Has anyone here ever run a business?
Has anyone here ever read a balance sheet?
Can you provide ONE instance of a company that relocated because of state taxes on employee income?
Having been involved in founding six companies in this decade, I can assure you that taxes a small part of the equation. One founds a business based on there being a market for your product. One picks a location based on availability of talent and cost, but you cannot go to the lowest cost location if you cannot find the talent you need. Taxes are a cost of doing business – its the market and your ability to differentiate your product that lead to business creation.
The reason so many tech startups are concentrated in Silicon Valley, New York City and the Boston area – all very high tax and high cost of living areas – is that’s because that’s where the talent is.
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