How to Keep the Wealthy From Fleeing Connecticut
When it comes to saving on taxes the wealthy have to continually consider all their options because lawmakers never seem to stop pushing for more legislation aimed at making the wealthy pay more taxes. Lately, it seems that there are more and more reports of the nation’s wealthiest individuals living in high-tax locations deciding to pack up their bags and head for states that are more tax-friendly.
Connecticut continues to face this problem because the state reportedly continues to spend more than it should. Because of the overspending the state keeps creating new efforts to squeeze more taxes from its wealthiest citizens. The problem is, many of these wealthy individuals are moving out. According to a recent report in the Hartford Courant, two of the biggest offenders are Connecticut’s estate tax and it’s gift tax.
Connecticut relies on wealthy taxpayers more than most states, but the number of wealthy individuals coming to the state is slowing down, while the number of wealthy taxpayers leaving is increasing. In fact, after the state introduced a huge tax increase in 2011, more than 27,000 residents moved out and took close to $4 billion in annual adjusted gross income with them.
Perhaps the best way to deter the exodus of high net worth individuals is to repeal, or at least reform the estate tax and to completely eliminate the gift tax, as Connecticut is the only state with a tax of that kind.
www.courant.com/opinion/op-ed/hc-op-smith-repeal-ct-estate-tax-0515-20160513-story.html
Why not a CPA as President?
Why not a CPA as President? By William Brighenti With the economy the most central issue, why not elect a CPA as President? A recent poll showed that 47% of our fellow citizens thought that the economy was the central issue of our country. So we elect lawyers to manage and direct our economy? Why…
Business Income insurance
Business Income insurance Business Income Insurance – Often Misunderstood; Things to Think About By R. Scott Wolf Business Income Insurance is probably one of the least understood components of an insurance program, yet it is probably one of the most important. It is akin to what disability insurance does for us personally should we become…
Business Sales Tax
Business Sales Tax Sale of a Business – Sales Tax Impact Buying and selling a business can be structured to be tax-free from the standpoint of federal income taxes through the merger and other reorganization provisions of the Internal Revenue Code. However, a tax-free transaction from a federal standpoint may not be tax-free for State…
Tax Telecommuting
Tax Telecommuting If you’re thinking about setting up employees as telecommuters, you’re not alone. Businesses ranging from large multi-nationals to small shops know that telecommuting not only can improve worker morale and performance, it can also save you and your employees money. What’s not to like about zero commuting costs and no office rent? You…