The Motley Fool Discussion Boards
Retirement Discussions / Retire Early CampFIRE
|Subject: Re: retire early study||Date: 2/11/2000 8:29 AM|
|Author: 4gonefool||Number: 3641 of 775967|
>>In the matter of California and Arizona taxes: Nevada is, more or less, between those two
states, with ready access to them both. Nevada's state income tax rate is zero. I plan to
move there from California in May. C'mon, vote with your feet!<<
Chips, here's a question for ya: Suppose just before you move to NV from CA you exercise a bunch of stock options & then quit (or perhaps you've exercised them recently). Now, once in NV, you sell. Will CA come after you for their 9% ? I can't seem to get a straight answer on this, perhaps you can shed some light?
California has attempted on numerous occasions to go after people who move to states with no income tax. You have deferred gains on income earned while you lived in CA and they feel they have a right to it. Some states (e.g. Texas) even help defend you against this assault. If you move to a state that has an income tax before moving to the no income tax state, you will probably be safe from any attempt, because most other states don't pursue. If you don't want the hassle of moving to another state first, consult a tax advisor from NV. Don't leave property assets in the state of CA. They sometimes try to usurp your rights to that property for non-payment of income taxes. There is no question about it, they fight dirty and the worst part about it is that they may have a legal right to do so.
|Copyright 1996-2015 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|