Comparing Sales Tax, Property Tax, and Poverty Rates by State

Analysis of Taxes and Poverty Rates by State

Table Outlines 2022 State Property Tax, Sale Taxes, and Poverty Rates by State

Further analysis may compare poverty correlations by State from Federal Tax Rates and Deductions. That should include impact of the State and Local Tax (S.A.L.T.) deduction. Further examination may reveal Citizens with lower Property Taxes likely paid greater overall Taxes prior to S.A.L.T. deduction limits. Reduced Federal Tax may have augmented monetary circulation, regardless of State Tax.

I was inspired to conduct this analysis because of a conversation. The other person believed that higher taxes actually decreased poverty. I disagree and believe it will continue to cause more poverty.

The table below does not consider local tax.

Property Tax (Descending)			Sales Tax (Descending)		Poverty Rate (Ascending)
Rank	State	Rate	State	Rate	State	Poverty Rate
1	New Jersey	2.49%	California (b)	7.25%	New Hampshire	7.30%
2	Illinois	2.27%	Indiana	7.00%	Utah	8.90%
3	New Hampshire	2.18%	Mississippi	7.00%	Maryland	9.00%
4	Connecticut	2.14%	Rhode Island	7.00%	Minnesota	9.00%
5	Vermont	1.90%	Tennessee	7.00%	New Jersey	9.20%
6	Wisconsin	1.85%	Minnesota	6.88%	Colorado	9.30%
7	Texas	1.80%	Nevada	6.85%	Hawaii	9.30%
8	Nebraska	1.73%	New Jersey	6.63%	Massachusetts	9.40%
9	New York	1.72%	Arkansas	6.50%	Washington	9.80%
10	Rhode Island	1.63%	Kansas	6.50%	Nebraska	9.90%
11	Pennsylvania	1.58%	Washington	6.50%	Virginia	9.90%
12	Iowa	1.57%	Connecticut	6.35%	Connecticut	10.00%
13	Ohio	1.56%	Illinois	6.25%	Alaska	10.10%
14	Michigan	1.54%	Massachusetts	6.25%	Wyoming	10.10%
15	Kansas	1.41%	Texas	6.25%	Vermont	10.20%
16	Maine	1.36%	Utah	6.10%	Wisconsin	10.40%
17	South Dakota	1.31%	D.C.	6.00%	North Dakota	10.60%
18	Massachusetts	1.23%	Florida	6.00%	Rhode Island	10.80%
19	Alaska	1.19%	Idaho	6.00%	Maine	10.90%
20	Minnesota	1.12%	Iowa	6.00%	Idaho	11.20%
21	Maryland	1.09%	Kentucky	6.00%	Iowa	11.20%
22	North Dakota	0.98%	Maryland	6.00%	Delaware	11.30%
23	Washington	0.98%	Michigan	6.00%	Kansas	11.40%
24	Missouri	0.97%	Pennsylvania	6.00%	Oregon	11.40%
25	Oregon	0.97%	South Carolina	6.00%	Illinois	11.50%
26	Georgia	0.92%	Vermont	6.00%	California	11.80%
27	Oklahoma	0.90%	West Virginia	6.00%	Indiana	11.90%
28	Florida	0.89%	Ohio	5.75%	South Dakota	11.90%
29	Kentucky	0.86%	Arizona	5.60%	Pennsylvania	12.00%
30	Indiana	0.85%	Maine	5.50%	Nevada	12.50%
31	Montana	0.84%	Nebraska	5.50%	Montana	12.60%
32	North Carolina	0.84%	Virginia	5.30%	Florida	12.70%
33	Virginia	0.82%	New Mexico	5.13%	Missouri	12.90%
34	Mississippi	0.81%	North Dakota	5.00%	New York	13.00%
35	New Mexico	0.80%	Wisconsin	5.00%	Michigan	13.00%
36	California	0.76%	North Carolina	4.75%	Ohio	13.10%
37	Tennessee	0.71%	Oklahoma	4.50%	Georgia	13.30%
38	Idaho	0.69%	South Dakota	4.50%	Arizona	13.50%
39	Arizona	0.66%	Louisiana	4.45%	DC	13.50%
40	Utah	0.63%	Missouri	4.23%	Texas	13.60%
41	Arkansas	0.62%	Alabama	4.00%	North Carolina	13.60%
42	Wyoming	0.61%	Georgia	4.00%	South Carolina	13.80%
43	Nevada	0.60%	Hawaii	4.00%	Tennessee	13.90%
44	West Virginia	0.58%	New York	4.00%	Oklahoma	15.20%
45	South Carolina	0.57%	Wyoming	4.00%	Alabama	15.50%
46	Delaware	0.57%	Colorado	2.90%	West Virginia	16.00%
47	DC	0.56%	Alaska	0.00%	Arkansas	16.20%
48	Louisiana	0.55%	Delaware	0.00%	Kentucky	16.30%
49	Colorado	0.51%	Montana	0.00%	New Mexico	18.20%
50	Alabama	0.41%	New Hampshire	0.00%	Louisiana	19.00%
51	Hawaii	0.28%	Oregon	0.00%	Mississippi	19.60%
	Average:	1.11%	Average:	5.11%	Average:	12.17%
	Median:	0.92%	Median:	6.00%	Median:	11.80%

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