A New York couple attempting to establish Florida residency discovered that cutting tax ties with the Empire State can be far more complicated than expected.
An upstate New York couple’s move to Florida failed to convince state tax officials, who ruled they still owe New York $60,000 after concluding Florida was not their primary residence.
John Hoff and his wife, Kathleen Ocorr-Hoff, kept drawing paychecks in New York and held on to their country club memberships—red flags the tax panel said should give pause to snowbirds dividing their time between New York and Florida.
Dreaming of retirement in Naples, Florida, the couple bought a $1 million, three-bedroom condo in the Sunshine State. The problem, the Oct. 9 decision found, was that they kept too many ties back in Canandaigua.
John Hoff and Kathleen Ocorr-Hoff moved to Florida—yet New York says they still owe the state $60,000 in taxes. Facebook/Kathleen Hoff
Hoff and Ocorr-Hoff argued that their move was legitimate, pointing to Florida vehicle registrations and bank accounts, according to the 24-page ruling by the New York State Tax Appeals Tribunal.
Hoff went as far as getting a Florida hunting and fishing license, and Ocorr-Hoff said she started a business tied to a Florida address, according to the decision.
“We disagree that any of these factors are persuasive here, as each is unsubstantiated, not established to have occurred during the period in issue or contrary to the record,” the decision said.
Hoff, founder of the booming upstate tech import/export company Global Point Technology, and his wife, a graphic designer, have been married since 2008, the records show.
In 2011, the couple purchased their upstate Poplar Beach home for $907,000 and made it their residence.
The Hoffs fell for the charm of Naples, Florida, and invested in a high-end condo with an enviable view, the recent ruling noted. Facebook/Kathleen Hoff
But Hoff and Ocorr-Hoff later “fell in love with the Naples area” and devised an “exit strategy” to move to Florida, including Hoff’s plan to hand over the business to his adult son.
In 2014, they bought a $935,000 condo on Gulf Shore Boulevard in Naples and spent an additional $200,000 on improvements, planning it as their retirement home. They even listed it as their primary residence on their 2018 and 2019 tax returns, according to the decision.
The Hoffs moved their ski gear and a prized Waterford crystal collection into the condo, registered to vote and drive in Florida, obtained hunting licenses, and opened local bank accounts as they began their transition.
Despite maintaining two New York club memberships, they joined a local country club in Florida, intending to spend winters down south and summers in their upstate town.
The Hoffs lived in upstate New York before moving to Florida—but state officials say they still owe taxes. Google Maps
John Hoff and Kathleen Ocorr-Hoff left upstate New York behind for the warmer, sunnier climate of Naples, Florida. Facebook/Kathleen Hoff
In 2018, they reported spending 186 days in New York, 131 in Florida, and 48 elsewhere, with the following year showing 164 days in New York, 153.5 in Naples, and 47.5 in other locations.
State tax authorities in New York said their ties to Florida weren’t sufficient to declare them legitimate residents.
Hoff’s plan to hand the business over to his son fell apart due to newly imposed tariffs on Chinese products that hit the company’s bottom line. Despite cutting back on his workload, he remained a key player in the business, the tax tribunal noted.
The couple’s ties to New York remained strong, as they kept earning income from their state-based businesses—including Ocorr-Hoff’s graphic design company—even after opening a Florida business.
In 2021, New York tax officials held the couple responsible for $59,648 in taxes for 2018 and 2019, plus penalties.
John Hoff and Kathleen Ocorr-Hoff moved to Florida, but New York state officials insist they still owe a hefty tax bill. Facebook/Kathleen Hoff
Refusing to accept the bill, the Hoffs took their case to an administrative judge for review.
“The administrative judge concluded that petitioners have not met their burden of proof to show that they changed their domicile for purposes of the tax law for the years at issue,” the judge ruled.
Their appeal to the tribunal failed, as it upheld the judge’s ruling in the October decision.
On Monday, the couple was unavailable for comment, and their lawyers had yet to respond to FaqInsurances’ inquiry.
