ranking the states by tax burden.
by 卡塔尔世界杯常规比赛时间 research
you hear the word “tax” right now and the first thought is “income” – ah, but there are so many more varieties.
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while the average u.s. household pays more than $5,700 in federal income taxes, there is significant disparity when it comes to state and local taxes.
according to recent analysis by wallethub, residents of the most tax-expensive states pay three times more than those in the cheapest states.
so where are the highs and lows?
alaska and illinois have the extremes of the range staked out. you can see the full list at the end of this post.
the analysis compared state and local tax rates in the 50 states and the district of columbia against national medians.
elizabeth plummer, professor of accounting in the neeley school of business at texas christian university, said people consider taxes when deciding where to live – and they should.
“taxes are a cost of living in a particular locale, so like all costs, it is appropriate and prudent to consider them,” she said. “i do not believe many persons would move somewhere without considering the cost of housing or commuting. why would we think taxes should be any different?”
she pointed out that in addition to income tax there are property tax, sales tax, excise taxes – such as on gas, alcohol, tobacco and cell phones – plus tax on business entities for individual business owners, and that each of these can be levied by the state, local municipality or both.
these can be considerable, as illustrated here in comparisons of taxes on food, gasoline, and cigarettes:
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elizabeth jane beckett-camarata, senior lecturer in public administration at pennsylvania state university, said the decision depends to an extent on an individual’s age, income and marital status.
“for example, there are different state tax rules on pension income. some states do not tax pension income, and others do,” she explained. “north carolina exempts all social security retirement benefits from income taxes. other forms of retirement income are taxed at the north carolina flat income tax of 5.75 percent.”
beckett-camarata suggested that people considering a move access the comprehensive annual financial report for their state and/or local government to check the types of taxes collected. these can be daunting, but some cities and states provide a pafr, or “popular” version that offers more citizen-friendly explanations.
in the data below, the “median u.s. household”
- has an annual income of $54,286 (mean third quintile u.s. income),
- owns a home valued at $178,600 (median u.s. home value),
- owns a car valued at $23,070 (the highest-selling car of 2016) and
- spends annually an amount equal to the spending of a household earning the median u.s. income.
the national average of state and local tax rates was 10.72 percent.
tax rates by state
