As a Percentage of Income, Who Pays the Most Taxes?

The DC-based Institute on Taxation and Economic Policy has released its 2013 edition of “Who Pays? A Distributional Analysis of the Tax Systems in All 50 States.” And while at first glance, some might consider this a boring read, they would likely agree that the conclusions of the report are most interesting indeed.

For instance,

“… all states have regressive tax systems that ask more from low- and middle-income families than from the wealthiest.” [emphasis added]


“The average overall effective state and local tax rates by income group nationwide are 11.1 percent for the bottom 20 percent, 9.4 percent for the middle 20 percent and 5.6 percent for the top 1 percent.”

“Ten states with the most regressive tax systems are: Washington, Florida, South Dakota, Texas, Illinois, Tennessee, Arizona, Pennsylvania, Alabama and Indiana.”

No matter where you live, check out the full report or just how your state measures up here.