Americans moved again, and the money moved with them. New IRS migration data show that Texas and Florida led the nation in inbound movement from 2022 to 2023, while California, New York and several other coastal states posted some of the biggest outflows.

Texas gained more than 56,000 residents over that period, while Florida picked up 55,000 income tax filers and roughly $20.6 billion in taxable income. Texas added another $5.5 billion in taxable income, underscoring how sharply the population and wealth map is tilting toward the South and Sun Belt.

South Carolina also stood out. Adjusted for population, it posted the nation’s largest gain from domestic migration at 1.12%, and it drew more than 29,000 incoming households carrying roughly $4.1 billion in taxable income. North Carolina, Tennessee, Arizona and South Carolina all ranked among the top destinations for interstate movers, keeping the broader pattern centered on red states and blue states with very different tax and cost structures.

The losses were just as striking on the other side of the ledger. California recorded the nation’s largest outbound losses between 2022 and 2023, shedding more than 100,000 income tax filers and nearly $12 billion in taxable income. New York lost roughly 72,000 households and nearly $10 billion in taxable income, while Illinois gave up about $6 billion and New Jersey about $2.6 billion.

Nicole said states experiencing net in-migration tend to have more competitive tax structures and lower overall costs of living, a combination that has become harder to ignore as households weigh where to live and work. Megan Mauro said low taxes and light regulation are key drivers of business migration to Texas, where the gains continue to reinforce one another as people and employers move in the same direction.

The migration data matter now because they are not just a snapshot of who changed addresses. The shifts are reshaping housing markets, state economies and congressional representation, and they are helping define the balance of power ahead of the 2026 midterms. The broader pattern is a steady transfer of population and wealth away from several coastal blue-state strongholds and toward states that have built their pitch around affordability, lower taxes and lighter regulation.