Here is my list of the Top Ten states to watch out for this coming year. Our focus at USTaxAid is on business and investors and, of course tax, so we’re focusing in on the states that are most likely to become even more aggressive when it comes to collecting tax. The reason is simple: they’re broke. The stats come from Forbes magazine and StateHealthFacts.org. We’re looking at 4 components here: debt per capita, the amount of unfunded pensions, state annual production and the state revenue change. On state revenue change alone, Alaska gets an honorable mention on the ‘watch list’ as their revenue has dropped by a staggering 68.6%. That means their revenue is now 1/3 of what it used to be. Expect some changes up north.
Here’s our state watch list:
- Illinois. Debt per capita is $1,877, unfunded pension per capita is $17,230 (yikes) and revenue is down 10.4%.
- New York. Debt per capita is $2,921, unfunded pension is $8,620 and revenue is down 13.2%
- Connecticut: Debt per capita is $4,490, unfunded pension is $17,622 and revenue is down 13.1%
- California (on the list of course): Debt per capita is $1,805, unfunded pension is $13,015 and revenue is down 12.8%
- New Jersey: Debt per capita is $3,621, unfunded pension is $16,838 and revenue is down 13%
- Louisiana: Debt per capita is $1,164, unfunded pension is $10,180 and revenue is down 10.1%
- Mississippi: Debt per capita is $1,478, unfunded pension is $12,523 and revenue is down 7.1%
- Ohio: Debt per capita is $962, unfunded pension is $19,110 and revenue is down 8.6%
- Massachusetts: Debt per capita is $4,323, unfunded pension is $9,294 and revenue is down 12.9%
- Wisconsin: Debt per capita is $1,429, unfunded pension is $16,418 and revenue is down 13%
Of these listed states, we’ve seen some pretty aggressive action by many of them: New York, Connecticut, California, New Jersey and Massachusetts especially come to mind.
If you have a chance at nexus in these states, be especially careful. They are hungry and looking for money.
Join us for our USTaxAid Interactive Radio Show featuring “Nexus Strategies to Pay Less Tax” by going to http://www.USTaxAid.com/radio on Thursday, December 2, 2010 at 4 pm Pacific, 5 pm Mountain, 6 pm Central and 7 pm Eastern. You’ll be able to follow along and post questions in our live chat room.
Tags: broke state • debt per capita • diane kennedy • Diane Kennedy CPA • recession • state annual production • state revenue • unfunded pensions • ustaxaid • ustaxaid radio • UStaxaid.com