Tech billionaires are making plans to bail on California ahead a possible ballot measure that would tax their assets to help pay for healthcare.
Sources told the New York Times that venture capitalist Peter Thiel has explored spending more time outside California and opening an office for his Los Angeles-based personal investment firm, Thiel Capital, in another state.
“Leave” as in claiming their primary residence is in Florida while spending all of their time in California.
California is pretty strict about taxing you if you spend too much time there.
I’m in Washington state (no state income tax) and have had colleagues who’ve spent a lot of time in California warned by payroll that they’re approaching the limit on time before you’re deemed a tax resident (maybe 180 days per year, but I’m not sure).
In particular, any part of a day spent in California counts as a whole day, as I understand it. So if you fly in on Monday evening, spend Tuesday and Wednesday, then fly back Thursday morning, it’s 4 days.
In order for that to kick in, you need to be drawing salaried income, otherwise they have no means of tracking you. Salary is an insignificant component of most billionaires’ income.
Puerto Rico does it right. In order to claim primary residence there you have to physically be there for something like 180 days of the year without any travel. States need to do that too.
180 uninterrupted days or 180 total? I think my state does 181 total
I live in a regional hub in a red area. All the people who live in the surrounding counties split their time between shitting on the “big city” and spending all their time here without paying any taxes
I think Tennessee is the new hotness for tax free residency.
i doubt he wants to be associated with florida right now, considering what happened to his sidepiece last year, involving windows. thiel is a creature of habit, he hates anything news that unravel his behaviour.