Did you know that the gst ( sales tax over here )is governed by each city . Or to put it in Australian terms ,the municipality that you live in .7.25 is the base rate of all the sales tax, as this is what the state of California takes . From this point on each City can add on extra to help it garner more funding . Where I live the sales tax is 9.5% . Each city can decide how it approaches this tax . There is a lot out there that havn’t added anything onto the States bottom line. It can be used as a competitive advantage to entice people to spend money in there area .If your buying a car or a luxury item the saving can be substantial if you buy in a certain City .The top rate of tax that I found was 10.25%. It gets more interesting when you find that each state has different taxes on just about everything. California is known as the highest taxed state in America on just about everything .This place is a very expensive part of the world to live in .The state of Oregon to our North has no sales tax . If you want a new boat go to Oregon . The more I started to look into the tax of Americans the more startled I’ve become .There are 7 states without income tax , what ? The problem with this is that other taxes are required , mainly sales and property tax. Of course if you earn well you’re going to spend more and incur taxes but I severely doubt that this system helps the lower class .Alaska has no sales or income tax . It relies on resource royalties . I’m not going there for a well paid job , have you seen Anchorage and those ugly winters ?We live in LA but in reality we are a million miles away from the rest of America .The US is totally derugulated , it’s common practice to use tax or lack of it to attract business. California is ranked 50 for doing business mainly due to its high taxes .Texas is number 1 . Cultural diversity and open mindedness doesn’t count when it comes to money .Big business is heading to Texas and maybe , the Trump states? The US is built on competition. It’s the first thing I noticed when I moved here , it’s cut throat and you’ve got to fight so much harder to get off the bottom. It’s just that some states don’t take it back off you , once you’ve got off the bottom . This place is out there , we don’t realise what a controlled and even spread of wealth and taxes that Australia has . Here’s the alternative , not sure I like it .
October 17 just stuff
Published by aussiehowieinla
I'm a 51 year old Aussie guy from Melbourne, Australia, who until now, has never lived outside of my home town in Mornington. That is, until now, when together with my wife and 2 boys, moved to South Bay, California, to start a new life. This blog is share my take on LA life. View all posts by aussiehowieinla
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