The new tax code doesn’t exactly excite taxpayers in high-tax states such as New York and Illinois. The Tax Cuts and Jobs Act caps the state and local tax deduction (SALT) at $10,000, meaning heftier tax bills for many residents of liberal states.
So where do you land? As millions of Americans file their tax returns before Tax Day, it’s important to know the highest- and lowest-tax states, and how your location affects your tax bill.
The personal finance website WalletHub recently compared state and local tax rates in all 50 states and the District of Columbia, taking into account real estate taxes, income taxes, vehicle property taxes, and sales and excise taxes. Here’s their final ranking:
Highest Tax States
4. New York
5. Rhode Island
9. New Jersey
Lowest Tax States
10. South Carolina
You can see the full breakdown here.