The state with the highest upper range on taxes is California. For high net worth individuals in California, they tax individuals up to 12.3%. Ouch!
In Florida, there are no state taxes so that’s why many wealthy individuals seek to obtain residency in the warm state of Florida. Ok, this year has been colder than most but it certainly beats those northern and midwestern states.
State Income Tax Rate for Wealthy
California – 12.3%
Minnesota – 9.85%
Iowa – 8.98%
New Jersey – 8.97%
Wash DC – 8.95%
Vermont – 8.95%
New York – 8.82%
Florida – 0%
For United States citizens that have worked hard, saved plenty, it is becoming very expensive to retain their residency within the ice cold state that they resided in for many years. In addition to paying federal taxes, an additional 9-12% in taxes is very steep.
To put this into perspective, the interest rate today for banks and CD’s is less than 2%. So a 9-12% state tax is huge in comparison.
Canner Brody and Yan is a licensed Florida CPA Accounting firm and has been operating for over 65 years. Very few CPA firms in South Florida have been in existence this long.
For individuals who have been fortunate, we offer tax services tailored to High Net Worth Individuals designed to lower your tax obligations even further. Our approach is highly conservative to preserve your wealth and minimize your legal tax consequences.
To learn more, simply call 305-231-2150 and ask for Andrew Brody.