Risky business: States tax the rich at their peril

Discussion in 'Blazers OT Forum' started by Denny Crane, Sep 27, 2009.

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  1. Denny Crane

    Denny Crane It's not even loaded! Staff Member Administrator

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    A California resident pays California tax on all of his/her income, even if that income comes from outside California.
    It is very difficult to establish residency outside of California if you are doing anything in the State. Generally, California takes the position that someone is not a California resident only if:

    1. His/her presence in California does not exceed 6 months within a taxable year; AND
    2. If he/she maintains a permanent home outside California; AND
    3. If he/she does not engage in any activity or conduct within the State other than as a seasonal visitor, tourist, or guest.
    If you are present in California for more than 9 months in any given tax year, the State presumes that you are a resident. For details, see the Franchise Tax Board’s Guideline for Determining Resident Status, which can be found at http://www.ftb.ca.gov/forms/misc/1031.pdf.
     
    Denny Crane, Sep 28, 2009
    #21
  2. barfo

    barfo triggered obsessive commie pinko boomer maniac Staff Member Global Moderator

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    I agree you aren't a CA resident (or weren't last year, anyway). But don't non-residents pay CA income tax?

    barfo
     
    barfo, Sep 28, 2009
    #22
  3. Eastoff

    Eastoff But it was a beginning.

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    oregon is that way? why not the even more strained economy state?:dunno:
     
    Eastoff, Sep 28, 2009
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  4. Denny Crane

    Denny Crane It's not even loaded! Staff Member Administrator

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    I had CA state taxes withheld and fully refunded.

    I had federal taxes withheld and only partially refunded. A puny refund, compared to what the govt. kept.

    I certainly earned a decent amount of money in California.

    My tax guy is a long time friend. He graduated from Ohio State in the 1950s and has an MBA along with his CPA. He's done my taxes for 20 years. He lives in and does his entire business (but me) in California, FWIW.
     
    Denny Crane, Sep 28, 2009
    #24
  5. BLAZER PROPHET

    BLAZER PROPHET Well-Known Member

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    BLAZER PROPHET, Sep 28, 2009
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  6. blazerboy30

    blazerboy30 Well-Known Member

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    I disagree, you flaming lefty!
     
    blazerboy30, Sep 28, 2009
    #26
  7. elcap15

    elcap15 I slap you

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    Just because you are a nonresident or a part year resident, does not exclude you from paying income taxes to CA. There are hundreds of reasons why you wouldnt owe taxes to CA, as a nonresident or a part year resident, far too many to get into detail here on this board. But I assure you, nonresident or part year resident status does not exempt you from CA income tax.

    For example, I have done returns for an NFL football coach who has to pay taxes in each state that his team plays a game.
     
    Last edited: Sep 29, 2009
    elcap15, Sep 29, 2009
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  8. maxiep

    maxiep RIP Dr. Jack

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    :dunno:
     
    maxiep, Sep 29, 2009
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  9. BTOWN_HUSTLA

    BTOWN_HUSTLA NOW BUZZ KILLINGTON

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    http://www.google.com/hostednews/ap/article/ALeqM5inKAlZiEBjwwxtBeYF9SrIwXg92QD9B0KIA00

    :ghoti:

     
    BTOWN_HUSTLA, Sep 29, 2009
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  10. maxiep

    maxiep RIP Dr. Jack

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    This is the way government should work. We should have 50 social laboratories--state governments--each trying new things for their population. The Federal Government then picks and chooses which ones work best for the population at large.
     
    maxiep, Sep 29, 2009
    #30
  11. elcap15

    elcap15 I slap you

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    woops!
     
    elcap15, Sep 29, 2009
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  12. maxiep

    maxiep RIP Dr. Jack

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    I figured the only explanation was he coached under Pat Riley when he was with the Knicks.
     
    maxiep, Sep 29, 2009
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  13. Eastoff

    Eastoff But it was a beginning.

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    How often do you pick? Do they pick most of the rules and then everyone varies these new rules again? Just trying expanding on this idea.:cheers:
     
    Eastoff, Sep 29, 2009
    #33
  14. maxiep

    maxiep RIP Dr. Jack

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    It's a never-ending process. Times, political attitudes and circumstances are in constant flux.
     
    maxiep, Sep 29, 2009
    #34
  15. Eastoff

    Eastoff But it was a beginning.

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    I'm just hung up on if the federal government then puts these rules into effect for everyone? Like I envision some sort of computer program, where patches come out and everything gets brought up to new codes. Then things can vary.

    Or from a more directly evolutionary example. We start out with fish, then it turns out sharks are the most effective. So everything but this shark gets killed off. ten years later this type of shark over here, say a hammerhead, is the most effective. Everything that's not a hammerhead gets killed off.

    Or am I way off base?
     
    Eastoff, Sep 29, 2009
    #35
  16. Denny Crane

    Denny Crane It's not even loaded! Staff Member Administrator

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    I'm aware that pro athletes pay taxes in every state they play, their tax accountants must make a good buck. Especially baseball players. They play 81 games away and spend at least 4.5 months on the road, no?

    I did file a CA tax return, but only to get 100% of my taxes back.

    This year, I lived exclusively in CA and will be paying taxes here.

    I own a home in Nevada still, but I didn't live in it other than visiting for a few days here and there.
     
    Denny Crane, Sep 30, 2009
    #36
  17. maxiep

    maxiep RIP Dr. Jack

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    The Federal Government doesn't have purview over everything. However, let's look at health care. Both Massachusetts and Oregon have taken a swing at covering everyone, but they took different paths. Texas has capped malpractice awards. When the Federal Government takes a look at health care, they have examples of what worked and what didn't work. Tax strategy is another area. California has offered more services and Texas has offered fewer. Which one is attracting more business? Which one is attracting new residents? Which economy is doing better?

    I believe the more autonomy city, county and state governments have, the better we are. In other words, I would prefer to address Lake Oswego, Clackamas County or the State of Oregon rather than the Federal Government, as I have more of a voice in those venues. I believe those entities understand my needs better than people in Washington, DC--the more direct the representation, the better. I like the idea of states rights; that Oregon is different than Alabama, that Colorado is different than Ohio.

    Our government works best when the states make bold experiments. We can observe the consequences and benefits of these experiments and then when it applies to the Federal Government, we can apply those lessons in new legislation.

    Does that help to make it more clear?
     
    maxiep, Sep 30, 2009
    #37
  18. Eastoff

    Eastoff But it was a beginning.

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    yes. So who do you think will be the first to legalize?:devilwink: In the mention of texas vs california, I assume you are referring to the current state debt problems?
     
    Eastoff, Sep 30, 2009
    #38
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