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Comment by keenreed | Hacker News Reader

》But as long as more immigrants from other countries come to Silicon Valley because they've heard about how rich people come

Why should I come to SV? Living standard, taxes, workforce cost, housing... I may get $5m funding, but that would only buy an office and couple of employees for a few years. And if I ever make it, VC and California taxes would eat 90% of my profit.

And do not even let me start on family and children cost and friendliness. Buying $3m house, so homeless guy can expose himself in front of my daughter... :(

Raising funds is not that big deal, there is so much free capital now. New trend is residency in tax heaven (UAE, Singapore, Cyprus) and globally distributed team.

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California doesn't have a high tax burden. If you manage to get a house you're actually set, it's a feudal system where you essentially never have to pay taxes again, since your property tax will be below inflation forever.

Prop 13 allows for 2% increase every year[0]. That's more than the (supposed) inflation rate in many years[1], though agreed that feels inaccurate.

[0] https://en.m.wikipedia.org/wiki/1978_California_Proposition_...

[1] https://tradingeconomics.com/united-states/inflation-cpi

Compared to what? California is not exactly known as tax heaven.

That’s because the only people who complain about “taxes” in general terms are propagandists like Grover Norquist who don’t care about reality. People actually trying to skip on their tax bills like Musk tend to do it quietly and make up excuses.

Anyone who lives here knows perfectly well that their neighbor who bought a house in the 80s has a property tax bill 10x lower than theirs - actually I live next to several car dealerships who’d pay less than I would if I could afford a house here. That’s the power of Prop 13.

Besides that, CA residents are probably getting a tax refund this year because the state has a budget surplus.

So rant about local politics and shaming people who decide to leave.

I am sure California tax rate is under 70%, but I find it highly non transparent and unpredictable.

> Buying $3m house, so homeless guy can expose himself in front of my daughter... :(

You’re talking about a few limited neighborhoods out of an entire metropolitan area.

that it's normalized is his point

shame on us for that

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