Introduction
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.
| # | State | Annual Taxes | State-Local Tax Burden | Income Tax Rate | Capital Gains Tax Rate |
|---|---|---|---|---|---|
| 1 | Hawaii | $9,996 | 14.1% | 1.4% | 7.25% |
| 2 | District of Columbia | $9,839 | 12% | 4% | 5.75% |
| 3 | Oregon | $9,213 | 10.8% | 4.75% | 9.9% |
| 4 | New York | $9,111 | 15.9% | 4% | 8.82% |
| 5 | California | $9,054 | 13.5% | 1% | 13.3% |
| 6 | Massachusetts | $8,626 | 11.5% | 5% | 5% |
| 7 | New Jersey | $8,330 | 13.2% | 1.4% | 10.75% |
| 8 | Virginia | $7,951 | 12.5% | 2% | 5.75% |
| 9 | Maine | $7,697 | 12.4% | 5.8% | 7.15% |
| 10 | Maryland | $7,677 | 11.3% | 2% | 5.75% |
| 11 | Minnesota | $7,656 | 12.1% | 5.35% | 9.85% |
| 12 | South Carolina | $7,613 | 8.9% | 0% | 7% |
| 13 | Connecticut | $7,490 | 15.4% | 3% | 6.99% |
| 14 | Colorado | $7,372 | 9.7% | 4.55% | 4.55% |
| 15 | Georgia | $7,227 | 8.9% | 1% | 5.75% |
| 16 | Delaware | $7,195 | 12.4% | 2.2% | 6.6% |
| 17 | Nebraska | $7,177 | 11.5% | 2.46% | 6.84% |
| 18 | Illinois | $7,141 | 12.9% | 4.95% | 4.95% |
| 19 | Montana | $7,078 | 10.5% | 1% | 4.9% |
| 20 | Idaho | $6,872 | 10.7% | 1% | 6.93% |
| 21 | North Carolina | $6,846 | 9.9% | 4.99% | 4.99% |
| 22 | Iowa | $6,799 | 11.2% | 0.33% | 8.53% |
| 23 | Kansas | $6,695 | 11.2% | 3.1% | 5.7% |
| 24 | Utah | $6,674 | 12.1% | 4.95% | 4.95% |
| 25 | Wisconsin | $6,568 | 10.9% | 3.54% | 7.65% |
| 26 | Missouri | $6,558 | 9.3% | 1.5% | 5.4% |
| 27 | Rhode Island | $6,552 | 11.4% | 3.75% | 5.99% |
| 28 | Arkansas | $6,419 | 10.2% | 2% | 5.5% |
| 29 | Vermont | $6,409 | 13.6% | 3.35% | 8.75% |
| 30 | New Mexico | $6,370 | 10.2% | 1.7% | 5.9% |
| 31 | Alabama | $6,271 | 9.8% | 2% | 5% |
| 32 | Arizona | $6,268 | 9.5% | 2.59% | 4.5% |
| 33 | Oklahoma | $6,206 | 9% | 0.25% | 4.75% |
| 34 | Michigan | $6,193 | 8.6% | 4.25% | 4.25% |
| 35 | Mississippi | $6,172 | 9.8% | 4% | 5% |
| 36 | Kentucky | $6,092 | 9.6% | 5% | 5% |
| 37 | Louisiana | $6,029 | 9.1% | 1.85% | 4.25% |
| 38 | West Virginia | $5,931 | 9.8% | 3% | 6.5% |
| 39 | Pennsylvania | $5,903 | 10.6% | 3.07% | 3.07% |
| 40 | Indiana | $5,643 | 9.3% | 3.23% | 3.23% |
| 41 | Ohio | $5,426 | 10% | 2.77% | 4.8% |
| 42 | Washington | $5,381 | 10.7% | 7% | 7% |
| 43 | New Hampshire | $5,025 | 9.6% | 5% | 0% |
| 44 | Florida | $5,002 | 9.1% | 0% | 0% |
| 45 | Alaska | $4,853 | 4.6% | 0% | 0% |
| 46 | North Dakota | $4,812 | 8.8% | 1.1% | 2.9% |
| 47 | Texas | $4,761 | 8.6% | 0% | 0% |
| 48 | Nevada | $4,713 | 9.6% | 0% | 0% |
| 49 | Tennessee | $4,483 | 7.6% | 0% | 0% |
| 50 | Wyoming | $4,425 | 7.5% | 0% | 0% |
| 51 | South Dakota | $4,310 | 8.4% | 0% | 0% |
Annual Taxes by State
Alabama
Annual Taxes
$6,271
Ranked in the US
#31
Ranked in the US
#20
Ranked in the US
#21
Ranked in the US
#22
Alaska
Annual Taxes
$4,853
Ranked in the US
#45
Ranked in the US
#1
