More technology companies are choosing to move their operations to Texas and other states with lower living costs and more favorable tax laws. Obviously, lower tax brackets will be more attractive to any business. Business taxes in Texas are lower and there is no personal income tax. In addition, the state is also one of the best when it comes to offering incentives to businesses.
Oracle moved its headquarters to Austin, Texas, late last year. Tesla is also building its new gigafactory there and Apple will host its second largest campus in the capital of Texas. This influx of Big Tech has sparked conversations that Texas could become a business center that could rival Silicon Valley. Texas and Florida also don't have personal state income taxes, which means employees can save on both housing and taxes.
These are some of the factors that encourage companies to establish operations in both states. Skilled, growing workforce with low taxes and competitive incentives, everything is bigger and better in Texas. Together with Tesla, Hewlett Packard, a software company once headquartered in California, has made the change. In fact, many notable companies that were once based in California (such as Firetrail and Oracle) are moving to Houston, Texas.
Amazon invested billions of dollars in Texas many years ago, seeing the clear advantages that are associated with businesses there. Both established companies and startups are attracted to Texas because of its relatively favorable tax conditions. There is no corporate or individual income tax collected in this state. This is an especially desirable prospect for anyone operating a company in California, as tax rates have grown there over the years.
Many businesses are moving from California and are moving to Texas due to the tax climate. With so many jobs moving to Texas, you may also be considering moving with your business or investments.