The differences from accompaniment to accompaniment can be dramatic--and confusing. Some states with low assets taxes accomplish up the aberration with above-average acreage taxes (we're searching at you, Texas), which is an important application if you're a homeowner. And a lot of states acquiesce cities and counties to add their own sales taxes to statewide sales levies, advocacy accumulated sales taxes in some cities to 10% or more.
Here is our account of the 10 states with the everyman accompaniment taxes. Before you alpha packing up your U-Haul, though, accede the trade-offs. Some states that accept aggressively cut taxes accept appear beneath blaze for cuts in amusing services, anchorage and education. You may be accommodating to pay above-average acreage taxes in barter for accomplished schools.
State assets tax: 2.2% (on assets from $2,001 to $5,000) — 6.6% (on assets of added than $60,000)
State sales tax: None
Gas taxes and fees: 23 cents (national boilerplate is 30 cents)
The First Accompaniment charcoal a low-tax haven amidst high-tax states forth the Eastern Seaboard. It has no sales tax (one acumen its Rehoboth Beach outlets are a big day-tripper draw), and its gas taxes are able-bodied beneath average.
Property taxes as a allotment of home amount are the fourth-lowest in the U.S. The boilerplate acreage tax on the state's boilerplate home amount of $226,200 is $1,240, according to the Tax Foundation.
Excise taxes on beer and wine are aswell modest: 16 cents per gallon for beer and 97 cents for a gallon of wine.
2. Wyoming
State assets tax: None
State sales tax: 4%
Gas taxes and fees: 24 cents
Despite the abatement in the amount of oil, acquirement from mineral rights continues to breeze in Wyoming, enabling the Equality Accompaniment to accumulate taxes low.
There is no assets tax. People who move to these locations like to own a lot of land, and low acreage taxes accomplish that dream affordable. The boilerplate acreage tax on the state's boilerplate home amount of $195,500 is $1,195, the eighth-lowest in the U.S.
The state's gas tax is able-bodied beneath the civic boilerplate of 30 cents per gallon, and Wyoming has the everyman beer tax in the U.S.
3. Alaska
State assets tax: None
State sales tax: None
Gas taxes and fees: 12 cents per gallon
No assets tax, no sales tax, low gas taxes -- what's not to like about Alaska's tax policy? Plus, the accompaniment gives anniversary acknowledged citizen who has lived in the accompaniment for a abounding year an anniversary "Permanent Fund Dividend," balance from an investment basin adjourned by oil taxes. The 2014 administration was $1,884 -- about $8,000 for a ancestors of four.
While municipalities can appoint bounded sales taxes of as abundant as 7.5%, the boilerplate sales tax is just 1.8%, according to the Tax Foundation. Anchorage, Alaska's better city, has no sales tax.
Median acreage tax on a boilerplate home amount of $254,000 is $3,008. That's in the costlier bisected of U.S. acreage tax ante overall, but not confiscatory.
4. Louisiana
State assets tax: 2% (on assets up to $12,500/individual, $25,000/joint) — 6% (on taxable assets of added than $50,000/individual, $100,000/joint)
State sales tax: 4%
Gas taxes and fees: 20 cents per gallon
The Pelican Accompaniment has a array of tax-friendly policies. Its acreage taxes, for instance, are the third-lowest in the nation. The boilerplate acreage tax on the state's boilerplate home amount of $140,300 is $714.
And at 20 cents per gallon, Louisiana's gas tax is able-bodied beneath the civic boilerplate of 30 cents.
Louisiana's association can abstract all of their federal assets tax from accompaniment taxable income.
One downer: Bounded parishes and jurisdictions can add their own levies to the accompaniment sales tax, advocacy the accumulated tax as top as 11%. Louisiana's boilerplate accumulated state-local tax amount is 8.9%, the fourth-highest in the U.S., according to the Tax Foundation.
5. Alabama
State assets tax: 2% (on assets up to $500/individual, $1,000/joint) — 5% (on assets of added than $3,000/individual, $6,000/joint)
State sales tax: 4%
Gas taxes and fees: 21 cents per gallon
Alabama's acreage taxes are the second-lowest in the U.S. (Hawaii has the everyman on a allotment basis, helped by the boundless amount of acreage there.) Boilerplate tax on the state's boilerplate home amount of $122,700 is just $532.
It doesn't yield abundant assets to acquisition yourself in the state's top assets tax bracket, area a 5% amount bliss in for those authoritative as little as $3,000 for alone filers and $6,000 for affiliated couples. However, the Yellowhammer Accompaniment allows association to abstract all federal assets tax from accompaniment taxable income.
While the accompaniment sales tax amount is a bashful 4%, added levies from accompaniment and bounded jurisdictions accession the boilerplate accumulated amount to 8.9%, a part of the accomplished in the U.S. And clashing a lot of states, Alabama doesn't absolved aliment from its sales tax. Decree drugs and insulin-related items are exempt.
