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MyTime CEO Ethan Anderson on entrepreneurs and wealthy people leaving California over high taxes.
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California's high taxes were not high enough residents and business owners were hit with two giant retroactive.
Tax increases at the end of the year.
They go back well some years and one instance.
When will the State's job creators and entrepreneurs in Silicon Valley finally say so long.
Well there are you looking at real estate and other states if an Anderson is founder and CEO of my time he joins us now from San Francisco -- -- to say you you.
I know that you're looking to buy a house maybe -- differences -- recently you said maiming and -- percent of fast you started your current company.
In California -- maybe not the next one.
Maybe not the next one the current companies just got started that we just launched a last month -- probably be here for a little time but you're right.
I was about to buy a house and I kind of postpone that decision after two retroactive taxes are passed within two months.
Eight people talk about like your friends people with him you work -- -- -- Hey you know -- even just acquaintances are they seriously.
Talking about leaving the state.
And do you find that discussions are.
-- -- more often if you well.
Yes -- -- it's unbelievable almost on a daily if not twice daily basis some entrepreneur comes up to me and says.
I'm trying to establish out of state residency I think that -- six months before we saw my company or sell shares my company.
I'm gonna try to get out of state that I can avoid the news thirteen point 3% marginal tax.
And I actually think it's really sad California could end up with less tax revenue overall because the tax has gotten so high that people are trying to get out of the state before they make money.
Do you think that about bill lawmakers in the state fully understand what is it play and that -- they might not see evidence.
Of the flight out of the state in the short run but ultimately this could damage the state permanently and terms of desist success and the type of entrepreneurs and companies it creates.
No I think you're right arm out over three million people have left the states this 1990s so I don't know what it's gonna take for them to notice but each time they do something like this it's not just there -- the magnitude of the tax -- -- the fact that it threats are active.
And it's a huge retroactive increase.
I think they are gonna start to see companies leaving the state they think they're gonna see they tax revenues fluctuate a lot new thirty year.
As wealthy people aren't are leaving.
You did not want California to be the place that people leave and they become successful you wanted to be the place to come to be successful.
MD just started my time ended you can feel free to mention that it then but.
When you start these businesses what can you do.
What you're doing in California somewhere else now because the technology has changed so much and the talent.
You can get talent to move or you can find talent in other cities whether it's -- or even may be on in the -- like.
In even in the mountains up in the.
Bought off.
Shore actually Utah's a pretty popular place to start companies right now -- funny you mentioned that.
-- my time is when you start up and it's basically we're trying to create and what Amazon did for products and digital goods.
We're trying to do that for local services it's a place -- people can shop.
For the services from the businesses all around them.
-- screenings massage is dog walking all the different businesses are listing their services on my time -- -- people of the book.
The appointments right through our site.
So we -- national.
In the sense that we wanna be in all the major cities and all the major population senators on the fact that our headquarters is in California is almost irrelevant to the business.
And you write the business really could have been started anywhere in the VC money.
Is more more actively looking around the country and around the around even the world actually some -- RBC's that are in our company.
Are investing in Europe Asia India so there's absolutely no reason you have to be in California anymore I think that that's been changing because the technology.
And you can eat is much flog Graf in Nevada as your heart or your stomach can handles -- -- book which you cannot do -- down cornea.
You you heard about our band crude -- I wish I could -- decided all the problems in the state the most important thing was to outlaw fall rock I have like I have friends who were criminals because there in conjure ran for longer all -- been honest Silicon Valley the so.
It didn't really good to see we'll see very -- congratulations on my touted by the way -- sold he had his co -- sold their last company and Hyundai so.
Get out -- me get at a day in and be well.
