This Is Where People Pay the Most of Their Income in State Taxes

This Is Where People Pay the Most of Their Income in State Taxes

Taxes are the single largest source of government revenue in the United States. At the federal level, taxes are levied as a percentage of annual income, and in 2022, the average American paid the equivalent of 14.5% of their annual income to the IRS. For the highest earning 1% of the population, the effective tax rate was 26.5% in 2022, while the lowest earning 50% paid less than 4%. (Here is a look at how the United States compares to the count…