The Washington, D.C.-based Tax Foundation has released its 2011 special report ranking the state and local tax burdens on the residents of every state. The study found that Nevada residents paid the second lowest state-local tax burden in the nation in fiscal year 2009 and gave up 7.5 percent of their income in state-local taxes. Accordingly, Nevada’s state-local tax burden is ranked 49th.
On the other hand, citizens of New Jersey, New York and Connecticut paid the highest state-local tax burdens and gave up 12 percent or more of their income in state-local taxes. As a point of reference, the U.S. average state-local tax burden in 2009 was 9.8 percent.
The special report also includes two tables, Table 3 and 4, which provide the Tax Foundation’s rankings and state-local tax burdens for selected fiscal years dating back to 1977. As the tables indicate, Nevada’s 2009 ranking is consistent with prior years. Indeed, the tables reveal that Nevada has been ranked as one of the least taxed states in the nation over the past few decades.