My Decision to Pay Massachusetts' Millionaire's Tax and Stay

Originally from South Florida, where my family is based, I relocated to Massachusetts at the age of 10 and never looked back.

Our family's business operations span Boston and Palm Beach, Florida, across several industries, predominantly in real estate. Our real estate investments are broad, ranging from industrial and farming spaces to residential properties, spread throughout the United States and Canada.

As Massachusetts' millionaire's tax has garnered attention nationwide, I've fielded many inquiries from friends elsewhere about its impact since this 4% tax came into effect in 2023. Relocating back to Florida often crosses my mind, yet one thought keeps me anchored: my children.

Witnessing the Exodus of Peers

Alongside real estate, my interests lie in sports and entertainment. I partially own the Seattle Kraken, and recently became part of the Memphis Grizzlies' ownership. These ventures have been both fulfilling and exciting, a natural complement to producing over 40 films in the past 15 years.

With rising state taxes, friends in fields like hedge funds and finance are opting to leave. Unlike them, my reasoning diverges.

Why My Kids' Future Matters Most

My priority rests with my young children, aged 7 and 10. Ensuring their upbringing in Massachusetts, with its tremendous educational and cultural offerings, is paramount.

We reside in a town where the public school is exceptional, something I am reluctant to forgo. Boston's vibrant and seasonal lifestyle, replete with sports and cultural activities, is something I value too much to exchange for just avoiding higher taxes.

If circumstances were different, perhaps my choice would be as well.

Assessing Prospects of Departure

Attributing Massachusetts' economic shifts solely to the wealth tax might be an overstatement. Some economic sectors thrive, while others lag.

For instance, the sluggish condominium market in Boston defies 10-year norms, likely compounded, but not solely caused, by affluent residents leaving, impacting high-end property sales.

Maintaining My Lifestyle

Despite this tax, my lifestyle hasn't needed adjustment, though I remain vigilant about the taxes I incur, wondering what fiscal measures might come next.

How Massachusetts' new revenues benefit its residents remains uncertain, which could eventually prompt more significant relocations, potentially including myself.

Government Revenue Allocation Aspirations

The Massachusetts Bay Transportation Authority, in dire need of infrastructure overhauls, could use the revenue infusion—will it see that investment?

Two ancient Cape Cod bridges face deferred replacement costs after funding cuts. Could new resources revive these plans?

I wonder if Massachusetts can transcend maintaining the status quo by smart revenue deployment that encourages those who contribute to the tax.