Which are the US states that pay the most and the least taxes?

( Spanish) — The 2023 tax season is underway in the United States: what you have to pay will depend on factors such as your income and marital status and also the state in which you live, since the differences within the territory are significant.

If you plan to move or go to live in another state, it can be decisive to make a decision to know how much taxes are paid in that place.

“Taxes are a very important factor that determines where we decide to live, because I don’t like to pay a lot of taxes if I don’t have adequate services. There are academic studies that show that tax changes determine where individuals live,” economist Paul Carrillo of George Washington University told .

In which US state do you pay the most (and the least) taxes?

To find out in which states more or less taxes are paid, you need to know what the state’s tax rate is. Depending on that rate and your income, you will have to pay one percentage or another.

According to latest report available from Tax Foundation —a group of tax policy experts—for the year 2022, the 10 states with the highest tax burdens are:

1. New York (15.9%)

2. Connecticut (15.4%)

3. Hawaii (14.1%)

4. Vermont (13.6%)

5. California (13.5%);

6. New Jersey (13.2%)

7.Illinois (12.9%)

8.Virginia (12.5%)

9. Delaware (12.4%)

10. Maine (12.4%)

On the other hand, the states with the lowest tax rates are:

1. Alaska (4.6%)

2.Wyoming (7.5%)

3.Tennessee (7.6%)

4. South Dakota (8.4%)

5.Michigan (8.6%)

6. Texas (8.6%)

7. North Dakota (8.8%)

8. Georgia (8.9%)

9. South Carolina (8.9%)

10. Oklahoma (9.0%)

The percentages equal the net proceeds that the state spent on state and local taxes.

The Tax Foundation report measures the burden imposed on each state’s residents based on all state and local taxes. Among them is the tax on the income of physical persons, sales (Sales Tax) and the property (property taxes).

According to the IRS, 43 states and many local municipalities require their residents to pay a tax on their personal income (or income on income). This tax depends on the amount of income and the tax rate of the state or locality where you reside.

The nine states that do not apply this income tax to their residents are Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming.

However, states with lower income taxes can even the balance with sales (goods and services) or property (real estate) taxes, among others.

How much tax does a person pay in each state?

According to data from Tax Foundation on the per capita tax burden, this is what a person pays in taxes according to the state:

– Alabama: $4,585

– Alaska: $2,943

– Arizona: $5,156

– Arkansas: $5,031

– California: $10,167

– Colorado: $6,699

– Connecticut: $12,151

– Delaware: $7,170

– District of Columbia: $11,654

– Florida: $5,406

– Georgia: $4,862

– Hawaii: $8,410

– Idaho: $5,402

– Illinois: $8,390

– Indiana: $5,030

– Iowa: $6,086

– Kansas: $6,353

– Kentucky: $4,669

– Louisiana: $4,762

– Maine: $6,906

– Maryland: $7,680

– Massachusetts: $9,405

– Michigan: $4,720

– Minnesota: $7,763

– Mississippi: $4,220

– Missouri: $4,953

– Montana: $5,795

– Nebraska: $6,720

– Nevada: $5,554

– New Hampshire: $6,593

– New Jersey: $9,648

– New Mexico: $4,835

– New York: $12,083

– North Carolina: $5,299

-North Dakota: $5,403

– Ohio: $5,530

– Oklahoma: $4,527

– Oregon: $6,572

– Pennsylvania: $6,723

– Rhode Island: $6,948

– South Carolina: $4,596

-South Dakota: $5,196

– Tennessee: $4,036

– Texas: $4,994

– Utah: $6,750

-Vermont: $7,958

– Virginia: $7,979

– Washington: $7,803

– West Virginia: $4,479

– Wisconsin: $6,231

– Wyoming: $4,691