[neltnerb]

I think you added the wrong link, which I had assumed was a reference to your claim that "many entrepreneurs are choosing states with low or no income tax". It appears to just be a link to Federal tax brackets. Do you have something to actually back up that claim?

I ask because it's very counterintuitive -- entrepreneurs are pretty much never showing much personal income for years since it's all in equity. And by the time they are making that much personal income, they're presumably just as well off as a normal employee with that income.

The only things I ever hear about that incentivize startups to move somewhere are the (a) ecosystem of support (b) availability of low cost facilities and (c) state tax credits or grant award opportunities, such as matching grants with federal SBIR grants.

I have literally never heard an entrepreneur suggest moving to a new state because of personal income taxes. If personal income is high enough that it's a problem, they're probably well enough off that they can afford it regardless of whether they're an entrepreneur or not.

Unless maybe you're talking about how progressive taxes in general do a bad job at the whole variable income thing. I hear lots of complaints about that with regard to personal income taxes from friends who are more contractor/consulting focused. But that's also not a California thing.