US States With the Lowest State and Local Income Tax as a Share of Income
12 US states ranked by state and local income tax as a share of income, from lowest to highest. First are Alabama (1.89), Michigan (2) and Indiana (2.08). The middle one of the 12 has 2.54.
What this measures
State and local income tax together, as a percentage of residents' income. This is the fair comparison for New York, Maryland, Ohio and Pennsylvania, where the state rate alone leaves out a large local layer of tax. Source: Census local government finances.
For most measures, a national ranking mostly sorts places by income and by how urban they are. Each county’s own page compares it with the 50 counties most like it instead, which is often the fairer view.
Every state
| Rank | State | % of personal income |
|---|---|---|
| 1 | Alabama | 1.89 |
| 2 | Michigan | 2 |
| 3 | Indiana | 2.08 |
| 4 | Iowa | 2.36 |
| 5 | Missouri | 2.38 |
| 6 | Kansas | 2.4 |
| 7 | Ohio | 2.54 |
| 8 | Pennsylvania | 2.65 |
| 9 | Kentucky | 3.15 |
| 10 | Maryland | 3.76 |
| 11 | New York | 4.65 |
| 12 | Oregon | 4.73 |
More on state and local income tax as a share of income
- US States With the Highest State and Local Income Tax as a Share of Income
- State and local income tax as a share of income by US state: map by year and what it goes with
A ranking describes places, not the people in them, and a high or low place does not by itself say why. All US rankings.