There are US states with no state income tax, but the federal income tax still applies. LTCG ranges from 0 to 20%, but the 22% federal income tax bracket starts at $41,775 a year, depending on marital status.
For any significant sum in the US, it's always going to be cheaper to book income as sales of stock held longer than a year than as ordinary income.
For any significant sum in the US, it's always going to be cheaper to book income as sales of stock held longer than a year than as ordinary income.