Ranked in the US
#1
Ranked in the US
#1
Arizona
Annual Taxes
$6,268
Ranked in the US
#32
Ranked in the US
#15
2.59%
Ranked in the US
#27
Ranked in the US
#14
Arkansas
Annual Taxes
$6,419
Ranked in the US
#28
Ranked in the US
#25
Ranked in the US
#22
Ranked in the US
#27
California
Annual Taxes
$9,054
Ranked in the US
#5
Ranked in the US
#47
Ranked in the US
#11
Ranked in the US
#51
Colorado
Annual Taxes
$7,372
Ranked in the US
#14
Ranked in the US
#19
4.55%
Ranked in the US
#41
Ranked in the US
#15
Connecticut
Annual Taxes
$7,490
Ranked in the US
#13
Ranked in the US
#50
Ranked in the US
#29
Ranked in the US
#39
Delaware
Annual Taxes
$7,195
Ranked in the US
#16
Ranked in the US
#42
2.2%
Ranked in the US
#25
Ranked in the US
#36
District of Columbia
Annual Taxes
$9,839
Ranked in the US
#2
Ranked in the US
#39
Ranked in the US
#37
Ranked in the US
#29
Florida
Annual Taxes
$5,002
Ranked in the US
#44
Ranked in the US
#11
Ranked in the US
#2
Ranked in the US
#2
Georgia
Annual Taxes
$7,227
Ranked in the US
#15
Ranked in the US
#8
Ranked in the US
#12
Ranked in the US
#30
Hawaii
Annual Taxes
$9,996
Ranked in the US
#1
Ranked in the US
#49
1.4%
Ranked in the US
#16
Ranked in the US
#43
Idaho
Annual Taxes
$6,872
Ranked in the US
#20
Ranked in the US
#29
Ranked in the US
#13
Ranked in the US
#38
Illinois
Annual Taxes
$7,141
Ranked in the US
#18
Ranked in the US
#45
4.95%
Ranked in the US
#43
Ranked in the US
#19
Indiana
Annual Taxes
$5,643
Ranked in the US
#40
Ranked in the US
#13
3.23%
Ranked in the US
#33
Ranked in the US
#11
Iowa
Annual Taxes
$6,799
Ranked in the US
#22
Ranked in the US
#33
0.33%
Ranked in the US
#10
Ranked in the US
#45
Kansas
Annual Taxes
$6,695
Ranked in the US
#23
Ranked in the US
#34
3.1%
Ranked in the US
#32
Ranked in the US
#28
Kentucky
Annual Taxes
$6,092
Ranked in the US
#36
Ranked in the US
#16
Ranked in the US
#46
Ranked in the US
#23
Louisiana
Annual Taxes
$6,029
Ranked in the US
#37
Ranked in the US
#12
1.85%
Ranked in the US
#20
Ranked in the US
#12
Maine
Annual Taxes
$7,697
Ranked in the US
#9
Ranked in the US
#43
5.8%
Ranked in the US
#50
Ranked in the US
#42
Maryland
Annual Taxes
$7,677
Ranked in the US
#10
Ranked in the US
#35
Ranked in the US
#23
Ranked in the US
#31
Massachusetts
Annual Taxes
$8,626
Ranked in the US
#6
Ranked in the US
#37
Ranked in the US
#47
Ranked in the US
#24
Michigan
Annual Taxes
$6,193
Ranked in the US
#34
Ranked in the US
#5
4.25%
Ranked in the US
#40
Ranked in the US
#13
Minnesota
Annual Taxes
$7,656
Ranked in the US
#11
Ranked in the US
#40
5.35%
Ranked in the US
#49
Ranked in the US
#48
Mississippi
Annual Taxes
$6,172
Ranked in the US
#35
Ranked in the US
#21
Ranked in the US
#38
Ranked in the US
#25
Missouri
Annual Taxes
$6,558
Ranked in the US
#26
Ranked in the US
#14
1.5%
Ranked in the US
#18
Ranked in the US
#26
Montana
Annual Taxes
$7,078
Ranked in the US
