Any guess as to which state has the highest taxes in the nation? Well, it probably will come as no surprise to the people living there, but New York is where it. According to calculations from the Public Policy Institute based on U.S. Census Bureau data for the year 2002, when both state and local taxes are combined, the average New Yorker pays some 48 percent more in taxes than people in other states. Translated, that means each person is paying on average of $4,645 for the privilege of living in New York compared with a paltry $3,149 elsewhere.

You know what this means? If you live and work in New York, the tax per $1,000 of income is $131. Maine is second with $130. Of course, how many people live in Maine anyway? Then we get Wyoming with $122, Hawaii with $121, and Wisconsin coming in at $117. The U.S. average is $104. At the other end of the spectrum, who has the lowest tax? Try the good folks in Tennessee with $84. Must be all that Jack Daniels they're guzzling or selling. Then we have New Hampshire at $85, Alabama at $88, South Dakota at $90 (again, how many people live there?), and Oregon at $91.

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