Pushed out of the top ten again - Commonwealth Foundation

The Tax Foundation has released their yearly report ranking the state tax burden for all 50 states. Pennsylvania comes in at number 11 (1 being the worst). PA consistently ranks high, with our best showing at number 24 (in 1990). Over the years Pennsylvania has consistently raced ahead other states climbing from 17 to 16 to 13 but has struggled to break the top ten.

Using Census Data, the foundation reports Pennsylvania’s per-capita income at $43,796, with $4,463 going to state and local taxes. Of that total $3,054 was paid to the commonwealth, and $1,409 per capita was paid to other states. In comparison, the US average for taxes paid to other states is $1,358.

In 1990 US taxpayers contributed approximately 9.9% of their income to state and local taxes, Pennsylvanians paid 9.8%. While the US average has decline (to 9.7%), PA’s tax burden has risen to 10.2% in 2008. That may not seem like a big difference, but for a family of four 0.4% means approximately $700.

Perhaps our high tax burden is related to the fact that Pennsylvania legislators make $76,163 a year, ranking fourth behind New York, Michigan, and California.

If you want more depressing facts read the rest of the story from the Pittsburgh Business Times. If you want to find out how to lower taxes by controlling state spending check out PAdietplan.com.