momof2inPA said:
This one from CNN has us 35 out of 50. Not bad for the services, I think:
http://money.cnn.com/pf/features/lists/taxesbystate2005/index.html
Plus, I'm pretty sure our school fare better than most (not all) of the fifteen with lower taxes. I'm kind of proud to be a Pennsylvanian.
I live in PA by choice not due to birth or a job. So I am happy here. I live in the country and have a great standard of living and live in one of the few parts of the state with great weather (very mild and not snowy winters).
Lets look at the numbers.
33-35 are all the same with 9.70.
If you look for the national average of 10.10 then you are at state #22. So a very small percentage change in our taxes and we really jump up the chart. I am not sure if the tax rate of 3.07% was in effect in 2005 or is the new 2006 rate.
National average is 10.10% and we pay 9.70% (only 4% less than the average) .
Del is only 8.00%. Not a bad place to live.
NJ is 10.40% and is thought to be a VERY high tax state (only 4% above the average and only 7.2% higher than PA).
Mass is 9.8, and all we hear are the taxachusetts jokes. So maybe the joke is on those who think they have such a lower tax burdon than the high tax states.
ETA: According to the US Governement PA is ranked 22. That is just what I said. This is the one that I had originally seen. BTW 3.07% was the 2005 rate. I will see if I can find the 2006 rate.
http://www.census.gov/govs/statetax/05staxrank.html
Also
http://www.taxfoundation.org/research/topic/54.html states the PS is 18th.
Also don't forget this fun little tax: "Pennsylvanias personal income tax system consists of a flat rate of 3.07% on all personal income. Pennsylvanias top rate ranks 2nd lowest among states levying an individual income tax. However, most of Pennsylvania's taxpayers also pay a local tax on earned income, commonly 1% or 1.5%, with Scranton and Wilkes-Barre above that, and Philadelphia well above that."
And from
http://www.retirementliving.com/RLstate3.html#PENNSYLVANIA
"PENNSYLVANIA
Sales Taxes
State Sales Tax: 6% (food; clothing, text books, heating fuels, prescription and non-prescription drugs exempt) Other taxing entities may add up to 1%.
Gasoline Tax: 32.2 cents/gallon
Diesel Fuel Tax: 34.0 cents/gallon
Gasohol Tax: 32.2 cents/gallon
Cigarette Tax: $1.35/pack of 20
Personal Income Taxes
Tax Rate Range: Flat rate of 3.07%
Personal Tax Exemptions: None
Standard Deduction: None
Medical/Dental Deduction: None
Federal Income Tax Deduction: None
Retirement Income Taxes: At 59½, Social Security, civil service, state/local government, and private pensions are exempt. IRAs are exempt as are out-of-state government pensions.
Retired Military Pay: Not taxed after age 59 1/2.
Military Disability Retired Pay:
Disability Portion - Length of Service Pay: Member on September 24, 1975 -- No tax; Not Member on September 24, 1975 -- Taxed, unless combat incurred. Retired Pay -- Based solely on Disability. Member on September 24, 1975 -- No tax. Not Member.
VA Disability Dependency and Indemnity Compensation: Not subject to federal or state taxes
Military SBP/SSBP/RCSBP/RSFPP: Generally subject to state taxes for those states with income tax. Check with state department of revenue office.
Property Taxes
Property taxes are levied by local governments (counties, municipalities and school districts). The tax cannot exceed 30 mills on the assessed valuation of the property without special permission from the courts. Households with claimants or spouses 65 years of age or older, widows or widowers 50 years of age or older and the permanently disabled 18 years of age or older meeting income eligibility requirements may qualify for this program. Rebates of paid property tax or rent, up to a maximum of $500 per year, are available. To qualify, annual household eligibility income must not exceed $15,000. Act 30-1999 expanded the Property Tax/Rent Rebate program by excluding 50% of Social Security payments and 50% of Railroad Retirement benefit payments from eligibility income. Call 717-787-8201 for details. Counties may levy an intangible personal property tax, which taxes stocks, bonds and other personal property taxpayers may own. Not all counties levy this tax.
Inheritance and Estate Taxes
The Pennsylvania inheritance tax is calculated at a percentage of the value of the assets transferred which is determined by the relationship of the heir to the decedent and the decedent's date of death. The tax rate is 4.5% for transfers to direct descendants (lineal heirs), 12% for transfers to siblings, and 15% for transfers to other heirs (except charitable organizations, exempt institutions, and government entities). Property owned jointly between husband and wife is exempt from the tax, while property inherited from a spouse, or from a child 21 or younger by a parent is exempt. The estate tax is related to federal estate tax collection"