In the U.S. federalist system, each state government decides how to generate revenue — that is, which taxes to collect, and how. No state tax code is identical and, largely as a result, what the average American pays annually in taxes varies from state to state.
24/7 Wall Street reviewed the tax burden of residents in each state…
According to the report, tax burdens in the 2012 tax season were as low as 6.5% in Alaska and as high as 12.7% in New York.
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High-tax-burden states collect more taxes and at higher rates, while lower-burden states collect less taxes and at lower rates.
For example, in the 10 highest-burden states, individual income tax collections per capita in fiscal 2015 exceeded the national average of $967. By contrast, five of the 10 states with the lowest tax burden collect no income tax. Similarly, property taxes tend to exceed the national average in high-burden states, while they tend to be lower in states at the other end of the tax-burden spectrum.
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