New York again tops list of highest state tax burdens
By James O'Toole @jtotooleOctober 23, 2012: 2:18 PM ET
NEW YORK (CNNMoney)
New retirees looking to save on taxes may want to skip sunny Florida and head north. Way north.
Residents of Alaska had the lowest state and local tax burden in the country during the 2010 fiscal year, paying out just 7% of their income, according to a new report from the Tax Foundation, a Washington-based research group. That compares with 9.3% in Florida and 12.8% in New York, the state with the highest tax burden.
The report looked not at the tax revenue collected by states, but at the income forked over by taxpayers. For example, sales taxes paid by Californians vacationing in Las Vegas were counted towards California's total tax burden.
The state rankings are little changed from previous years. New Jersey followed New York with a tax burden of 12.4%, with Connecticut, California and Wisconsin rounding out the top five. (Related: 4 tax breaks for parents)
Obama and Romney's tax tug-of-war
Alaska, with no state sales tax or individual income tax, "exports" its tax burden to residents of other states by raising over 70% of its revenue from taxes on oil extraction, which are ultimately borne by consumers elsewhere, the Tax Foundation said. Joining the state near the bottom of the rankings were South Dakota, Tennessee, Louisiana and Wyoming.