Tax Burden Overview - At least 10 states have a tax burden exceeding $8,000 per person, collecting at least 13% more than the national average [4] - The national average for per-capita state and local tax collections is $7,109, with most states clustering around this figure [5] - The disparity between high-tax and low-tax states has widened, with some residents paying two to three times more in taxes compared to others [6] State-Specific Tax Burdens - Minnesota has a tax burden of $8,050, primarily due to aggressive income taxation with rates from 5.35% to 9.85% [7] - Illinois ranks high with a per capita tax burden of $8,148, driven by high property taxes despite exempting retirement income from taxation [8] - Vermont's tax burden is $8,158, influenced by the highest property taxes as a percentage of income and income tax rates reaching 8.75% [9] - North Dakota's $8,961 per capita tax burden is misleading as it largely comes from severance taxes on natural resources, while residents enjoy no income tax [10] - Massachusetts has a tax burden of $9,341, with a recent 4% surtax on income over $1 million and high property taxes [13] - New Jersey's tax burden is $9,366, heavily impacted by high property taxes and income tax rates up to 10.75% [14] - Hawaii's per capita tax burden is $9,503, with a high general excise tax and income tax reaching 11% [15] - Connecticut has a tax burden of $9,718, with high property taxes and a unique gift tax [16] - California's tax burden is $10,319, with a top income tax rate of 13.3% and a 1% surtax on income over $1 million [17] - New York has the highest tax burden at $12,685 per capita, with income taxes reaching 10.9% and high property taxes [20]
Top 10 States Charging The Most in Taxes In 2026 – See Where Yours Ranks
Yahoo Finance·2026-02-02 18:39