Highest Taxed States

In addition to federal taxes, each state also collects state and local taxes. While every state collects taxes, some have a higher tax burden than others. From 2020—2022, the tax burden of the United States increased each year, and in each of those three years, the tax burden was the highest it has been since 1978. This increase in taxes reflects the economic changes that occurred during the pandemic. 

Some of these taxes include but are not limited to, excise tax, estate, property, state and local sales tax, and inheritance tax all work in tandem to create a high tax burden. They contribute to the state revenue and budgets, but they also greatly affect greatly local consumers. And although the three highest-taxed states saw a marked increase in the percentage of their respective tax burdens, many states saw only a minimal increase in their taxes from 2020—2022. In some states, the total percentage actually decreased during that same period. This recent tax increase in highly taxed states had such an impact on their residents that it pushed some of them to move to less-taxed states. 

To learn more about each of the states that have the highest taxes, check the data in the charts.

Annual Taxes by State

Alabama

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ANNUAL TAXEShelp

$6,271

#31 in the US

STATE-LOCAL TAX BURDENhelp

9.8%

#11 in the US

INCOME TAX PER STATEhelp

2%

#17 in the US

CAPITAL GAINS TAX RATEhelp

5%

#23 in the US

Alaska

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ANNUAL TAXEShelp

$4,853

#45 in the US

STATE-LOCAL TAX BURDENhelp

4.6%

#2 in the US

CAPITAL GAINS TAX RATEhelp

0%

#1 in the US

Arizona

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ANNUAL TAXEShelp

$6,268

#32 in the US

STATE-LOCAL TAX BURDENhelp

9.5%

#12 in the US

INCOME TAX PER STATEhelp

2.59%

#18 in the US

CAPITAL GAINS TAX RATEhelp

4.5%

#13 in the US

Arkansas

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ANNUAL TAXEShelp

$6,419

#28 in the US

STATE-LOCAL TAX BURDENhelp

10.2%

#25 in the US

INCOME TAX PER STATEhelp

2%

#19 in the US

CAPITAL GAINS TAX RATEhelp

5.5%

#24 in the US

California

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ANNUAL TAXEShelp

$9,054

#5 in the US

STATE-LOCAL TAX BURDENhelp

13.5%

#47 in the US

INCOME TAX PER STATEhelp

1%

#7 in the US

CAPITAL GAINS TAX RATEhelp

13.3%

#52 in the US

Colorado

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ANNUAL TAXEShelp

$7,372

#14 in the US

STATE-LOCAL TAX BURDENhelp

9.7%

#13 in the US

INCOME TAX PER STATEhelp

4.55%

#31 in the US

CAPITAL GAINS TAX RATEhelp

4.55%

#14 in the US

Connecticut

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ANNUAL TAXEShelp

$7,490

#13 in the US

STATE-LOCAL TAX BURDENhelp

15.4%

#51 in the US

INCOME TAX PER STATEhelp

3%

#23 in the US

CAPITAL GAINS TAX RATEhelp

6.99%

#36 in the US

Delaware

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ANNUAL TAXEShelp

$7,195

#16 in the US

STATE-LOCAL TAX BURDENhelp

12.4%

#40 in the US

INCOME TAX PER STATEhelp

0%

#1 in the US

CAPITAL GAINS TAX RATEhelp

6.6%

#37 in the US

District of Columbia

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ANNUAL TAXEShelp

$9,839

#2 in the US

STATE-LOCAL TAX BURDENhelp

12%

#41 in the US

INCOME TAX PER STATEhelp

4%

