Where do you want to live? If you make a lot of money, you might want to find a state with a low income Tax Rate. Here are the top 3 states with the highest income taxes, as of 2016.
1. California at 13.3%
What natural or financial catastrophe has not hit California as of late? Governor Terminator was selling off state assets due to the large state budget deficits. The 39 million residents of California had rolling blackouts years ago.
For 2017, California had a debt of $456 billion. Now, you know why the California income tax Rate is 13.3%. “Unlucky 13 anyone?”
After 6 years of drought, the 2017 spring thaw has led to some California dams leaking. Every spring, California has wild fires. It even has had an underground storage tank leaking for years. If the San Andreas earthquake doesn’t take it, maybe the Chinese will.
2. Oregon at 9.9%
Portland, Oregon is the American city with the most “religiously unaffiliated.” There are 4 million residents of the former Oregon Territory. They all followed the admonition to “Go West, Young Man!”
The land of tall Douglas fir, pine and juniper trees has an income tax rate of 9.9%. The State of Oregon had a 2017 budget deficit of $2 billion. Oregon has replaced California as the primary promoter of controversial political agendas. Maybe, that is why its income tax rate is so high.
3. Minnesota at 9.85%
The “Land of 10,000 Lakes” has taconite mines in the north and dairy farms in the south. Its economy has been stuck in mud as it has gained a reputation for being “a high tax, do-nothing” state.
Once, it had the best educational system and roads. In 2017, its Minneapolis school system revealed a deficit of $22 million. The Minnesota Governor has threatened to tax anyone trying to leave.
Minnesota had a budget deficit for 2017 of about $3 billion. The state is seeing some of its best health care firms head to Ireland due to high taxes. Its 9.85% income tax rate is the highest east of the Rocky Mountains. And many residents are wondering “Why?”
Perhaps, the best claim to fame of Minnesota is having its top athletes leave the state to win championships. This has even happened with entire franchises – Los Angeles Lakers and Dallas Stars – were both originally headquartered in Minnesota.
David Milberg is a financial analyst in New York.