Residents in different states face varying tax burdens, with Hawaii topping the list at nearly 14% of income paid to state and local governments. Alaska residents fare better, paying only 4.9%. Tax burden is a better indicator than tax rates, as it encompasses all state and local taxes, including income, property, and sales taxes.

Illinois residents pay about 9.9% of their income in combined state and local taxes, driven by high property taxes and moderate income tax rates. Rhode Island and California residents face burdens of 10.5% and 10.3% respectively, with high property and income taxes contributing to the overall tax burden.

Connecticut, Minnesota, Maine, and Vermont residents face tax burdens ranging from 10.2% to 10.8%, with high property and income taxes being the primary drivers. New Jersey ranks highest with a 10.7% tax burden, largely due to high property and income taxes. New York follows closely behind, with a total tax burden of 12.28%.

Hawaii has the highest tax burden in the country, with residents paying 14% of their income to state and local governments. A major contributor is the 11% income tax rate, second only to California. Vermont and New York also have high tax burdens, exceeding 10%. The tax burden is a combination of income, property, and sales taxes.

Read more at Yahoo Finance: 10 States Crushing Wallets with Sky-High Tax Burdens In 2026