With tax season in full swing and the final day to file taxes being right around the corner, many Americans are left wondering how their tax circumstances compare to other Americans across the country. Below is a list of the top ten best and worst states to live in when it comes to combined tax burdens of income tax and sales tax.
Best States for Taxes
(Tie below for #1)
- North Dakota
Highest Income Tax: 2.9%
State Sales Tax: 5% - Tennessee
No Income Tax
State Sales Tax: 7% - Washington
No Income Tax
State Sales Tax: 6.5% - Texas
No Income Tax
State Sales Tax: 6.25% - Florida
No Income Tax
State Sales Tax: 6% - Nevada
No Income Tax
State Sales Tax: 4.6% - South Dakota
No Income Tax
State Sales Tax: 4.5% - Wyoming
No Income Tax
State Sales Tax: 4% - (Tie) Alaska & New Hampshire
No Income Tax
No Sales Tax
Worst States for Taxes
- Oregon
Highest Income Tax: 9.9%
No State Sales Tax - Maine
Highest Income Tax: 7.15%
State Sales Tax: 5.5% - New York
Highest Income Tax: 8.82%
State Sales Tax: 4% - Vermont
Highest Income Tax: 8.75%
Sales Tax: 6% - Washington D.C.
Highest Income Tax: 8.95%
State Sales Tax: 6% - Iowa
Highest Income Tax: 8.98%
State Sales Tax: 6% - New Jersey
Highest Income Tax: 8.97%
State Sales Tax: 6.625% - Hawaii
Highest Income Tax: 11%
State Sales Tax: 4% - Minnesota
Highest Income Tax: 9.85%
State Sales Tax: 6.875% - California
Highest Income Tax: 13.3%
State Sales Tax: 7.25%
Though there are many factors that go into taxes, this list was compiled using only the highest state income tax bracket and sales tax.
Did your state make the list?
Sources:
- taxfoundation.org
- avalara.com/taxrates/en/
- Research: Cody Philips