4 ms·

(for a single filer) at $100k income, this lowers the effective state income tax to 0.8% at $200k income, this lowers the effective state income tax rate to 4.

(for a single filer) at $100k income, this lowers the effective state income tax to 0.8% at $200k income, this lowers the effective state income tax rate to 4.4% New Hampshire is literally next door and has no income tax.

rbritton 8y ago
There's also no guarantee on the duration of this program. From their FAQ, it appears that it's renewed annually, so it would be very easy to dig in roots only to find out the program has been ended shortly after. At the risk of going slightly political, if money is the reason for relocating there, I'm not sure I'd put much faith in it lasting given the elected officials for that state.
- imh 8y ago
  People in other areas don't respond very well to highly paid workers relocating to their neighborhoods and raising housing prices. I'd guess that as soon as this gets many people to move, sentiment turns and it vanishes.
  - wbl 8y ago
    You can build more houses.
    - billsmithaustin 8y ago
      That only scales to a point. Other side-effects of a larger population, like increased traffic, are harder to address than just building more houses.
      - ryukafalz 8y ago
        That seems like less of a problem if all the new residents are working remotely though, yeah? There would of course be some new traffic, but it wouldn't be a huge mass of people commuting to the same place.
      - bogomipz 8y ago
        >"Other side-effects of a larger population, like increased traffic" Remote workers don't commute though. Vermont's population has also been declining for years though and before that trend it was stagnant for decades[1]. Also if you've been to Vermont you know there's plenty of room to build there. [1] https://www.burlingtonfreepress.com/story/money/2016/12/29/vermont-population-declining-out-migration-art-woolf/95886408/ https://www.burlingtonfreepress.com/story/money/2016/12/29/v...
Retric 8y ago
New Hampshire has other taxes. If you want to pay less in taxes find a state that spends less money.
- sokoloff 8y ago
  https://ballotpedia.org/Total_state_government_expenditures https://ballotpedia.org/Total_state_government_expenditures Per-capita, Vermont spends the 6th most; New Hampshire the 3rd least. Only Missouri and Florida spend less than New Hampshire.
woah 8y ago
Some people prefer Vermont's landscape, culture and politics and might be willing to give up 0.8% of income tax savings.
- ip26 8y ago
  Yup, at some point you consider, it's only $800 and maybe you're getting a lot for your money. Not to mention other factors in overall cost of living can totally swamp that $65/mo. You probably spend more on internet.
- analognoise 8y ago
  Isn't the fact this program exists at all a testament to people not preferring Vermont and having to be incentivized to go there?
  - jimhefferon 8y ago
    I think it is a trial baloon, and arises out of a perception that maybe in the future there will be large numbers of such people.
- markbnj 8y ago
  It's been twenty years since I lived in southern NH and worked for a company in Vermont, but I don't remember a lot of differences in the landscape, or frankly the culture. Yes Vermont has a reputation for being liberal and progressive, and NH has a reputation for being the live free or shoot me place, but the reality on the ground, at least when I was there, was a lot less contrasting.
  - GoRudy 8y ago
    I think there's a material difference between southern new hampshire and most of vermont. Vermont in general is far more rural (outside of Burlington, Rutland) whereas the larger towns in southern new hampshire that are fast growing are basically now suburbs of boston.
    - 8y ago
Spooky23 8y ago
Sort of. There's no such thing as a free lunch. New Hampshire has high property taxes and it collects the equivalent of income tax from employers.
bogomipz 8y ago
This is a really good point. If you are after clean air, natural beauty, outdoor activity and the New England vibe you could just as easily live in New Hampshire and pay zero state income tax. Also there are many parts of New Hampshire where commuting in to Boston is an option if your remote gig went away. Many people live in low tax New Hampshire and commute in to Boston or or other parts of Massachusetts.
dsfyu404ed 8y ago
>New Hampshire is literally next door and has no income tax I wouldn't bank on it staying that way for long. Massholes from are moving in in droves and are voting for the kinds of politicians who would be very amenable to am income tax. Of course if they get an income tax all their other taxes will stay high too.
mindslight 8y ago
> New Hampshire is literally next door and has no income tax. Really?! Has New Hampshire finally gotten their act together and extricated themselves from the boot of the federal government? Or do you really mean that NH has a slightly lower income tax because nothing gets added to the federal one?

