2018 REPORT: Maine Ranks 3rd Highest Tax Burden State In The Country
We've been told through the years that there are two things that are for sure and they are death and taxes. When it comes to the tax burden on its people, Maine is no stranger.
As April 15th approaches, there are many in the Pine Tree State that are concerned about how much they will owe Uncle Sam or how much they will owe to the state of Maine.
Some may already know and many may be owed money, depending on their life status and how they filled out their W-4 form to their employer.
Our friends at WalletHub have taken great strides in finding out which states bare the highest tax burden for their people in 2018.
The results are in and if you live in Maine, be prepared to have the state crack your wallet once again.
Just to be clear, the term 'tax burden' differs from a 'tax rate.' A tax burden is that which measures the proportion of total personal income that residents pay toward state and local taxes.
A tax rate is pretty much based on an individual's circumstances.
How they determined their findings.
WalletHub measured the states across three different sources - property tax, individual income tax, and sales and excise tax, as a share of total personal income in the state.
Here are some of the statistics just for the state of Maine.
- Maine ranked 4th for Highest Property Tax as Percentage of Personal Income
- Oklahoma ranked 49th for Lowest Property Tax as Percentage of Personal Income - That is 4 times lower than the state of Maine
The chart below shows that Maine ranks number 3 only behind states like New York and Hawaii.
One other interesting vignette to add is that states that are considered politically as 'blue states' tend to have higher tax structure.
Since Maine is considered a blue state, based on how it voted in past presidential elections, it is no wonder that the people take on a higher tax burden.