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Want To Leave Your State To Reduce Taxes? Pay Attention To Congressional Introduction Of Exit Tax Prevention Act of 2021



Want To Leave Your State To Reduce Taxes? Pay Attention To Congressional Introduction Of Exit Tax Prevention Act of 2021

H.R.2165 – Exit Tax Prevention Act of 2021 is a bill introduced by Arizona Congressional Representative David Schweikert. This bill prohibits a state, or taxing jurisdiction in the state, from imposing an income tax, wealth tax, or any similar tax on a resident who has relocated permanent residence to another state or taxing jurisdiction. Co-sponsors of the Bill include Representatives Scott Barry(R-PA), Tracey Mann(R-PA), Scott Franklin(R-FL), Jody Hice(R-GA), Paul Gosar(R-AZ), Pat Fallen(R-TX), Fred Keller(R-PA).

Text of H.R.2165 states:

To limit the authority of a State or other related taxing jurisdiction to impose a tax on a resident who has relocated permanent residence to another State or its related taxing jurisdiction.


IN THE HOUSE OF REPRESENTATIVES
March 23, 2021

Mr. Schweikert (for himself, Mr. Perry, Mr. Mann, Mr. C. Scott Franklin of Florida, and Mr. Hice of Georgia) introduced the following bill; which was referred to the Committee on the Judiciary


A BILL

To limit the authority of a State or other related taxing jurisdiction to impose a tax on a resident who has relocated permanent residence to another State or its related taxing jurisdiction.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the “Exit Tax Prevention Act of 2021”.

SEC. 2. PROHIBITION ON CERTAIN STATE AND LOCAL TAXATION.

A State, or taxing jurisdiction in a State, may not impose an obligation for the collection of an income tax, wealth tax, or any similar tax on a resident who has relocated permanent residence to another State or a taxing jurisdiction of another State.

SEC. 3. DEFINITIONS.

For purposes of this Act:

Provide Your Congressional Representative Feedback On This Bill

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One thought on “Want To Leave Your State To Reduce Taxes? Pay Attention To Congressional Introduction Of Exit Tax Prevention Act of 2021

  1. Joe says:

    Please make this work at the federal level for Americans abroad. Americans abroad should not be taxed on the income they earn outside of the USA while outside of the USA as a resident of another country.

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