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Elon Musk is reportedly planning a move to Texas after his tirade about California's coronavirus response (TSLA)

Elon Musk with Texas Governor Greg AbbottGov. Abbott via Facebook

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The US' most well-paid CEO is mulling a move that could save him plenty of money on taxes.

According to CNBC's Lora Kolodny, Elon Musk spoke with associates and mentioned that he's planning to move from California to Texas, a state important to both Tesla and SpaceX.

A move would make good, at least partially, on the billionaire's threat to move his automaker from California in May amid a spat with local regulators about their response to cull the spreading coronavirus. Tesla's factory in Fremont was required to cease operations for a short period of time.

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Frankly, this is the final straw. Tesla will now move its HQ and future programs to Texas/Nevada immediately. If we even retain Fremont manufacturing activity at all, it will be dependent on how Tesla is treated in the future. Tesla is the last carmaker left in CA.

 

Even before the tweet, Musk had called California's rules fascist, urging the state on an earnings call to "give people back their goddamn freedom."

The next month, Tesla announced Texas as the location of its second American car factory, near Austin, thanks in part to lucrative tax breaks and incentives offered by the county and local school districts.

For Musk personally, Texas' lack of a state income tax is a clear incentive compared to California, which boasts the highest one in the country. Musk's 2020 income is set to be just as large as his 2019 pay — the most of any CEO, at just under $600 million — thanks to a series of stock option awards unlocked by various corporate performance metrics. In total, they could reach more than $55 billion.

Conveniently, Musk has listed many of his California homes for sale recently.

Read more: Elon Musk wants to build a private 'SpaceX Village' with 100 rooms, lounge parties, volleyball tournaments, and rock climbing amid a South Texas retiree community

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