5 most tax-friendly states to live in (Anchorage: sales, buy, income)

[RedJacket]

1. Alaska. Alaska doesn't have a state income tax, state sales tax or a state inheritance tax. As tax burdens go, it's the best state to live in.

It hasn't always been that way. In 1978, Alaska was ranked 49th, making it one of the most tax-heavy states in the country. Residents can thank federal funds and big oil for the dramatic reversal.Three years ago, federal funding accounted for almost one-fifth of Alaska's revenue. Per capita, Alaska receives more federal funding than any other state in the country, an honor held since 1999. That means much of Alaska's infrastructure is paid for by federal funds, not state funds. If you don't have much in the way of expenses, you don't need much in the way of additional revenue. As a result, the tax burden stays pretty low.

But wait! The Last Frontier's tax perks get even better: The completion of the federally-funded Trans-Alaska pipeline and the establishment of Alaska as an energy center for gas and oil has proven to be a boon for residents. After the pipeline was completed, the state created a program called the Alaska Permanent Fund, that invests and distributes royalties from oil companies doing business in Alaska to residents. In 2008, the check was a record $3,269 per eligible resident. Eligible residents are those (including children) who have lived in Alaska for a full calendar year.

5 most tax-friendly states to live in

I wonder how many people come to Alaska for one year and then leave.

[bortstc37]

plenty...
and it's a good thing they don't leave with a permanent fund check!

the waiting period of one calendar year is a good start...

[RayinAK]

Originally Posted by think first

1. Alaska. Alaska doesn't have a state income tax, state sales tax or a state inheritance tax. As tax burdens go, it's the best state to live in.

It hasn't always been that way. In 1978, Alaska was ranked 49th, making it one of the most tax-heavy states in the country. Residents can thank federal funds and big oil for the dramatic reversal.Three years ago, federal funding accounted for almost one-fifth of Alaska's revenue. Per capita, Alaska receives more federal funding than any other state in the country, an honor held since 1999. That means much of Alaska's infrastructure is paid for by federal funds, not state funds. If you don't have much in the way of expenses, you don't need much in the way of additional revenue. As a result, the tax burden stays pretty low.

But wait! The Last Frontier's tax perks get even better: The completion of the federally-funded Trans-Alaska pipeline and the establishment of Alaska as an energy center for gas and oil has proven to be a boon for residents. After the pipeline was completed, the state created a program called the Alaska Permanent Fund, that invests and distributes royalties from oil companies doing business in Alaska to residents. In 2008, the check was a record $3,269 per eligible resident. Eligible residents are those (including children) who have lived in Alaska for a full calendar year.

5 most tax-friendly states to live in

I wonder how many people come to Alaska for one year and then leave.

Take a look at this:
291 – Federal Lands in the US « Strange Maps

[RAMFEB31]

And one of the most unfriendliest state is, you guess right, CALIFORNIA!!
I AM OUT OF HERE literally leaving part of my arm on April 15th. The Fed took the other arm. Next year, I am filing separate income taxes.

[akck]

Originally Posted by bortstc37

plenty...
and it's a good thing they don't leave with a permanent fund check!

the waiting period of one calendar year is a good start...

You also have to wait almost another year to get your first dividend too. If you were here a calendar year, applied and then left, it would be fraud.

[Moose Whisperer]

Originally Posted by think first

It hasn't always been that way. In 1978, Alaska was ranked 49th, making it one of the most tax-heavy states in the country..

And it will like return to this as oil revenues begin to dwindle while the fools in Juneau do nothing, frittering away their time designating state dogs or adding more lines to the state song. Last estimate I heard was that it will take over $13k in tax revenues from each Alaska resident support the bloated state budget at current levels. And that was before the latest version of the porkulus just passed in Juneau.

[RedJacket]

Originally Posted by bortstc37

plenty...
and it's a good thing they don't leave with a permanent fund check!

the waiting period of one calendar year is a good start...

Suppose I should learn to read for meaning.

If a person sticks it out for one calendar year, must they also have been gainfully employed?

I'm certainly not saying that should be a prerequisite for native Alaskans or those who have been living there for, say, three consecutive years. I just believe you should have a little skin in the game prior to receiving a PFC.

[RayinAK]

One thing about Alaska is the high property tax.

[Metlakatla]

Originally Posted by RayinAK

One thing about Alaska is the high property tax.

What's property tax, Ray?

[gobrien]

Originally Posted by Moose Whisperer

And it will like return to this as oil revenues begin to dwindle while the fools in Juneau do nothing, frittering away their time designating state dogs or adding more lines to the state song. Last estimate I heard was that it will take over $13k in tax revenues from each Alaska resident support the bloated state budget at current levels. And that was before the latest version of the porkulus just passed in Juneau.

Glad they didn't buy that Chevron building in Anchorage!