Tax-Friendly Places 2007

See how much you'll play in income, sales and property taxes around the country.

*Taxes dividend and interest income
Source: CCH Inc.
Taxing your income
As the U.S. economy continues to remain resilient, state and local governments have had no difficulty making sure their coffers remain filled. And one of the biggest drivers of revenue has been taxes on individual income.

"Due to the booming economy, people are paying more taxes," said Curtis Dubay, an economist and the author of the Tax Foundation study.

Currently all but 9 states collect income tax, according to the tax information publisher CCH Inc. In 2006, some states, like Arizona, New Mexico and Ohio, even reduced income tax rates for some or all income brackets.

Last year, those states whose tax system mimics the federal system, like Vermont and Rhode Island, experienced some of the biggest gains in revenue, said Dubay.
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Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.