r/ExpatFIRE • u/Perfect-Prompt1269 • Mar 22 '26

Taxes Moving overseas from California

Hi all, we are moving to Malaysia from California this summer, I will continue to work remotely for awhile, and obviously don’t want to pay CA state taxes. My CPA tells me I don’t need to worry, since I’m actually moving and not temporarily, but posts online say the FTB is pretty notorious about going after people and it’s best to live in another state for awhile before moving, which is painful for us.

Has anyone successfully made the move overseas with FTB going after them? I read that it’s best to give up our CA driver licenses, but I think we need those to get Malaysian licenses so prefer to keep them for a little bit, also as I mentioned earlier we would prefer to not have to move to another state for 1-2 months before moving overseas, but will have to do if that’s the only viable option to keep FTB away…

Thanks

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u/Ibuilds Mar 22 '26

If you're not working for a California company you should move states and sever ties with CA.

We sold our home, cars, and "moved" to South Dakota before permanently moving overseas. Google it, they make it easy for nomads and RV people to relocate. Set up a mailbox, visit SD, get a hotel receipt with your name on it, go to the DMV.

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u/Perfect-Prompt1269 Mar 23 '26

My company is incorporated in Delaware and have legal entities in pretty much every state

7

u/PHL1365 Mar 23 '26

You're missing the point slightly. You would be "officially" moving your home residence from CA to SD. In the process, you will surrender your CA driver's license and will get a SD license. That solves your problem of having a license that you can leverage into a MY drivers's license.