The average income tax rate is 14.9%, and the total tax collected was $2.2 trillion, amounting to 38% of U.S. government revenue. According to a report by the Tax Foundation, here is a list of 8 states with the lowest taxes.
Utah
Utah has a flat income tax rate. The state income tax rate is 4.65%, regardless of single or joint filing. The standard deduction in Utah is structured as a tax credit, allowing a $876 credit for single filers and $1752 for couples. Utah doesn’t have any personal exemptions.
Oklahoma
The income tax rates in Oklahoma range from 0.25%-4.75%, with the lowest tax bracket being $1000 and the highest being $7200 for single filers.
For married joint filers, the lowest bracket is $2000, and the highest is $12,200. The state standard deduction for single filers is $6350 and $12700 for couples. Oklahoma allows personal exemption to $1000 for single filers and $2000 for couples.
Mississippi
Mississippi has a flat income tax rate. The state income tax rate is 4.70%. The tax bracket is $10000, regardless of single or joint filing. The standard deduction is $2300 for single filers and $4600 for couples.
Mississippi also allows personal exemption to $6000 for single filers and $12000 for couples.
Illinois
Illinois has a flat rate of income tax. The state income tax rate is 4.95%. There are no standard deductions, but Illinois allows a personal exemption of $2775 for single filers and $5500 for couples.
Missouri
Missouri’s income tax rates range from 2.00% to 4.80%, with the lowest tax bracket for single filers at $1273 and the highest at $8911. For married joint filers, the lowest bracket is $1207, and the highest is $8449.
The standard deduction for single filers is $14600 and $29200 for couples. Missouri doesn’t have any personal exemptions.
Virginia
The income tax rates in Virginia range from 2.00% to 5.75%, with the lowest tax bracket at $0 and the highest at $17000 for both single and joint filers. The standard deduction for single filers is $8000 and $16000 for couples.
Virginia also allows personal exemption to $930 for single filers and $1860 for couples.
Montana
Montana has a flat rate of income tax. The state income tax rate is 4.70% regardless of single or joint filing. The standard deduction for single filers is $14600 and $29200 for couples.
Montana doesn’t have any personal exemptions.
Georgia
Georgia has a flat income tax rate. The state income tax rate is 5.49% regardless of single or joint filing. The standard deduction for single filers is $12000 and $24000 for couples.
Georgia doesn’t have any personal exemptions.
