wealthy California residences. But, what if they decide to leave the State? No problem.

Economic impacts: Will ultra-wealthy CA residents leave the state? As mentioned above, the California share of all US millionaires and billionaires has increased over the last decade in spite of the 2012 high income surtax. Therefore, we are still far from a tipping point. The wealth tax bill is also structured in such a way CA wealthy residents who leave still have to pay the extreme wealth tax on a fraction of their wealth for up to 10 years: they pay tax on 90% of their wealth the year after they leave, on 80% 2 years after they’ve left, .. , on 10% 9 years after they’ve left, 0% 10 years or more after they’ve left. The logic is that wealth is the fortune you built over a lifetime and hence a wealth tax requires looking beyond the current year. This makes the wealth tax much harder to avoid than the income tax (where you are no longer liable after leaving the state).

More here and here

About Steven Woskow

Steve Woskow is an entrepreneur and was President of Agtech Products, Inc., a research and development company specializing in animal agriculture. He has a Ph.D. in Nutrition and Food Science from Iowa State University. He is retired and lives with his family in Northern Nevada.

Our Books

latest book lineup.

Related Articles

Related

Ban “Ethnic Cleansing”

I propose that we defenders of individual rights stop using the term ethnic cleansing. Why? Because it is the sort of euphemism bad people would use to disguise what they are doing when they expel or annihilate large numbers of people viewed as members of the wrong...

read more

The Eternal Panopticon: The State as Predator

Lizard Farmer did an excellent synopsis of how the state stalks its prey. The observations are older but still germane. If London had this technology in 1770, America would not have been born and Paul Revere, the Committees of Correspondence and his colleagues would...

read more