Alabama Is Number 1 (or No. 50 Depending on Your View)
The U.S. Census numbers for 2007 just came out and Alabama has the lowest per capita state and local tax burden in the nation. Some Alabama politicians are crowing about that. After all, Alabama citizens pay only $2,909 a year in combined state and local taxes. That compares to $6,898 in New York, $6,044 in Connecticut, and $5,944 in New Jersey.
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[However, t]he states with the lowest per capita tax burdens inevitably have the lowest per capita spending on public services.
View TaxAnalysts' David Brunori's opinion in its entirety on TAX.com.