moving income out-of-state

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What strategies do you use to move income from a high-tax to a low-tax state? What do the states do to prevent this, and how do you get around them? I'm in CA, which is very aggressive about preventing this sort of "income stripping".

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  • DaveT16th December, 2002

    I am not familiar with state tax laws for CA, so I can not comment specifically. Furthermore, I assume that you are limiting your question to real estate investment income.

    Let me offer this side note as it relates to your question. One of the things I like about SC state tax laws, is that investment income from out of state sources is not taxable SC income. Even capital gains from real estate sales of out of state property is not taxable SC income.

    Perhaps, one way to move your income out of the CA tax jurisdiction is to do your investing out of state.

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