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Billionaire bond manager Gundlach suggests he could leave California over taxes - Metro US

Billionaire bond manager Gundlach suggests he could leave California over taxes

Jeffrey Gundlach, CEO of DoubleLine Capital LP, presents during the 2019 Sohn Investment Conference in New York

NEW YORK (Reuters) – Billionaire bond fund manager Jeffrey Gundlach suggested in a Twitter post late Saturday that he may move from California to a lower-tax state if Sacramento raises taxes on the wealthy.

“Elon Musk, Joe Rogan and Ben Shapiro, to name just a few, are leaving California to escape incompetent governance. The “response” from Sacramento? Wealth and massive income tax increases on job creators (AKA “the wealthy”). Should I align with 3 smart guys, or Sacramento? Hmmm,” Gundlach, the chief executive officer of asset manager DoubleLine, wrote.

Democrats in California have proposed raising the highest tax rate to 16.8% from 13.3%. The move would follow other states that have focused on raising taxes on the highest earners. Lawmakers in New Jersey reached a deal Sept. 17 to raise rates on incomes above $1 million to 10.75% from 8.97%.

Previous income tax rates on high earners in California have not been shown to lead to an exodus of residents from the state, a Reuters study from 2012 found. https://www.reuters.com/article/us-california-tax-flight/super-rich-flight-from-california-not-so-fast-idUSBRE8AH07S20121118

(Reporting by David Randall; editing by Diane Craft)

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