Phil Mickelson State Taxes
Thanks to California’s new state income tax, there are a lot of high earning citizens who are considering moving to a new state. One such citizen is Phil Mickelson, a top-ranked golfer. This week he suggested that the new state taxes may force him to move out of the state. Later Phil Mickelson went on to say that he shouldn’t have spoken out as he did but there are others who are saying the same thing.
Many of those who will be taxed feel as though it will be excessive. They are also feeling that California is slowly becoming unfriendly to businesses. This is seemingly something that has been going on for quite a while and thus they are starting to think that there will be no end to it. In fact, some of them have even said that this can be traced as far back as Proposition 30, saying this is what changed everyone’s mindset.
Most of the wealthy businessmen who are thinking of relocating are merely thinking and talking about it right now. However, tax analysts expect that they will see the occurrence by 2014. It will take the wealthy this long to figure out how to relocate to avoid paying state taxes without actually moving out of the state. Some of these people are thinking of moving to Texas where the personal income-tax rate is zero, whereas it’s 13.3% in California. Of course, this is just one of the many states to which they may relocate as there are others who also don’t charge individual taxes.