no shock that the highest rated states were perceived liberal strongholds. but here is how the "state rankings" are rigged in the study
Posted by
moles (aka chris)
Feb 24 '11, 11:05
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From the Tax Foundation's own study summary:
"Here are some examples of the differ�ence between collections (focusing on the tax collector) and burdens (focusing on the taxpayer):
� When Connecticut residents work in New York City and pay income tax there to both the state and the city, the Census Bureau will duly tally those amounts as New York tax collections, but we will count them as part of the tax burden of Connecticut's residents.
� When Illinois and Massachusetts residents own second homes in nearby Wisconsin or Maine, local governments in Wisconsin and Maine will tally those property tax col�lections, but we will shift those payments back to the states of the taxpayers.
� When people all over the country vacation in Disney World or Las Vegas, tax collec�tors will tally the receipts from lodging, rental car, restaurant and general sales taxes in Florida and Nevada, but we will use eco�nomic tools to tally those payments in the states where the vacationers live."
So they're not actually making a straight state-by- state tax burden comparison. They're making the value judgment to ascribe ANY taxes paid by any person in ANY state to that person's home state.
And then reach with the shocking conclusion that residents of the richest states might actually pay the most overall taxes for all their activities (not just income or property) in all the other states beside their home state
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