Q: My wife and I just sold our house and are ready to hit the road and become full timers. We plan to leave California and their high taxes as soon as escrow closes. Which state would you recommend? RS, California
A. There's more to life than taxes and your question goes beyond the scope of income taxation. Let me make a few suggestions. First, visit: RV Bookstore and do some reading. Two excellent books which I have read are Fulltiming, by Ronald Jones and Choosing your RV Home Base, by Roundabout Publications. There may be other books, publications and even DVDs which look attractive.
If you look in the left column of this blog, I have a link to the Department of Revenue for all 50 states. As laws change constantly, before coming to any final decision, check for yourself.
Second, every state is on the verge of financial disaster. The states with low or no state income taxes have the highest property, sales taxes, and motor vehicle fees. One way or the other, we all pay. At least you can have fun visiting all the states, talk to the residents, try it out for a month or two and then move on if it doesn't fit your needs. Isn't it great to be an RVer!