US: State Farm cancels thousands insurance in Florida

State Farm cancels thousands in Fla. -> msnbc.msn.com/id/35220269/ns … l_finance/

Why would anyone want to live in Florida?Isn’t insurance about $5,000 a year and then local taxes about the same again dependent on the valuation of the property?

Many of the US contractors I worked with around Europe were residents of Florida, because they told me there was no income tax in Florida. There are lots of other indirect taxes but if you aren’t actually there then they are not too bad!

No income tax?Sorry I find that very hard to believe,taxes are paid to the IRS a government body,not a state collector aren’t they?

Both exist in the US. Florida has no state income tax. California, for example, can go up to 10.55% if you earn over a million (I think it’s just gone up recently too). Around 6% seems to be average enough.
taxfoundation.org/taxdata/show/228.html

Well, as I said, I was just passing on a reason I was given for wanting to live in Florida (though they didn’t actually). So what I was told (or my understanding least) is only partially correct it seems. When I think way back to when I was, briefly, in Penn. I remember there was a additional %1 income tax if you lived in Philly itself… so that’s Federal, State & City “income” taxes!

Thanks for clearing that up yogan.

Oh yeah, forgot about that one too!

The extra taxes and charges give the lie to the US being particularly low tax. In particular, a lot of these taxes are not progressive, in a way we understand it to mean in Europe…