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Old 10-23-2019, 06:42 AM
 
Location: Fairfield County CT
4,454 posts, read 3,349,947 times
Reputation: 2780

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For people making $100,000, here are the states that deduct THE MOST in taxes:

1. Oregon
2. Maryland
3. New York
4. Hawaii
5. California
6. Kentucky
7. Idaho
8. South Carolina
9. Minnesota
10. Maine

Look who is NOT on the top 10 list and who is.

And because CT has a progressive tax structure it gets even BETTER for those making less.

https://finance.yahoo.com/news/much-...100433990.html

Last edited by JayCT; 10-23-2019 at 01:53 PM.. Reason: Replaced incorrect link
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Old 10-23-2019, 06:49 AM
 
3,435 posts, read 3,945,234 times
Reputation: 1763
You have support for this? What is the methodology?
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Old 10-23-2019, 07:58 AM
 
24,559 posts, read 18,259,472 times
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Quote:
Originally Posted by Mike 75 View Post
You have support for this? What is the methodology?

I presume it's calculating state income tax on a married couple earning $100K. ~$4,600, right?


Looking at the list, the only one that looks wrong is Maryland. They had a big state income tax change recently for 2018 and onwards. For $100K and married, most of your income in Maryland is in the 4.75% bracket so it is similar to Connecticut plus or minus $100. The other 9 are way higher than Connecticut.


In New England for married and $100K, New Hampshire doesn't tax earned income, Vermont and Rhode Island would be lower, Massachusetts a bit higher (~$5,000) and Maine much higher.
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Old 10-23-2019, 08:35 AM
 
1,929 posts, read 2,040,154 times
Reputation: 1842
From a income tax standpoint alone, this isn't incorrect. Having done the math on moving to some other states before buying another house here, it is surprising to know where CT stacks up on that front, even at much higher income levels than 100k.

The local taxation structure is very different in other areas, but so is the funding of services.
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Old 10-23-2019, 09:14 AM
 
Location: Connecticut
34,937 posts, read 56,945,109 times
Reputation: 11228
For people making $100,000, here are the states that deduct THE MOST in taxes:

1. Oregon
2. Maryland
3. New York
4. Hawaii
5. California
6. Kentucky
7. Idaho
8. South Carolina
9. Minnesota
10. Maine

Look who is NOT on the top 10 list and who is.

And because CT has a progressive tax structure it gets even BETTER for those making less.[/quote]

Wait, South Carolina??? Isn’t that supposed to be one of those great low tax states that people say is so much cheaper to live in? As I have repeatedly said you cannot do a simplistic analysis of taxes because it is too complex.
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Old 10-23-2019, 09:21 AM
 
1,241 posts, read 902,829 times
Reputation: 1395
Yep, and so much of it is the rural south where they are backwards and have zero amenities and poor healthcare.



Quote:
Originally Posted by JayCT View Post
For people making $100,000, here are the states that deduct THE MOST in taxes:

1. Oregon
2. Maryland
3. New York
4. Hawaii
5. California
6. Kentucky
7. Idaho
8. South Carolina
9. Minnesota
10. Maine

Look who is NOT on the top 10 list and who is.

And because CT has a progressive tax structure it gets even BETTER for those making less.
Wait, South Carolina??? Isn’t that supposed to be one of those great low tax states that people say is so much cheaper to live in? As I have repeatedly said you cannot do a simplistic analysis of taxes because it is too complex.[/quote]
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Old 10-23-2019, 09:30 AM
 
1,241 posts, read 902,829 times
Reputation: 1395
Connecticut is not bad at all for income taxes really. Add in all the other taxes and it is consistently ranked as having one of the highest total tax burdens in the country. Top 5 highest in most any calculations/articles/reports you can find.



Cue the anecdotal portrayal of all other regions and states as uneducated backwaters.


Quote:
Originally Posted by CTartist View Post
For people making $100,000, here are the states that deduct THE MOST in taxes:

1. Oregon
2. Maryland
3. New York
4. Hawaii
5. California
6. Kentucky
7. Idaho
8. South Carolina
9. Minnesota
10. Maine

Look who is NOT on the top 10 list and who is.

And because CT has a progressive tax structure it gets even BETTER for those making less.
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Old 10-23-2019, 09:30 AM
 
Location: Connecticut
34,937 posts, read 56,945,109 times
Reputation: 11228
I tried looking for a link to the study that CTartist was referencing. I found these but I don’t think they are the right ones. Still they all show Connecticut taxes are not among the highest. Given we are rated No. 1 in Real Disposable Income even when taxes are considered, this seems to make sense. Jay

https://www.gobankingrates.com/makin...-salary-state/

https://www.gobankingrates.com/makin...-salary-state/

https://finance.yahoo.com/news/much-...100433990.html

https://moneywise.com/a/take-home-pa...-100000-salary
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Old 10-23-2019, 11:19 AM
 
21,621 posts, read 31,207,908 times
Reputation: 9776
It’s important to remember this “study” does not include taxes like home property, vehicle property, etc. These are some of the biggest expenses CT residents face, whereas many of the residents in states on this list pay a fraction in those categories.

It is no secret that, while the income tax isn’t the highest, the overall tax burden is very high.
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Old 10-23-2019, 11:34 AM
 
1,241 posts, read 902,829 times
Reputation: 1395
Exactly! Real disposable income measures do not include property taxes and it is- or should be- widely accepted that CT property taxes are higher than most areas.



Quote:
Originally Posted by kidyankee764 View Post
It’s important to remember this “study” does not include taxes like home property, vehicle property, etc. These are some of the biggest expenses CT residents face, whereas many of the residents in states on this list pay a fraction in those categories.

It is no secret that, while the income tax isn’t the highest, the overall tax burden is very high.
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