[68vette]

Originally Posted by jackmccullough

Although the original post made what I would consider a political point, I'm going to stick to the facts:

For the personal income tax, the effective tax rate for those who earn more than $500,000 was 5.4% in 2007, down from 5.9% in 2003. The number of filers reporting more than $500,000 in income doubled from 2003 to 2007 and their income tripled. (http://http://www.progressiveparty.org/blog/2009/facts-vermonts-business-and-tax-climate - broken link)

I couldn't get your link to open, but seeing a dip in the number of people making less than 500,000 can be explained. My wife and I are considered wealthy by Vermont standards and this past year we were hammered with taxes (state and Federal). So much in fact we had another person do our taxes because we thought there was a huge mistake. Our tax person explained it all to us (way to boring to get into at this time) and we found many ways to shelter our income so that on paper we don't make as much. One example is to max out our retirement contributions. The government will get us in the long run, but we are better off paying as we withdrawl when we are older than to get hit every year with the insane amount of taxes the fed and the state took from us this year.

[abiaeka]

I live in Maryland and work in DC. I want to file my return and I note that I have to to pay an equal amount of State taxes and federal taxes. Is it correct

[pauldorell]

Originally Posted by jackmccullough

It is not accurate to state that Vermont has the highest taxes in the country.

Noted econonmist has examined this exact claim and demonstrated it to be false:



"Facts" on Vermont's Business and Tax Climate | Vermont Progressive Party

Thank you for sticking up for Vermont! I moved here from Illinois last year and paid part-year-resident income taxes to both states for 2011. For the record, my income tax rate is lower in Vermont than in Illinois. On top of that, we're paying a lower property tax on a much better house in one of the most expensive tax counties in Vermont. In addition, the sales tax rate is lower here. Of course, income tax varies according to your total income and the sources, but in any case we're just plain saving money by living here.