WalletHub, the site specialized in finance, carried out an analysis on the tax burden of the US states. in this 2023, where New York recorded the highest tax burden compared to Alaska for having the lowest.
The tax burden is a way of measuring the size of the public sector or the level of public contributions in an economy or country and is defined as the part of the generated social product that the State takes through federal taxes, rights, products and uses to fulfill their functions.
This year, the government is taking 2022 earnings in the tax filing season that ends April 18. Many taxpayers wonder how this year’s Taxes will affect their finances, since many people are still struggling financially as a result of the pandemic.
To determine states that tax their residents more and less aggressivelyWalletHub compared the 50 states on the following three tax burdens and aggregated the results to get the overall tax burden for each state:
– property tax as part of personal income
– Personal income tax as part of personal income
– Total sales and use tax as a percentage of personal income
According to the analysis, the states with the highest and lowest load are:
(1) State: New York
Total tax burden: 12.47%
Property tax: 4.36%
Income tax: 4.72%
Sales Taxes and Excise Duties: 3.39%
(2) State: Hawaii
Total tax burden: 12.31%
Property tax: 2.74%
Income tax: 2.86%
Sales Taxes and Excise Duties: 6.71%
(3) State: Maine
Total tax burden: 11.14%
Property tax: 5.33%
Income tax: 2.52%
Sales Taxes and Excise Duties: 3.29%
(4) State: Vermont
Total tax burden: 10.28%
Property tax: 4.98%
Income tax: 2.07%
Sales Taxes and Excise Duties: 3.23%
(5) State: Connecticut
Total tax burden: 9.83%
Property tax: 4.24%
Income tax: 2.92%
Sales Taxes and Excise Duties: 2.67%
In counterpart:
(46) State: Florida
Total tax burden: 6.33%
Property tax: 2.75%
Income tax: 0.00%
Sales Taxes and Excise Duties: 3.58%
(47) State: Tennessee
Total tax burden: 6.22%
Property tax: 1.66%
Income tax: 0.02%
Sales Taxes and Excise Duties: 4.54%
(48) State: New Hampshire
Total tax burden: 6.14%
Property tax: 4.94%
Income tax: 0.13%
Sales Taxes and Excise Duties: 1.07%
(49) State: Delaware
Total tax burden: 6.12%
Property tax: 1.88%
Income tax: 3.15%
Sales Taxes and Excise Duties: 1.09%
(50) State: Alaska
Total tax burden: 5.06%
Property tax: 3.59%
Income tax: 0.00%
Sales Taxes and Excise Duties: 1.47%
To consult the complete table, enter here.
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