#19
Ranked in the US
#27
Ranked in the US
#14
Ranked in the US
#18
Nebraska
Annual Taxes
$7,177
Ranked in the US
#17
Ranked in the US
#38
2.46%
Ranked in the US
#26
Ranked in the US
#37
Nevada
Annual Taxes
$4,713
Ranked in the US
#48
Ranked in the US
#17
Ranked in the US
#3
Ranked in the US
#3
New Hampshire
Annual Taxes
$5,025
Ranked in the US
#43
Ranked in the US
#18
Ranked in the US
#48
Ranked in the US
#4
New Jersey
Annual Taxes
$8,330
Ranked in the US
#7
Ranked in the US
#46
1.4%
Ranked in the US
#17
10.75%
Ranked in the US
#50
New Mexico
Annual Taxes
$6,370
Ranked in the US
#30
Ranked in the US
#26
1.7%
Ranked in the US
#19
Ranked in the US
#33
New York
Annual Taxes
$9,111
Ranked in the US
#4
Ranked in the US
#51
Ranked in the US
#39
Ranked in the US
#47
North Carolina
Annual Taxes
$6,846
Ranked in the US
#21
Ranked in the US
#23
4.99%
Ranked in the US
#45
Ranked in the US
#21
North Dakota
Annual Taxes
$4,812
Ranked in the US
#46
Ranked in the US
#7
1.1%
Ranked in the US
#15
Ranked in the US
#9
Ohio
Annual Taxes
$5,426
Ranked in the US
#41
Ranked in the US
#24
2.77%
Ranked in the US
#28
Ranked in the US
#17
Oklahoma
Annual Taxes
$6,206
Ranked in the US
#33
Ranked in the US
#10
0.25%
Ranked in the US
#9
Ranked in the US
#16
Oregon
Annual Taxes
$9,213
Ranked in the US
#3
Ranked in the US
#31
4.75%
Ranked in the US
#42
Ranked in the US
#49
Pennsylvania
Annual Taxes
$5,903
Ranked in the US
#39
Ranked in the US
#28
3.07%
Ranked in the US
#31
Ranked in the US
#10
Rhode Island
Annual Taxes
$6,552
Ranked in the US
#27
Ranked in the US
#36
3.75%
Ranked in the US
#36
Ranked in the US
#34
South Carolina
Annual Taxes
$7,613
Ranked in the US
#12
Ranked in the US
#9
Ranked in the US
#4
Ranked in the US
#40
South Dakota
Annual Taxes
$4,310
Ranked in the US
#51
Ranked in the US
#4
Ranked in the US
#5
Ranked in the US
#5
Tennessee
Annual Taxes
$4,483
Ranked in the US
#49
Ranked in the US
#3
Ranked in the US
#6
Ranked in the US
#6
Texas
Annual Taxes
$4,761
Ranked in the US
#47
Ranked in the US
#6
Ranked in the US
#7
Ranked in the US
#7
Utah
Annual Taxes
$6,674
Ranked in the US
#24
Ranked in the US
#41
4.95%
Ranked in the US
#44
Ranked in the US
#20
Vermont
Annual Taxes
$6,409
Ranked in the US
#29
Ranked in the US
#48
3.35%
Ranked in the US
#34
Ranked in the US
#46
Virginia
Annual Taxes
$7,951
Ranked in the US
#8
Ranked in the US
#44
Ranked in the US
#24
Ranked in the US
#32
Washington
Annual Taxes
$5,381
Ranked in the US
#42
Ranked in the US
#30
Ranked in the US
#51
Ranked in the US
#41
West Virginia
Annual Taxes
$5,931
Ranked in the US
#38
Ranked in the US
#22
Ranked in the US
#30
Ranked in the US
#35
Wisconsin
Annual Taxes
$6,568
Ranked in the US
#25
Ranked in the US
#32
3.54%
Ranked in the US
#35
Ranked in the US
#44
Wyoming
Annual Taxes
$4,425
Ranked in the US
#50
Ranked in the US
#2
Ranked in the US
#8
Ranked in the US
#8