Here's where you'd pay the highest state income taxes
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Your annual tax bill depends at least partly on where you live, with state income taxes varying from nonexistent all the way up to nearly 14% for some especially high earners.
Why it matters: Some states with low or no individual income tax, like Texas and Florida, are attracting lots of new residents — but could find themselves in trouble in a world with less federal financial aid.
By the numbers: California (13.3%), Hawai'i (11%) and New York (10.9%) have the highest top marginal income tax rates for individuals.
- Arizona and North Dakota (both 2.5%) have the lowest among states with an income tax.
How it works: That's according to data from the Tax Foundation, a nonpartisan think tank.
- Local taxes, as well as some state-specific taxes in a handful of states and a capital gains surtax on high earners in Minnesota, are not included.
Between the lines: The rates shown in the map above are the highest paid by the residents earning the most money.
- Many states have graduated income taxes, with higher amounts of income taxed at gradually higher rates.
- New York's tax rates, for instance, range from 4% to 10.9%.
Yes, but: Several states, including Arizona, Idaho, Illinois and more, have a flat income tax — meaning everyone pays the same rate regardless of their income.
- There are a few other interesting caveats, too. Washington, for example, has no general income tax, but it does tax capital gains above a certain threshold.
