Current:Home > InvestThese are the states with the highest and lowest tax burdens, a report says -Capitatum
These are the states with the highest and lowest tax burdens, a report says
Surpassing Quant Think Tank Center View
Date:2025-04-05 21:35:42
This year's federal tax filing deadline of April 18 is quickly approaching, and Americans generally pay some mixture of federal, local, and in most cases, state taxes. But the tax burden of some states significantly outpaces others, data shows.
WalletHub, a personal finance website, released a report this week analyzing total tax burden by state. Tax burden is defined as the proportion of a person's income that goes toward taxes.
It measured a combination of the proportion of property tax, income tax and sales tax that people paid. These were the states with the highest and lowest tax burdens.
Highest tax burdens
- New York - 12.47%
- Hawaii - 12.31%
- Maine - 11.14%
- Vermont - 10.28%
- Connecticut - 9.83%
- New Jersey - 9.76%
- Maryland - 9.44%
- Minnesota - 9.41%
- Illinois - 9.38%
- Iowa - 9.15%
Lowest tax burdens
- Alaska - 5.06%
- Delaware - 6.12%
- New Hampshire - 6.14%
- Tennessee - 6.22%
- Florida - 6.33%
- Wyoming - 6.42%
- South Dakota - 6.69%
- Montana - 6.93%
- Missouri - 7.11%
- Oklahoma - 7.12%
When broken down by category, the states with the highest burden for property tax were Maine (5.33%), Vermont (4.98%) and New Hampshire (4.94%), while the lowest were Alabama (1.39%), Tennessee (1.66%) and Arkansas (1.68%).
The states with the highest burden for income tax are New York (4.72%), Maryland (4.21%) and Oregon (3.62%). There are nine states with no income tax – Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington and Wyoming, One of those states, however — New Hampshire — does tax dividends and interest.
The states with the highest sales tax burden are Hawaii (6.71%), Washington, (5.66%) and New Mexico (5.62%), while the states with the lowest sales tax burden are New Hampshire (1.07%), Delaware (1.09%) and Oregon (1.11%).
veryGood! (82931)
Related
- Grammy nominee Teddy Swims on love, growth and embracing change
- Mayoral candidate, young girl among 6 people shot dead at campaign rally in Mexico
- Deadline for $35 million settlement over Apple iPhone 7 issues approaching: How to join
- Jerry Seinfeld's comedy show interrupted by pro-Palestinian protesters after Duke walkouts
- Woman dies after Singapore family of 3 gets into accident in Taiwan
- Apple Music 100 Best Albums list sees Drake, Outkast, U2 in top half with entries 50-41
- Beyoncé, Radiohead and Carole King highlight Apple Music 100 Best Album entries 40-31
- Los Angeles police officer injured when she’s ejected from patrol vehicle after it’s stolen
- IRS recovers $4.7 billion in back taxes and braces for cuts with Trump and GOP in power
- Murders of 2 girls and 2 young women in Canada in the 1970s linked to American serial rapist
Ranking
- Trump suggestion that Egypt, Jordan absorb Palestinians from Gaza draws rejections, confusion
- Rudy Giuliani served indictment in Arizona fake elector case
- 3 dead, including 6-year-old boy, after Amtrak train hits pickup truck in New York
- After the only hospital in town closed, a North Carolina city directs its ire at politicians
- Military service academies see drop in reported sexual assaults after alarming surge
- Dabney Coleman, 9 to 5 and Tootsie actor, dies at 92
- Gabby Douglas out of US Classic after one event. What happened and where she stands for nationals
- Tyson Fury says split decision in favor of Oleksandr Usyk motivated by sympathy for Ukraine
Recommendation
Arkansas State Police probe death of woman found after officer
Your Ultimate Guide on Which Crystals Are Best for Love, Finance, Career and Health
Los Angeles police officer injured when she’s ejected from patrol vehicle after it’s stolen
Get a free Krispy Kreme doughnut if you dress up like Dolly Parton on Saturday
Warm inflation data keep S&P 500, Dow, Nasdaq under wraps before Fed meeting next week
Sour Patch Kids Oreos? Peeps Pepsi? What’s behind the weird flavors popping up on store shelves
Bernie Sanders to deliver University of New England graduation speech: How to watch
Dive team finds bodies of 2 men dead inside plane found upside down in Alaska lake