All states also have their own tax system. Typically there is a tax on real estate, and there may be additional income taxes, sales taxes, and excise taxes. Oil and mineral producing states often have a severance tax, which is similar to an excise tax in that tax is paid on products produced, rather than on sales. Taxes on hotel rooms are common, and politically popular because the taxpayers usually do not vote in the jurisdiction levying the tax.
These states do not levy an individual income tax: Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming. New Hampshire and Tennessee only tax interest and dividend income. Delaware, Oregon, Montana and New Hampshire have no state or local sales tax. Alaska has no state sales tax, but allows localities to collect their own sales taxes up to a state-specified maximum. California has all the mentioned taxes, with the result that tax liability often exceeds 51% of income for many California residents.
Many states also levy personal property taxes, which are annual taxes on the privilege of owning or possessing items of personal property within the boundaries of the state. Automobile and boat registration fees are a subset of this tax; however, most people are unaware that practically all personal property is also subject to personal property tax. Usually, household goods are exempt; but virtually all objects of value (including art) are covered, especially when regularly used or stored outside of the taxpayer's household.
States permit the creation of special assessment districts (typically for provision of water or removal of sewage, or for parks, public transit or schools) whose boundaries may be independent of other boundaries and whose income may be from one or more of service assessments, property taxes, parcel taxes, a portion of road or bridge tolls, or an additional increment upon sales taxes in addition to the non-tax fees for services provided (such as metered water). State government is financed mainly by a mix of sales and/or income taxes and to a lesser extent by corporate registration fees, certain excise taxes, and automobile license fees.
For more free legal information on tax law, please visit tax law.
scheduled cleaning services Arlington Heights ...If your like many, you don't always understand what people... Read More
It's a major fear for most Americans: A notice from... Read More
The 100 year old investment-banking firm of... Read More
Recently, I stumbled across a concept that could change your... Read More
Emerging Legal issues of Tax compliance of e-business Self-assessment system... Read More
Someone once said, 'the best way to calculate your taxes... Read More
While accountants are reaching for aspirin, millions of Americans are... Read More
Misconceptions, misinterpretations and just plain "untruths" are floating about income... Read More
Deducting Your Auto ExpensesAuto deductions are a very complex topic.... Read More
Many small businesses complain when confronted with the expense of... Read More
"What we've got here is a failure to communicate." ... Read More
Donating your used car to charity is a win-win situation;... Read More
The end of tax filing extensions is quickly approaching. What... Read More
1812The first attempt to impose an income tax on America... Read More
In a past article I relayed the plight of the... Read More
Let's assume that you would like to begin saving for... Read More
Ever wish that, as a business owner, you knew exactly... Read More
No one likes paying tax. Everyone understands that tax is... Read More
While there are many equally valid reasons to incorporate, saving... Read More
Statistics for IndividualsUnfortunately, the IRS increased its rate of auditing... Read More
The U.S. Department of Agriculture estimates that it costs nearly... Read More
As an employer, you must pay employment taxes if you... Read More
Following is a reproduction of the IRS's rules and requirements... Read More
All states also have their own tax system. Typically there... Read More
As a sole proprietor, it's wise to familiarize yourself with... Read More
disinfecting cleaning services Winnetka ...We need real tax reform and we need it now.... Read More
Most people trying to make a crust online (or offline... Read More
Misconceptions, misinterpretations and just plain "untruths" are floating about income... Read More
"Depreciation." For business owners, this word is the one most... Read More
April 15 - The most dreaded day of the year... Read More
With the massive losses caused by Katrina, the economy of... Read More
The 100 year old investment-banking firm of... Read More
Most people look forward to getting their tax return, but... Read More
In trying to comply with tax laws for your e-business,... Read More
The knock on the door from a Tax Inspector is... Read More
Each year, the IRS lists various scams taxpayers get caught... Read More
Managing a business small, medium or big requires you to... Read More
We all love to criticize the IRS, don't we? And... Read More
As teachers and students head back to school following a... Read More
The United States is a nation of entrepreneurs. There are... Read More
"What we've got here is a failure to communicate." ... Read More
Ever wish that, as a business owner, you knew exactly... Read More
Recently, I stumbled across a concept that could change your... Read More
Taxpayers have two easy and convenient options for getting copies... Read More
As we enter mid-March, taxpayers begin to become very interested... Read More
One way to maximize your business profits is by reducing... Read More
Deduction of Refinance PointsAny points that you pay in the... Read More
Over 50% of marriages end in divorce in the United... Read More
On June 3, 2005, the IRS released guidance on charitable... Read More
Self-assessment relies on taxpayers voluntarily meeting their tax obligations. This... Read More
Tax |