Tax Guru – Ker$tetter Letter

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Archive for the ‘StateTaxes’ Category

State Taxes Can Influence Business Locations

Posted by taxguru on October 28, 2014

The Tax Foundation has released its 2015 State Business Tax Climate Index:

Their announcement and summary

The full 76 page pdf.

From the Executive Summary:

The 10 best states in this year’s Index are:

1. Wyoming
2. South Dakota
3. Nevada
4. Alaska
5. Florida
6. Montana
7. New Hampshire
8. Indiana
9. Utah
10. Texas


The 10 lowest ranked, or worst, states in this year’s Index are:

41. Iowa
42. Connecticut
43. Wisconsin
44. Ohio
45. Rhode Island
46. Vermont
47. Minnesota
48. California
49. New York
50. New Jersey



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More Tax Refugees on the move

Posted by taxguru on March 6, 2014

It’s always great to see when people reach their breaking point after being fiscally raped by the DemonRats, who have never been able to grasp the moral of Aesop’s Goose That Laid the Golden Egg fable.  In these East Coast cases, the most popular destination is down here in Florida.  The excellent weather is just an added bonus to the tax savings.

About $5.5 billion left NJ in ‘tax migration,’ study finds

De Blasio’s anti-rich policies are driving wealthy people out of NYC


Posted in SoakTheRich, StateTaxes | Comments Off

Worst Tax States

Posted by taxguru on January 29, 2014

For those considering relocating, The Fiscal Times has this interesting slide show of what they have ranked as the ten worst tax states for 2014, along with details on their tax rates. 

They are:

1.  New York

2.  New Jersey

3.  California

4.  Minnesota

5.  Rhode Island

6.  Vermont

7.  North Carolina

8.  Wisconsin

9.  Connecticut

10.  Maryland


TaxCoach Software: Are you giving your clients what they really want?


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Super Taxes

Posted by taxguru on January 28, 2014

New Jersey Taxes Could Eat Up All Of Peyton Manning’s Super Bowl Earnings – Holding the game in the highest tax state in the country will cost all of the players a lot of extra taxes compared to what they would be if the game were played down here in Florida. The much nicer weather down here would be an added bonus for everyone.


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Business-Friendly vs Hostile States

Posted by taxguru on October 10, 2013

Interesting report from the Tax Foundation as to the relative business tax climate of the various States in this country. 

Ranked from 1 as the most business friendly to 50 as the worst place to conduct business, the winners and losers are:

Top 10

  1. Wyoming
  2. South Dakota
  3. Nevada
  4. Alaska
  5. Florida
  6. Washington
  7. Montana
  8. New Hampshire
  9. Utah
  10. Indiana


Bottom 10

  1. Maryland
  2. Connecticut
  3. Wisconsin
  4. North Carolina
  5. Vermont
  6. Rhode Island
  7. Minnesota
  8. California
  9. New Jersey
  10. New York


Their summary of the report:  2014 State Business Tax Climate Index

The full report : 56 page pdf

Washington Posts’s article about this report: Western U.S. best for business, Tax Foundation says



TaxCoach Software: Are you giving your clients what they really want?


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Tax Refugees

Posted by taxguru on September 15, 2013

Excellent look at how much wealth has moved from high tax states to low and zero income tax states, a real life strategy I have been working with people on for decades. It’s always heartening to see where people refuse to just bend over and let their States fiscally rape them.



Posted in StateTaxes, video | Comments Off

Multi-State Taxes

Posted by taxguru on July 13, 2013


Hello Kerry,

I was in full time Real Estate and you came and done a Tax Seminar on Tax Free Exchanges. I still have me Real Estate License, but work full time now as Industrial Lumber Salesman for a company that is based out of  Texas. My question is this I live in  Arkansas and I was hired to be a salesman for the Oklahoma plant. I have an office at the plant and chose to work there most of the time, but I could work from home or really anywhere I have a phone and a computer.  My dilemma is this our company is not set up to do Arkansas State Tax withholdings, and do not want to get set up because they are concerned about being subject to additional franchise taxes.

My problem is they are paying all my State Tax to Oklahoma, and I get about a $50.00 refund from Oklahoma and owe Arkansas about $2000.00 in state tax every year. I do not think I have should have to pay state tax in 2 states, and would like to know if there is a legal way out of paying state tax in 2 states. If nothing else could I set up a checking account in Texas for my check to be Direct Deposit to and then transfer the money to a local account online.?

Please Advise…




There is a mechanism for dealing with your situation that you and your professional tax preparer appear to be overlooking.

If your employer is treating you as an OK employee, you need to file a non-resident OK tax return.

When you file your AR tax return, you are supposed to report all income, including the OK wages.  However, to prevent paying two state income taxes on the same OK income, you are allowed to claim a tax credit on the AR return for the income tax that you had to pay to the State of OK.  To document this, you need to attach a copy of the OK tax return to your AR return.

Your professional preparer should have know this because it is a very common situation with people working across state lines.

It looks like it would actually be worth filing amended AR tax returns for the past three years to claim the credit for the OK taxes paid.  Any tax return older than three years can’t be amended.

Good luck.  I hope this helps.

Kerry Kerstetter




I appreciate your advise, let me ask are you taking on any new clients. I would be interested in having you do my taxes.


Beginners QuickBooks 2013 Training Videos



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Posted by taxguru on January 15, 2013


Louisiana isn’t the only GOP controlled State considering replacing income taxes with increased sales (consumption) taxes.

Nebraska governor is latest to propose ending state income tax

U.S. states flirt with major tax changes 


New pay-per-mile scheme would boost taxes 250 percent  –  Another plan to compensate for the consequences of more fuel efficient vehicles.



Posted in StateTaxes, TaxNews | Comments Off

Taxing refugees from high-tax states?

Posted by taxguru on December 20, 2012

Will people be held prisoner inside high-tax states if they can’t or won’t pay the Exit Fees?  Desperate money hungry State rulers may just stoop this low.


When Will Death Spiral States Impose Taxes On Fleeing Citizens?

New tax increases in California stir debate about adding to exodus


From Rush Limbaugh, who was a tax refugee from New York to Florida 15 years ago, but still has to undergo audits from the New York Tax goons every year to prove that he didn’t work inside the State borders.

Death-Spiral States Eye Exit Taxes

From Blog Pix



Posted in Calif, StateTaxes | Comments Off

Posted by taxguru on August 3, 2012

Facebook Stock Crash Hoses California’s Tax Revenue – In the Bizarro world of government, they love to “balance” their budgets with completely unrealistic overly optimistic assumptions about the size of revenues.  That’s how the Clinton gang conjured up an imaginary budget surplus for his last year.  They assumed the stock market would continue to grow at 20% per year, when in actuality, it crashed.

Governor Moonbeam has already said that his “balanced” budget is contingent on the assumption that voters will approve two large tax increases in November.  Has a betting pool been set up to predict when the PRC declares bankruptcy?


Republicans grill IRS commissioner on health care –  The fun and games with ObamaCare are just beginning. If it’s not repealed, those of us in the tax profession will have to become ensnared in its thousands of pages of rules and regulations, even though none of us had any desire to go to medical school.


Posted in ObamaCare, StateTaxes | Comments Off


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