#32 in the US

CAPITAL GAINS TAX RATEhelp

5.75%

#25 in the US

Florida

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ANNUAL TAXEShelp

$5,002

#44 in the US

STATE-LOCAL TAX BURDENhelp

9.1%

#14 in the US

CAPITAL GAINS TAX RATEhelp

0%

#2 in the US

Georgia

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ANNUAL TAXEShelp

$7,227

#15 in the US

STATE-LOCAL TAX BURDENhelp

8.9%

#5 in the US

INCOME TAX PER STATEhelp

1%

#8 in the US

CAPITAL GAINS TAX RATEhelp

5.75%

#26 in the US

Hawaii

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ANNUAL TAXEShelp

$9,996

#1 in the US

STATE-LOCAL TAX BURDENhelp

14.1%

#50 in the US

INCOME TAX PER STATEhelp

1.4%

#9 in the US

CAPITAL GAINS TAX RATEhelp

7.25%

#41 in the US

Idaho

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ANNUAL TAXEShelp

$6,872

#20 in the US

STATE-LOCAL TAX BURDENhelp

10.7%

#26 in the US

INCOME TAX PER STATEhelp

1.13%

#10 in the US

CAPITAL GAINS TAX RATEhelp

6.93%

#38 in the US

Illinois

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ANNUAL TAXEShelp

$7,141

#18 in the US

STATE-LOCAL TAX BURDENhelp

12.9%

#42 in the US

INCOME TAX PER STATEhelp

4.95%

#33 in the US

CAPITAL GAINS TAX RATEhelp

4.95%

#15 in the US

Indiana

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ANNUAL TAXEShelp

$5,643

#40 in the US

STATE-LOCAL TAX BURDENhelp

9.3%

#15 in the US

INCOME TAX PER STATEhelp

3.23%

#24 in the US

CAPITAL GAINS TAX RATEhelp

3.23%

#11 in the US

Iowa

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ANNUAL TAXEShelp

$6,799

#22 in the US

STATE-LOCAL TAX BURDENhelp

11.2%

#34 in the US

INCOME TAX PER STATEhelp

0.33%

#2 in the US

CAPITAL GAINS TAX RATEhelp

8.53%

#46 in the US

Kansas

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ANNUAL TAXEShelp

$6,695

#23 in the US

STATE-LOCAL TAX BURDENhelp

11.2%

#35 in the US

INCOME TAX PER STATEhelp

3.1%

#25 in the US

CAPITAL GAINS TAX RATEhelp

5.7%

#27 in the US

Kentucky

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ANNUAL TAXEShelp

$6,092

#36 in the US

STATE-LOCAL TAX BURDENhelp

9.6%

#16 in the US

INCOME TAX PER STATEhelp

5%

#39 in the US

CAPITAL GAINS TAX RATEhelp

5%

#28 in the US

Louisiana

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ANNUAL TAXEShelp

$6,029

#37 in the US

STATE-LOCAL TAX BURDENhelp

9.1%

#17 in the US

INCOME TAX PER STATEhelp

1.85%

#11 in the US

CAPITAL GAINS TAX RATEhelp

4.25%

#16 in the US

Maine

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ANNUAL TAXEShelp

$7,697

#9 in the US

STATE-LOCAL TAX BURDENhelp

12.4%

#43 in the US

INCOME TAX PER STATEhelp

5.8%

#40 in the US

CAPITAL GAINS TAX RATEhelp

7.15%

#42 in the US

Maryland

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ANNUAL TAXEShelp

$7,677

#10 in the US

STATE-LOCAL TAX BURDENhelp

11.3%

#36 in the US

INCOME TAX PER STATEhelp

2%

#20 in the US

CAPITAL GAINS TAX RATEhelp

5.75%

#29 in the US

Massachusetts

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ANNUAL TAXEShelp

$8,626

#6 in the US

STATE-LOCAL TAX BURDENhelp

11.5%

#37 in the US

INCOME TAX PER STATEhelp

5%

#41 in the US

CAPITAL GAINS TAX RATEhelp

5%

#30 in the US

Michigan

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ANNUAL TAXEShelp

$6,193

#34 in the US

STATE-LOCAL TAX BURDENhelp

8.6%