rbritton 8y ago

There's also no guarantee on the duration of this program. From their FAQ, it appears that it's renewed annually, so it would be very easy to dig in roots only to find out the program has been ended shortly after. At the risk of going slightly political, if money is the reason for relocating there, I'm not sure I'd put much faith in it lasting given the elected officials for that state.

imh 8y ago
People in other areas don't respond very well to highly paid workers relocating to their neighborhoods and raising housing prices. I'd guess that as soon as this gets many people to move, sentiment turns and it vanishes.
- wbl 8y ago
  You can build more houses.
  - billsmithaustin 8y ago
    That only scales to a point. Other side-effects of a larger population, like increased traffic, are harder to address than just building more houses.
    - ryukafalz 8y ago
      That seems like less of a problem if all the new residents are working remotely though, yeah? There would of course be some new traffic, but it wouldn't be a huge mass of people commuting to the same place.
    - bogomipz 8y ago
      >"Other side-effects of a larger population, like increased traffic" Remote workers don't commute though. Vermont's population has also been declining for years though and before that trend it was stagnant for decades[1]. Also if you've been to Vermont you know there's plenty of room to build there. [1] https://www.burlingtonfreepress.com/story/money/2016/12/29/vermont-population-declining-out-migration-art-woolf/95886408/ https://www.burlingtonfreepress.com/story/money/2016/12/29/v...

Retric 8y ago

New Hampshire has other taxes. If you want to pay less in taxes find a state that spends less money.

sokoloff 8y ago
https://ballotpedia.org/Total_state_government_expenditures https://ballotpedia.org/Total_state_government_expenditures Per-capita, Vermont spends the 6th most; New Hampshire the 3rd least. Only Missouri and Florida spend less than New Hampshire.

woah 8y ago

Some people prefer Vermont's landscape, culture and politics and might be willing to give up 0.8% of income tax savings.

ip26 8y ago
Yup, at some point you consider, it's only $800 and maybe you're getting a lot for your money. Not to mention other factors in overall cost of living can totally swamp that $65/mo. You probably spend more on internet.
analognoise 8y ago
Isn't the fact this program exists at all a testament to people not preferring Vermont and having to be incentivized to go there?
- jimhefferon 8y ago
  I think it is a trial baloon, and arises out of a perception that maybe in the future there will be large numbers of such people.
markbnj 8y ago
It's been twenty years since I lived in southern NH and worked for a company in Vermont, but I don't remember a lot of differences in the landscape, or frankly the culture. Yes Vermont has a reputation for being liberal and progressive, and NH has a reputation for being the live free or shoot me place, but the reality on the ground, at least when I was there, was a lot less contrasting.
- GoRudy 8y ago
  I think there's a material difference between southern new hampshire and most of vermont. Vermont in general is far more rural (outside of Burlington, Rutland) whereas the larger towns in southern new hampshire that are fast growing are basically now suburbs of boston.
  - 8y ago

Spooky23 8y ago

Sort of. There's no such thing as a free lunch. New Hampshire has high property taxes and it collects the equivalent of income tax from employers.

bogomipz 8y ago

This is a really good point. If you are after clean air, natural beauty, outdoor activity and the New England vibe you could just as easily live in New Hampshire and pay zero state income tax. Also there are many parts of New Hampshire where commuting in to Boston is an option if your remote gig went away. Many people live in low tax New Hampshire and commute in to Boston or or other parts of Massachusetts.

dsfyu404ed 8y ago

>New Hampshire is literally next door and has no income tax I wouldn't bank on it staying that way for long. Massholes from are moving in in droves and are voting for the kinds of politicians who would be very amenable to am income tax. Of course if they get an income tax all their other taxes will stay high too.

mindslight 8y ago

> New Hampshire is literally next door and has no income tax. Really?! Has New Hampshire finally gotten their act together and extricated themselves from the boot of the federal government? Or do you really mean that NH has a slightly lower income tax because nothing gets added to the federal one?