September 28, 2009
Barron’s Quotes Tax Foundation Staff Economist Mark Robyn on State Taxes
By Karen Hube
As former CEO of South African Airways and co-founder of Bain Capital, Coleman Andrews has spent his career in some of the world's biggest financial hubs. So, considering that he isn't planning to retire soon, his current home state—Wyoming—might seem to be an unlikely choice. Why is he there? "Economics," Coleman says. "A zero-percent tax rate is better than a 10% tax rate." ...
California has the nation's fourth-highest income tax (10.55%) behind Hawaii and Oregon (both with 11%) and New Jersey (10.75%). It also has the sixth-highest overall tax burden, according to the nonpartisan Tax Foundation. In contrast, Texas has the eighth-lowest tax burden and is one of nine states that don't tax earned income. The others: Washington, Florida, Tennessee, New Hampshire, South Dakota, Wyoming, Nevada and Alaska. ...
"Eve if the economy recovers soon, state revenues tend to lag behind the economy," says Mark Robyn, economist at the Tax Foundation. "The stimulus money won't be there anymore, there will be shortfalls, and states may be looking at increasing taxes."
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