#6 in the US

INCOME TAX PER STATEhelp

4.25%

#34 in the US

CAPITAL GAINS TAX RATEhelp

4.25%

#17 in the US

Minnesota

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ANNUAL TAXEShelp

$7,656

#11 in the US

STATE-LOCAL TAX BURDENhelp

12.1%

#44 in the US

INCOME TAX PER STATEhelp

5.35%

#42 in the US

CAPITAL GAINS TAX RATEhelp

9.85%

#49 in the US

Mississippi

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ANNUAL TAXEShelp

$6,172

#35 in the US

STATE-LOCAL TAX BURDENhelp

9.8%

#18 in the US

INCOME TAX PER STATEhelp

0%

#3 in the US

CAPITAL GAINS TAX RATEhelp

5%

#31 in the US

Missouri

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ANNUAL TAXEShelp

$6,558

#26 in the US

STATE-LOCAL TAX BURDENhelp

9.3%

#19 in the US

INCOME TAX PER STATEhelp

1.5%

#12 in the US

CAPITAL GAINS TAX RATEhelp

5.4%

#32 in the US

Montana

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ANNUAL TAXEShelp

$7,078

#19 in the US

STATE-LOCAL TAX BURDENhelp

10.5%

#27 in the US

INCOME TAX PER STATEhelp

1%

#13 in the US

CAPITAL GAINS TAX RATEhelp

4.9%

#18 in the US

Nebraska

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ANNUAL TAXEShelp

$7,177

#17 in the US

STATE-LOCAL TAX BURDENhelp

11.5%

#38 in the US

INCOME TAX PER STATEhelp

2.46%

#21 in the US

CAPITAL GAINS TAX RATEhelp

6.84%

#39 in the US

Nevada

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ANNUAL TAXEShelp

$4,713

#48 in the US

STATE-LOCAL TAX BURDENhelp

9.6%

#20 in the US

CAPITAL GAINS TAX RATEhelp

0%

#3 in the US

New Hampshire

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ANNUAL TAXEShelp

$5,025

#43 in the US

STATE-LOCAL TAX BURDENhelp

9.6%

#21 in the US

CAPITAL GAINS TAX RATEhelp

0%

#4 in the US

New Jersey

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ANNUAL TAXEShelp

$8,330

#7 in the US

STATE-LOCAL TAX BURDENhelp

13.2%

#48 in the US

INCOME TAX PER STATEhelp

1.4%

#14 in the US

CAPITAL GAINS TAX RATEhelp

10.75%

#51 in the US

New Mexico

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ANNUAL TAXEShelp

$6,370

#30 in the US

STATE-LOCAL TAX BURDENhelp

10.2%

#28 in the US

INCOME TAX PER STATEhelp

1.7%

#15 in the US

CAPITAL GAINS TAX RATEhelp

5.9%

#33 in the US

New York

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ANNUAL TAXEShelp

$9,111

#4 in the US

STATE-LOCAL TAX BURDENhelp

15.9%

#52 in the US

INCOME TAX PER STATEhelp

4%

#35 in the US

CAPITAL GAINS TAX RATEhelp

8.82%

#47 in the US

North Carolina

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ANNUAL TAXEShelp

$6,846

#21 in the US

STATE-LOCAL TAX BURDENhelp

9.9%

#22 in the US

INCOME TAX PER STATEhelp

4.99%

#36 in the US

CAPITAL GAINS TAX RATEhelp

4.99%

#19 in the US

North Dakota

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ANNUAL TAXEShelp

$4,812

#46 in the US

STATE-LOCAL TAX BURDENhelp

8.8%

#7 in the US

INCOME TAX PER STATEhelp

1.1%

#16 in the US

CAPITAL GAINS TAX RATEhelp

2.9%

#10 in the US

Ohio

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ANNUAL TAXEShelp

$5,426

#41 in the US

STATE-LOCAL TAX BURDENhelp

10%

#29 in the US

INCOME TAX PER STATEhelp

0%

#4 in the US

CAPITAL GAINS TAX RATEhelp

4.8%

#20 in the US

Oklahoma

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ANNUAL TAXEShelp

$6,206

#33 in the US

STATE-LOCAL TAX BURDENhelp

