Business owners are already taking long, hard looks at their budgets and working to re-balance expenses after the recent fiscal cliff negotiations; however, the government decided to require no federal capital gains tax if shares were sold between September of 2010 and January of this year, making the decision in California sting even more.
To retroactively require business’s to pay a 5-year backlog of taxes they assumed would be excluded is unimaginable. This decision may serve as motivation for California business owners, and those in similar situations to consider relocating to a more economically friendly state. And the tax bill announcement will definitely be on the minds of entrepreneurs looking to begin a startup in Silicon Valley.
Monday, January 21, 2013
Retroactive tax bill in California may push more startups to Texas
Once again, C is CA's worst enemy.