Tax Day looms. If you haven’t done your taxes yet then you better get a move on. Otherwise, you could be slapped with interest, late fees and any other charges the Internal Revenue Service (IRS) sees fit.
With Tax Day nearing, a new study took a look at various tax burdens across the United States.
WalletHub.com, a personal finance social network, published a new study Monday that listed 2016’s states with the highest and lowest tax burdens. It used income tax rates, property taxes and sales taxes as percentages of the total personal income in each state.
By using this formula, it came up with these figures:
States with the highest tax burdens:
1. New York: 13.12 percent
2. Hawaii: 11.86 percent
T-3. Maine: 11.13 percent
T-3. Vermont: 11.13 percent
5. Connecticut: 10.91 percent
6. Minnesota: 10.46 percent
7. New Jersey: 10.38 percent
8. Rhode Island: 10.36 percent
9. Wisconsin: 10.32 percent
10. Illinois: 10.19 percent
States with the lowest tax burdens:
41. Texas: 7.67 percent
42. Wyoming: 7.62 percent
43. Alabama: 7.41 percent
44. Florida: 7.22 percent
45. Oklahoma: 6.95 percent
46. South Dakota: 6.94 percent
47. New Hampshire: 6.88 percent
48. Tennessee: 6.56 percent
49. Delaware: 5.91 percent
50. Alaska: 5.18 percent
Other findings include: Republican states have the lowest total tax burden, New Jersey has the highest property tax rate as a fraction of personal income (5.41 percent) and New York and Oregon have the highest income tax rates as a fraction of personal income (4.76 percent and 4.04 percent, respectively).
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