9%

#23 in the US

INCOME TAX PER STATEhelp

0.25%

#5 in the US

CAPITAL GAINS TAX RATEhelp

4.75%

#21 in the US

Oregon

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ANNUAL TAXEShelp

$9,213

#3 in the US

STATE-LOCAL TAX BURDENhelp

10.8%

#30 in the US

INCOME TAX PER STATEhelp

4.75%

#37 in the US

CAPITAL GAINS TAX RATEhelp

9.9%

#50 in the US

Pennsylvania

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ANNUAL TAXEShelp

$5,903

#39 in the US

STATE-LOCAL TAX BURDENhelp

10.6%

#31 in the US

INCOME TAX PER STATEhelp

3.07%

#26 in the US

CAPITAL GAINS TAX RATEhelp

3.07%

#12 in the US

Rhode Island

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ANNUAL TAXEShelp

$6,552

#27 in the US

STATE-LOCAL TAX BURDENhelp

11.4%

#39 in the US

INCOME TAX PER STATEhelp

3.75%

#27 in the US

CAPITAL GAINS TAX RATEhelp

5.99%

#34 in the US

South Carolina

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ANNUAL TAXEShelp

$7,613

#12 in the US

STATE-LOCAL TAX BURDENhelp

8.9%

#8 in the US

INCOME TAX PER STATEhelp

0%

#6 in the US

CAPITAL GAINS TAX RATEhelp

7%

#43 in the US

South Dakota

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ANNUAL TAXEShelp

$4,310

#51 in the US

STATE-LOCAL TAX BURDENhelp

8.4%

#9 in the US

CAPITAL GAINS TAX RATEhelp

0%

#5 in the US

Tennessee

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ANNUAL TAXEShelp

$4,483

#49 in the US

STATE-LOCAL TAX BURDENhelp

7.6%

#3 in the US

CAPITAL GAINS TAX RATEhelp

0%

#6 in the US

Texas

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ANNUAL TAXEShelp

$4,761

#47 in the US

STATE-LOCAL TAX BURDENhelp

8.6%

#10 in the US

CAPITAL GAINS TAX RATEhelp

0%

#7 in the US

Utah

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ANNUAL TAXEShelp

$6,674

#24 in the US

STATE-LOCAL TAX BURDENhelp

12.1%

#45 in the US

INCOME TAX PER STATEhelp

4.95%

#38 in the US

CAPITAL GAINS TAX RATEhelp

4.95%

#22 in the US

Vermont

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ANNUAL TAXEShelp

$6,409

#29 in the US

STATE-LOCAL TAX BURDENhelp

13.6%

#49 in the US

INCOME TAX PER STATEhelp

3.35%

#28 in the US

CAPITAL GAINS TAX RATEhelp

8.75%

#48 in the US

Virginia

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ANNUAL TAXEShelp

$7,951

#8 in the US

STATE-LOCAL TAX BURDENhelp

12.5%

#46 in the US

INCOME TAX PER STATEhelp

2%

#22 in the US

CAPITAL GAINS TAX RATEhelp

5.75%

#35 in the US

Washington

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ANNUAL TAXEShelp

$5,381

#42 in the US

STATE-LOCAL TAX BURDENhelp

10.7%

#32 in the US

CAPITAL GAINS TAX RATEhelp

7%

#44 in the US

West Virginia

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ANNUAL TAXEShelp

$5,931

#38 in the US

STATE-LOCAL TAX BURDENhelp

9.8%

#24 in the US

INCOME TAX PER STATEhelp

3%

#29 in the US

CAPITAL GAINS TAX RATEhelp

6.5%

#40 in the US

Wisconsin

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ANNUAL TAXEShelp

$6,568

#25 in the US

STATE-LOCAL TAX BURDENhelp

10.9%

#33 in the US

INCOME TAX PER STATEhelp

3.54%

#30 in the US

CAPITAL GAINS TAX RATEhelp

7.65%

#45 in the US

Wyoming

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ANNUAL TAXEShelp

$4,425

#50 in the US

STATE-LOCAL TAX BURDENhelp

7.5%

#4 in the US

CAPITAL GAINS TAX RATEhelp

0%

#8 in the US