Highest and Lowest Tax States 2026 — Total Tax Burden Compared
Looking only at income tax rates is misleading. Texas has no income tax but high property taxes. Washington has no income tax but a 10%+ combined sales tax. The real comparison is total tax burden — income tax plus property tax plus sales tax. Here's how all 50 states stack up.
Calculate your specific state income tax with the State Income Tax Calculator.
Total Tax Burden by State (Top and Bottom 10)
10 Highest Total Tax Burden States
| Rank | State | Income Tax | Property Tax | Sales Tax | Total Burden* |
|---|---|---|---|---|---|
| 1 | New York | 10.9% max | 1.62% | 8.0% avg | ~12.5% |
| 2 | Connecticut | 6.99% max | 2.15% | 6.35% | ~12.4% |
| 3 | New Jersey | 10.75% max | 2.47% | 6.625% | ~12.2% |
| 4 | California | 13.3% max | 0.71% | 8.68% avg | ~11.5% |
| 5 | Illinois | 4.95% flat | 2.23% | 8.81% avg | ~11.0% |
| 6 | Vermont | 8.75% max | 1.90% | 6.0% | ~10.8% |
| 7 | Minnesota | 9.85% max | 1.11% | 7.49% avg | ~10.5% |
| 8 | Maryland | 5.75% + local | 1.07% | 6.0% | ~10.2% |
| 9 | Oregon | 9.9% max | 0.93% | 0% | ~10.0% |
| 10 | Massachusetts | 5.0% flat | 1.21% | 6.25% | ~9.9% |
Total burden = approximate percentage of a median household income going to state/local taxes
10 Lowest Total Tax Burden States
| Rank | State | Income Tax | Property Tax | Sales Tax | Total Burden* |
|---|---|---|---|---|---|
| 1 | Alaska | 0% | 1.19% | 1.76% avg | ~5.2% |
| 2 | Delaware | 6.6% max | 0.57% | 0% | ~6.1% |
| 3 | Montana | 6.75% max | 0.83% | 0% | ~6.6% |
| 4 | Wyoming | 0% | 0.61% | 5.36% avg | ~6.8% |
| 5 | Tennessee | 0% | 0.71% | 9.55% avg | ~7.0% |
| 6 | Florida | 0% | 0.89% | 7.01% avg | ~7.1% |
| 7 | New Hampshire | 0%* | 2.18% | 0% | ~7.2% |
| 8 | Nevada | 0% | 0.60% | 8.23% avg | ~7.3% |
| 9 | South Dakota | 0% | 1.28% | 6.40% avg | ~7.5% |
| 10 | Oklahoma | 4.75% max | 0.90% | 8.98% avg | ~7.6% |
The Trade-Off Pattern
States balance their revenue across three main tax types. When one is low, another tends to be high:
| State Pattern | Income Tax | Property Tax | Sales Tax |
|---|---|---|---|
| Texas | None | High (1.80%) | Moderate-High (8.19%) |
| California | Very High (13.3%) | Low (0.71%) | High (8.68%) |
| New Hampshire | None | Very High (2.18%) | None |
| Oregon | High (9.9%) | Moderate (0.93%) | None |
| Florida | None | Moderate (0.89%) | Moderate (7.01%) |
Oregon has no sales tax but high income taxes. New Hampshire has no income or sales tax but very high property taxes. No state is truly "tax-free" — they just collect in different ways.
Best State for Your Situation
The "best tax state" depends on your income, home ownership, and spending:
| If You... | Best States |
|---|---|
| Have high income, rent | Alaska, Florida, Nevada, Texas, Wyoming |
| Have high income, own expensive home | Alaska, Delaware, Hawaii |
| Have moderate income, rent | Alaska, South Dakota, Wyoming |
| Are retired | Florida, Tennessee, Nevada (no income tax on retirement) |
| Are self-employed | Texas, Wyoming, Florida (no SE state income tax) |
| Work remotely (choose where to live) | Nevada, South Dakota, Wyoming (low overall burden) |
For all 50 state income tax rates, see State Income Tax Rates 2026. For moving tax implications, read State Tax After Moving. And for retirement-specific state tax info, check State Tax on Retirement Income.
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