No personal taxes in 7 states

rossie1977

Going to get you some way. States simply cannot pay for education, health care, roads, bridges, parks, beaches etc without some form of tax coming in.

Washington state has among highest petrol and oil tax in the country. Nevads has their gaming tax plus higher sales tax. Tennessee has highest sales tax in the country. NH has some of highest property tax.

Speaking of Texas it has above average sales tax and property tax and of course Texas benefits massively from it location and is rich in oil money.

Geuze

Kewreeuss wrote: »

I have just read an article about tech companies that have moved some of their business from Silicon Valley to Texas.
It mentioned that Texas is one of 7 states where they don't pay personal taxes.

Do they meant income tax? Why don't they pay it?
Where does the money come from to run things?

The USA is a federation, like DE, AUS, BE, CH, etc.

Federations have several levels of Govts.

Each level has some taxing power, typically.

Different federations have different ways to allocate taxing powers.

donspeekinglesh

rossie1977 wrote: »

Speaking of Texas it has above average sales tax and property tax and of course Texas benefits massively from it location and is rich in oil money.

And, like pretty much every red state, requires a funding top up from the federal government.

Geuze

correct horse battery staple wrote: »

The delinquent property tax caught my eye, that would help in Ireland

Vacant Site Levy exists, though not very successful.

Geuze

JustAThought wrote: »

Unlike here - where all the burden is on the worker and corporations pay a pittance which they can then mostly write off against other costs in their end of year accounting.

Just to be clear - all taxes are paid by people, and only people pay taxes.

Any Corporation Tax on profits is paid by:

(1) company staff
(2) company customers
(3) company shareholders

Geuze

lawred2 wrote: »

But property tax is for socialists I thought..

Property taxes are the best taxes.

Ireland is odd, in that many of the "socialists" here are against property taxes.

Even though property taxes are a form of wealth tax.

Manic Moran

donspeekinglesh wrote: »

And, like pretty much every red state, requires a funding top up from the federal government.

Every state receives federal aid in one form of another.

https://comptroller.texas.gov/economy/fiscal-notes/2017/november/federal-funding.php

Texans sent the federal government $261 billion in taxes in 2016, and the state government received $39.5 billion in grants in return, or about 15 percent of our total federal tax tab. Those grants were the state’s second-largest revenue source, providing more than a third of its net revenue in that year. (State taxes, by contrast, supplied nearly 44 percent.)

Meanwhile, in California:
https://calbudgetcenter.org/resources/federal-funds-comprise-one-third-californias-state-budget-supporting-broad-range-public-services-systems/#:~:text=Fact%20Sheet-,Federal%20Funds%20Comprise%20Over%20One%2DThird%20of%20California's%20State%20Budget,of%20Public%20Services%20and%20Systems&text=This%20is%20more%20than%20one,for%20the%20current%20fiscal%20year.
The current state budget includes nearly $96 billion in federal funds for 2016-17, the fiscal year that began last July 1. This is more than one-third (36 percent) of the total state budget, which also includes more than $170 billion in state funds for the current fiscal year.

This means that California received more in state budget aid than Texas on a per-population basis. ($1.3bn/million people for Texas, about $2.4bn/million for California)

The figure which is commonly cited about states which get more than they put in such as here, https://www.usnews.com/news/best-states/articles/2020-05-15/some-states-like-new-york-send-billions-more-to-federal-government-than-they-get-back refers not only to federal aid to the states, but federal expenses within the state. In Texas' case, that includes a significant part of the money used for Border Patrol given Texas has most of the Southern border, and a number of the largest military bases in the world: JBSA, Ft Hood and Ft Bliss.

paul71

JustAThought wrote: »

different personal tax rates in different states across america. Perhaps unlike here they don’t all tax effort, ambition and endeavour into the ground while rewarding those who will not work with free houses for life and cash handouts on the back of the hardworking poor.

Perhaps they actually use the income from taxes such as road tax, water taxes etc to actually upkeep and provide these services - as well as taxes from other sources such as oil (Texas!!), heavy industry etc. Unlike here - where all the burden is on the worker and corporations pay a pittance which they can then mostly write off against other costs in their end of year accounting.

Radical concept isnt it - keeping most of the money you work for and earn.

Pay for the society that affords you your education, system of law, healthcare, illness and unemployment parachute, roads, social contract between low and high earners to ensure some level of social stbility. Radical concept isn't it. Alternatively you could try an anarchist society where you are free to ignore tax and all the benefits it brings.

Perhaps Somalia a decade ago, Ukraine in the early 1920s.