Apr 2, 2025 - News
Mapped: Who pays the most taxes
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It's tax season, but of course you won't have to file state income taxes here.
Why it matters: Some states with low or no individual income tax, like Texas, are attracting lots of new residents — but could find themselves facing challenges 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.
Zoom in: Texas is one of nine state with no income tax.
- If you're a very rich car manufacturer or an NBA superstar, establishing residency in Texas can be worth a lot — and soften the April 15th burden generally.
The other side: Our no-income-tax philosophy puts pressure on local taxing entities — especially school districts — to figure out ways to raise money or cut costs.