It's not if you are Lebron James where his move to Florida saved him a cool 1.4 million a year in state and local taxes........
Ohio's and Cleveland's higher income tax rates (6% and 2% respectively) compared to Florida's and Miami's taxes would gobble up the differential between the Cav's richer offer and the Heat's (relatively) lesser one. Had James chosen to play with the Knicks in New York, which has the dubious distinction of having both the highest city and state income taxes in the nation,
On a five-year contract worth $96 million -- what he'd get from the Knicks or the Heat -- LeBron would pay $12.34 million in New York taxes. Quite a penalty for the privilege of working in Midtown
according to a New York Post editorial, blaming their lawmakers for perhaps keeping James out of the city and state because of the high taxes. While taxes may not have been a factor In James' decision high income and other taxes in New York, Ohio and other tax happy states have definitely pushed companies and high income individuals to pack up and move to friendlier tax regions taking their jobs, their productivity and yes, their taxes with them, proving once again that higher taxes do not automatically produce higher revenue.
Thanks reader Jeremy for the link.....
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