Saturday, August 2, 2014
My Account  | Login
Nashua;68.0;http://forecast.weather.gov/images/wtf/small/nskc.png;2014-08-02 02:31:38
Wednesday, April 9, 2014

NH tax burden is (almost) lowest in country despite lots of property tax

The total amount of tax collected by the state of New Hampshire is less than that of almost any other state, and barely half the total collected in Massachusetts, according to just-released data from the U.S. Census Bureau.

The data also shows New Hampshire’s reliance on property taxes. More than one-sixth of all taxes collected by New Hampshire are property taxes, the highest percentage of any state in the country except for Vermont. ...

Sign up to continue

Print subscriber?    Sign up for Full Access!

Please sign up for as low as 36 cents per day to continue viewing our website.

Digital subscribers receive

  • Unlimited access to all stories from nashuatelegraph.com on your computer, tablet or smart phone.
  • Access nashuatelegraph.com, view our digital edition or use our Full Access apps.
  • Get more information at nashuatelegraph.com/fullaccess
Sign up or Login

The total amount of tax collected by the state of New Hampshire is less than that of almost any other state, and barely half the total collected in Massachusetts, according to just-released data from the U.S. Census Bureau.

The data also shows New Hampshire’s reliance on property taxes. More than one-sixth of all taxes collected by New Hampshire are property taxes, the highest percentage of any state in the country except for Vermont.

According to Census Bureau data, New Hampshire collected $1,791 in taxes per person in 2013. Only Florida ($1,769) and Georgia ($1,781) were lower.

Massachusetts collected almost twice as much: $3,571.

Maine collected $2,924 per person while Vermont collected $4,594, the third-highest in the country behind Alaska and North Dakota, whose tally is thrown off by the huge amount of taxes collected as a consequence of that state’s oil-drilling boom.

Vermont’s tally included an astonishingly large amount of
property taxes: one-third of the total collected was property taxes. In New Hampshire, one-sixth of total taxes were from property taxes; only Wyoming, another state lacking sales and income taxes, was close at 15.2 percent.

The data is tallied by the federal government as a way to keep an eye on the economy, not to provide state bragging rights. According to the Census Bureau, state government tax revenue increased by 6.1 percent from fiscal year 2012 to a record $846.2 billion in 2013.

Surprisingly, New Hampshire was among the top five states that saw the largest percentage increase in revenue garnered from individual income taxes, even though we don’t have an income tax.

That’s because we do have a limited income tax: Interest and dividends are taxed when they get above a certain point. Revenue from this source increased 21.4 percent in 2013 as compared to 2012, mostly a sign of the booming stock market.

The Census Bureau data doesn’t include employer and employee assessments for retirement and social insurance purposes, or unemployment compensation taxes. They also don’t include federal taxes or “tax collections from local governments” – which does not include property taxes.

David Brooks can be reached at 594-6531 or dbrooks@nashua
telegraph.com. Also, follow Brooks on Twitter (@GraniteGeek).