#404 Moving to Avoid Taxes!!
Main Street Business
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The Final Four of State Income Tax
California is going to tax your income because you have a business there. Arizona is going to give you a credit for what you paid to California, which is going to reduce what you owe to Arizona. If it was the reverse, you would end up owing more in Arizona. You just get a credit for the piece that you paid, and you pay the balance back to Arizona.
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