6. Mississippi
State assets tax: 3% (on assets up to $5,000) — 5% (on assets of added than $10,000)
State sales tax: 7%
Gas taxes and fees: 19 cents per gallon
Gas taxes are low actuality -- even cheaper than in adjoining Alabama and Louisiana, the two states that announce Mississippi on our list. Boilerplate acreage tax on the Magnolia State's boilerplate home amount of $97,500 is $778, the 17th-lowest in the nation. And like Alabama, Mississippi's assets tax ante are bashful but bang in early: The top amount applies as anon as taxable assets exceeds $10,000.
Mississippi's accompaniment sales tax amount of 7% is the second-highest in the U.S. (only California, at 7.5%, is higher), and Mississippi is one of a boyhood of states that accuse sales tax on groceries. But decree drugs, residential utilities, motor ammunition and newspapers are all exempt, and localities add actual little on top of the state's rate, if anything.
Vehicle sales are burdened at 5%, two allotment credibility beneath the accepted sales tax rate. Mississippi aswell accuse an anniversary claimed acreage tax based on vehicles' age and value. Ante are set at the canton level. In Lafayette County, for example, you'd pay $285 on a car admired at $20,000.
7. Arizona
State assets tax: 2.59% (on assets up to $10,000/individual, $20,000/joint) — 4.54% (on assets of added than $150,000/individual, $300,000/joint)
State sales tax: 5.6%
Gas taxes and fees: 19 cents per gallon
Income taxes in the Grand Canyon Accompaniment are almost low, even for top earners. A lot of association will abatement into the state's lower brackets.
Other tax advantages in Arizona: Accompaniment gas taxes are low, and the boilerplate tax on the state's boilerplate home amount of $166,000 is $1,321, the 16th-lowest amount in the U.S.
Like a lot of states, Arizona excludes decree drugs and aliment for home burning from its accompaniment sales tax. However, counties and municipalities burden their own sales taxes, which boilerplate an added 2.57% and ability as top as 5.3%, according to the Tax Foundation. Plus, some of those taxes administer to groceries.
The accompaniment aswell imposes an anniversary car authorization tax. The tax is based on an adjourned amount of 60% of the manufacturer's abject retail price, bargain by 16.25% for anniversary year afterwards the car was registered in Arizona. The amount is $2.80 for new cars and $2.89 for acclimated vehicles, for anniversary $100 of adjourned value. The first-year authorization tax for an $18,000 car would be $302.
8. New Mexico
State assets tax: 1.7% (on assets up to $5,500/individual, $8,000/joint) — 4.9% (on assets of added than $16,000/individual, $24,000/joint)
State sales tax: 5.125%
Gas taxes and fees: 19 cents per gallon
Median acreage tax on New Mexico's boilerplate home amount of $159,200 is $1,160 -- that's the 12th-lowest in the country. New Mexico's gas taxes are aswell low (and bout adjoining Arizona).
Personal assets tax ante in the Acreage of Enchantment top out at 4.9% on taxable assets over $16,000 for alone filers and $24,000 for affiliated couples filing jointly. And if you're over 100, you don't accept to pay accompaniment assets tax at all.
The accompaniment levies a sales tax of 5.1%, which is imposed on businesses and about anesthetized on to consumers. Canton and city-limits sales taxes can add up to 3.6%. The boilerplate accumulated bounded and accompaniment sales tax amount is 7.4%. Clashing a lot of states, New Mexico doesn't exclude aliment from sales taxes, although decree drugs are exempt. Car buyers get a break, though: Sales taxes on motor cars are 3%, able-bodied beneath the all-embracing sales tax rate, and localities don't get a bite.
9. Nevada
State assets tax: None
State Sales tax: 6.85%
Gas taxes and fees: 34 cents per gallon
The Silver Accompaniment is one of nine in the U.S. that appoint no assets tax. Boilerplate acreage tax on Nevada's boilerplate home amount of $165,300 is $1,423, according to the Tax Foundation. >Food and decree drugs are absolved from the state's 6.9% sales tax, but counties may tack on up to 1.3%. The boilerplate accumulated accompaniment and bounded sales tax amount is 7.9%.
In accession to sales taxes, car owners are answerable an anniversary "government casework tax" that's based on the vehicle's amount and age. Tax on a two-year-old car with an aboriginal sticker amount of $20,000 would be $238.
10. South Carolina
State assets tax: 3% (on assets up to $2,800 for both alone and joint) — 7% (on assets of added than $14,400)
State sales tax: 6%
Gas taxes and fees: 17 cents per gallon
Property taxes in South Carolina are the fifth-lowest in the U.S. Boilerplate acreage tax on the state's boilerplate home amount of $139,200 is $788, according to the Tax Foundation.
The Palmetto State's top assets tax amount of 7% bliss in aboriginal -- already taxable assets exceeds $14,400.
Groceries and some algid able foods, decree drugs, dental prosthetics and audition aids are absolved from accompaniment sales taxes. Localities can add up to 3% in sales taxes. The boilerplate accumulated accompaniment and bounded sales tax amount is 7.1%. But the state's gas tax is able-bodied beneath the civic boilerplate at 17 cents per gallon.
The accompaniment sales tax on cars is 5% and is capped at $300, but the accompaniment levies an anniversary tax on vehicles. Ante are set by counties and alter widely. In Lexington County, the bill for a car admired at $20,000 would be about $520 anniversary year.
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