Taxation comes in many forms. Although the various income tax brackets and sales taxes may remain constant, state governments still manage to find ways to tax the general population in many ways. We have looked at all the plans for tax increases around the country and figured out which five states are going to be charging more than ever this coming year.
Clothes and shoes under $50 are no longer exempt from a 6.35% sales tax. Yachts and luxury items will now be taxed at 7.75%. In fact, it’s the wealthiest taxpayers who are going to suffer the most in this state. This includes the introduction of two new high-income brackets.
Sales tax has gone up to 6.5% in order to close a gap of $400 million in the budget. Expect further increases to come. Cigarette taxes have also gone up, with a 50-cent levy on every pack of 20. Kansas now has the eighth highest sales tax in the US after leapfrogging over California.
Vermont has raised the cigarette tax by 33 cents on every pack. The soft drinks exemption has disappeared, which means soft drinks will be taxed at 6%.
The Green Mountain State has also lowered the amount millionaires can deduct on tax returns.
- South Dakota
South Dakota is struggling to repair its infrastructure. That is why taxes on cars and gasoline are going up in this state.
In a similar vein to South Dakota, Utah is looking for alternative sources of income through blasting its residents for more money via gasoline taxes.
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