State Tax

 Key Findings There are over 11,000 sales tax jurisdictions in the United States, with widely varying rates. Among major cities, Chicago, Illinois and Long Beach and Glendale, California impose the highest combined state and local sales tax rates, at 10.25 percent. Three cities follow with combined rates of 10 percent or higher: Tacoma (10.2 percent)

Property taxes are an important tool to help finance state and local governments. In fiscal year 2016, property taxes comprised 31.5 percent of total state and local tax collections in the United States, more than any other source of tax revenue. In that same year, property taxes accounted for 46 percent of localities’ revenue from

Kansas just unveiled the most aggressive remote sales tax collections regime in the country, and it did so without adopting any new, post-Wayfair legislation. The new requirements, set out in a Department of Revenue notice, obligate all remote sellers with any transactions in Kansas to begin collecting and remitting sales taxes by October, no matter

On July 26, North Carolina Governor Roy Cooper (D) signed into law S.B. 523, “An Act to Make Various Clarifying and Administrative Changes to the Revenue Laws.” What the bill lacks in a catchy name, it makes up for with sound tax policy by expanding North Carolina’s sales tax base and creating consensus in divided

Today’s map shows gasoline tax rates in each state as of July 2019, using recently released data from the American Petroleum Institute. States levy gas taxes in a variety of ways, including per-gallon excise taxes collected at the pump, excise taxes imposed on wholesalers which are passed along to consumers in the form of higher prices,

Key Findings Local income taxes are imposed by 4,964 taxing jurisdictions across 17 states, with a heavy concentration in Rust Belt states, particularly Ohio and Pennsylvania. Depending on the state, local income taxes may be levied by counties, municipalities, school districts, or special districts, with most levied by municipalities (3,816) and school districts (954). Six

Key Findings Sixteen states will hold a sales tax holiday in 2019, down from a peak of 19 in 2010 and from 17 last year. Wisconsin did not continue its one-time holiday, and Louisiana suspended its sales tax holiday program effective July 1, 2018. Massachusetts had established a one-time sales tax holiday for 2018, but

Recently released data from The Pew Charitable Trusts shows the strain on state retirement systems nationwide as state pension funds strive to keep pace with benefits owed to public employees. Fiscal year 2017 (the most recent data available) saw a combined $1.28 trillion in state pension plan funding deficits. While massive, this was actually a decrease from

Key Findings Twenty-three states and the District of Columbia had notable tax changes take effect on July 1, 2019. Indiana had the lone corporate income tax change, with the rate decreasing from 5.75 to 5.5 percent. Two states saw changes to certain provisions in their individual income tax code: Ohio made its Earned Income Tax

For the sixth time since 2010, New Jersey politicians attempted to pass a millionaires’ tax and failed. The first five were during Republican Governor Chris Christie’s administration and were expected to fail given Christie’s steadfast opposition to income tax increases and regular sparring with the Democratic-controlled legislature. However, unified Democratic government in Trenton has not

Key Findings When corporate income is apportioned among states for tax purposes, it is possible for some income to be earned in states which lack jurisdiction to tax the corporation, generating what is known as “nowhere income” that is not taxed by any state. Throwback and throwout rules are designed to allow states from which

Near the conclusion of a legislative session focusing on what Texas Governor Greg Abbott (R) characterized as the “meat and potatoes” of policy, the governor signed into law SB 2, a bill intended to help rein in property taxes. In addition to addressing the concerns of many Texans, the bill addresses the core tax issue

A joint constitutional convention of Massachusetts lawmakers has voted 147-48 to approve H.86, dubbed the Fair Share Amendment, to impose a 4 percent income tax surcharge on annual income beyond $1 million. The new tax would be levied in addition to the existing 5.05 percent flat rate, bringing Massachusetts’ total top rate to 9.05 percent.  Supporters

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On June 3, New Jersey Governor Phil Murphy (D) renewed his plea to expand the state’s so-called millionaire’s tax to apply to all income above $1 million, down from the current $5 million threshold. This time, he also advocated a one-time $125 property tax credit to New Jersey owners and renters making between $10,000 and

Arizona entered 2019 as one of four states (along with California, Minnesota, and Virginia) conforming to a pretax reform version of the Internal Revenue Code (IRC) for both individual and corporate income tax purposes. With the signature of Gov. Doug Ducey (R) on House Bill 2757, Arizona becomes the latest state to conform to the

’Tis the season to crack open a cold one, whether it’s at a cookout, at an all-American baseball game, or on a tubing trip down a slow-moving river. In the midst of summer’s usual uptick in beer sales, how much of our cash is actually going toward the cost of a brew? Less than you

Oregon’s Corporate Activity Tax, a gross receipts tax levied on businesses with receipts over $1 million, is one step closer to facing voters in in early 2020 after an association of Oregon industrial businesses filed a referendum to repeal the tax this week. The referendum is an opportunity for Oregonians to determine if the tax

State and localities rely heavily on the individual income tax, which comprised 23.5 percent of total U.S. state and local tax collections in fiscal year 2016, the latest year of data available. The individual income tax lands just below the general sales tax (23.6 percent), both behind property taxes (31.5%) as the largest category of

A new advocacy effort is urging state policymakers to create a sales tax exemption for breastfeeding supplies. Proponents make two key arguments: (1) that it’s unfair to apply the sales tax to breast pumps if formula enjoys an exemption, and (2) pumping supplies should not be taxed since they’re a necessity for most nursing mothers.