20 Best & Worst Tax States

American taxpayers across the political spectrum generally agree on what would make for a “fair” tax system on the state and local level, but a new study shows that no state has such a tax structure.

The personal finance social network WalletHub on Monday announced the findings of its annual report on the most and least fair state tax systems.

Americans surveyed for the study showed a strong preference for a progressive structure, considering a fair state and local tax system one that taxes upper-income households at a higher rate than lower-income ones.

In that regard, current state and local tax systems, on average, are extremely unfair, according to a Wallethub statement, as “virtually every state has a regressive state and local tax structure.”

The research showed that both “blue” states and “red” states overtaxed the poor and undertaxed the wealthy, relative to what respondents thought was fair.

The wealthy top 1% was most undertaxed in Wyoming, Alaska and South Dakota, while the poor in Washington, Illinois and Florida bore the heaviest tax burden, according to the study.

The middle class was most overtaxed in Arkansas, New York and Hawaii.

To rank the states, WalletHub conducted a nationally representative online survey of 1,050 individuals to assess what Americans thought a fair state and local tax system looked like, then compared what respondents thought was fair with data on the real structure of tax systems in all 50 states.

Following are WalletHub’s 10 fairest and 10 least fair tax states, with each one’s standing among all states in terms of its dependence on property taxes, sales and excise taxes, income and other taxes (1 = least dependent).  BEST STATES:

10: Vermont

Dependence on property taxes: 47

Dependence on sales and excise taxes: 14

Dependence on income (personal and corporate taxes): 13

Dependence on other taxes: 15

9: Maryland

Dependence on property taxes: 17

Dependence on sales and excise taxes: 8

Dependence on income (personal and corporate taxes): 45

Dependence on other taxes: 24

8: California

Dependence on property taxes: 21

Dependence on sales and excise taxes: 16

Dependence on income (personal and corporate taxes): 40

Dependence on other taxes: 25 

7: Minnesota

Dependence on property taxes: 20

Dependence on sales and excise taxes: 24

Dependence on income (personal and corporate taxes): 37

Dependence on other taxes: 20

6: Virginia

Dependence on property taxes: 31

Dependence on sales and excise taxes: 11

Dependence on income (personal and corporate taxes): 39

Dependence on other taxes: 26

5: Idaho

Dependence on property taxes: 16

Dependence on sales and excise taxes: 28

Dependence on income (personal and corporate taxes): 30

Dependence on other taxes: 29

4: Delaware

Dependence on property taxes: 49

Dependence on sales and excise taxes: 3

Dependence on income (personal and corporate taxes): 38

Dependence on other taxes: 49

3: South Carolina

Dependence on property taxes: 29

Dependence on sales and excise taxes: 27

Dependence on income (personal and corporate taxes): 16

Dependence on other taxes: 32

2: Oregon

Dependence on property taxes: 34

Dependence on sales and excise taxes: 1

Dependence on income (personal and corporate taxes): 46

Dependence on other taxes: 41