California Worst in Taxes

Among corporate CEOs, California is ranking last, as commentator Rob Woods reports in a recent article in Forbes magazine. California has a lot of tax and regulatory issues. A recent survey of corporate CEOs asking them, among other things, where they would want to do business, and California came out last on the list. Wood characterizes it as “serendipitous timing” considering Toyota’s recent move from California to Texas. There were probably a number of reasons for the move. Wood says that taxes is certainly one of them.

Robert Wood

Robert Wood

Wood notes that the tax situation is causing migrations out of the state, including Phil Mickelson’s widely reported consideration of moving from California to Florida. In 2012, California’s tax rates were retroactively raised to the beginning of 2012, and up to 13.3% for earners in the top bracket. Factoring in federal taxes, high earners in California have a heavier burden than in any other state. All of this, opines Wood, makes moving away from California increasingly attractive.

For more information on the subject, please refer to Mr. Wood’s article in Forbes. Robert Wood is a tax attorney with Wood, LLP in San Francisco, California and spoke with The Tax Law Channel, an affiliate of The Legal Broadcast Network.  The Legal Broadcast Network is a featured network of the Sequence Media Group.