Low taxes=population explosion for TN? (Memphis, Knoxville: transplants, sales, insurance)

[ckhthankgod]

With Tennessee having one of the lowest, if not the lowest tax burden in the country, is the state bracing itself for a population explosion? Is the state using this to its advantage to attract companies or to create jobs organically?

[nashvols]

I don't think so. Not in the immediate future, at least.

We've historically been a pretty low tax state. We're growing at a pretty decent rate, but I don't see us jumping to the ridiculous North Carolina or Georgia rates...or even Virginia.

Could it change? Sure. What it will take is either Knoxville (or even Chattanooga) becoming the next mid sized "discovery" and stepping up to the next level/tier, or Memphis having a renaissance and beginning to match Nashville's growth.

But I can't say I want us to have a population explosion. I'd love an uptick in economic growth, but there are some negative side effects to population booms, and in a low tax state, that almost certainly means infrastructure lags behind development.

[doc1]

It might depend on the fiscal beliefs of those moving to TN.

Many moving to the south come from high tax states and may decide that TN needs to be more Progressive and vote accordingly.

Or they may have learned their lesson.

Time will tell.

[hiknapster]

I've been here for seven years and in all of that time we have been very, very low on the tax burden scale. A quick look at the records shows that this has been the case for at least decades, perhaps since the beginning of time. The Tax Foundation has been making note of Tennessee for years.

In any event I don't see a stampede.

The reality is most northerners - and especially northeasterners - and a lot of folks from the west, too, think that Tennessee is the land of Hee Haw where the Dukes of Hazzard reign supreme. The dirty little secret is we like it that way and use it to our advantage. I'm a moderate from the northeast that was taught to never have preconceived notions about people and places and it certainly has worked for me. Once we get accurate publicity, we are probably doomed. I haven't seen that television show "Nashville." I hope they are yee-hawing it up. Lord knows what will happen if they all figure out that we are actually real people living the good life.

The truth of it is that national and global companies have been moving in and they bring in people from other areas. That could change the way things work around here and the friendliness and politeness of the region. That happens, I'm out of here.

[RJS5689]

Originally Posted by hiknapster

The reality is most northerners - and especially northeasterners - and a lot of folks from the west, too, think that Tennessee is the land of Hee Haw where the Dukes of Hazzard reign supreme. The dirty little secret is we like it that way and use it to our advantage. I'm a moderate from the northeast that was taught to never have preconceived notions about people and places and it certainly has worked for me. Once we get accurate publicity, we are probably doomed. I haven't seen that television show "Nashville." I hope they are yee-hawing it up. Lord knows what will happen if they all figure out that we are actually real people living the good life.

You are absolutely correct. I'm a northeasterner--a New Yorker, actually--and everyone up here thinks Nashville is all yee-haw hillbilly hicks driving lifted pickup trucks listening to nothing but country music. They don't think Nashville is a real city and they're convinced there's nothing to do, no night life and no good food down there. Well guess what, they're all wrong! Some of you may have seen me posting in the Nashville sub-forums recently. The reason is I've fallen in love with Nashville ever since my first visit. When I tell my New Yorker friends how much I love it down there, they all think I'm crazy. This should work out in your favor, though; it will keep the naive Yankees out of your state .

I've seriously thought about leaving this city I know and love to pursue a job down in Nashville. I work in the tech sector and was told I should have a relatively easy time finding a job working for one of the healthcare companies doing tech/IT related work. The real tough part will be convincing the significant other to move south... I'll have to work on that a little bit.

[yarddawg]

Not really worried about it. The hick town I come from has actually lost population over the last decade. People who come here with low taxes as their top card tend to leave in three or four years complaining bitterly about the lack of services, government corruption (nepotism is a well developed sport in rural areas), people only being friendly on the surface, etc. Money ain't everything.

If the republican governors in other states that are trying to eliminate state income taxes succeed I expect that Tennessee is going to shift a few positions on these "tax burden" lists, they seem to weigh income tax much heavier than sales - probably because they're written with a middle/upper middle class demographic in mind.

[hiknapster]

Originally Posted by RJS5689

This should work out in your favor, though; it will keep the naive Yankees out of your state .

Frankly - and I say this as a northeasterner - that they are simply ignorant, insular and elitist. But as I said, that is a positive, for sure. I'm certainly not wanting them to move here, either.

Originally Posted by yarddawg

Not really worried about it. The hick town I come from has actually lost population over the last decade. People who come here with low taxes as their top card tend to leave in three or four years complaining bitterly about the lack of services, government corruption (nepotism is a well developed sport in rural areas), people only being friendly on the surface, etc. Money ain't everything, one that I prefer.

If the republican governors in other states that are trying to eliminate state income taxes succeed I expect that Tennessee is going to shift a few positions on these "tax burden" lists, they seem to weigh income tax much heavier than sales - probably because they're written with a middle/upper middle class demographic in mind.

Well, I live in a moderately-sized metro area. There are great services, wonderful parks and greenways, I love the schools, etc. However, people come down here thinking to save some money and move away, too. They usually do it because they don't like the politeness and friendliness of the people (no, I am not kidding) and the slower pace. In other words, things like allowing people to slip into traffic or chatting in the grocery line drives them to distraction. It is a different way of life.

[brentwoodgirl]

Originally Posted by yarddawg

Not really worried about it. The hick town I come from has actually lost population over the last decade. People who come here with low taxes as their top card tend to leave in three or four years complaining bitterly about the lack of services, government corruption (nepotism is a well developed sport in rural areas), people only being friendly on the surface, etc. Money ain't everything.

If the republican governors in other states that are trying to eliminate state income taxes succeed I expect that Tennessee is going to shift a few positions on these "tax burden" lists, they seem to weigh income tax much heavier than sales - probably because they're written with a middle/upper middle class demographic in mind.

You might want to read the boards a little more. There are a lot more transplants coming and staying than there are leaving.

[Memphis1979]

I paid lower taxes in Florida then I do here, counting sales tax. You get a lot of discounts in a lot of places there by flashing your FL drivers license. Tennessee's population explosion has more to do with the cheap labor force, and centralized location. Texas has higher transportation costs due to its size and location, and Florida, insurance will kill you.

But this state is growing, in parts. There are other parts where manufacturing has all but died out, and people are really suffering there. My home town is one of those places. When I go there, its like someone put the brakes on about 1992, and nothing has changed since. All the young kids, like myself, moved away for opportunity elsewhere.

[ckhthankgod]

Interesting, if not ironic, posts. Just for a frame of reference, how does the state or counties keep taxes low, while providing the services that the people need? How would you compare pay in relation to former locations, for those coming from other states? What industries have been growing in the state in recent years?