By Neal Boortz
It’s no secret … Americans, particularly the wealth … are flocking to states with lower taxes, less government spending and right to work laws. New Hampshire is one of those states as it happens to be one of the seven states without an income tax. With these wealthy people comes … wealth! Particularly in the form of trusts. From the WSJ:
The family office of the Johnson family, which runs Fidelity and which has a net worth in the billions of dollars, recently moved from Massachusetts to New Hampshire, which doesn’t tax many forms of income from trusts. (Their offices are now a mere three miles over the border, lest they also sacrifice convenience).
New Hampshire, in fact, has become a kind of mini-Switzerland for wealthy Northeast families. Trust assets under management by banks and trust companies up north have jumped 70% over the past five years, to $311 billion in 2010, from $184 billion in 2005, according to the New Hampshire Banking Department. State.
People will do what they can to hold on to the wealth they earn. Taxes change behavior. When will politicians start to understand this?