Come here often? Make XFINITY.com your homepage » close

close

Your XFINITY Connect session has timed out due to inactivity. Click here to go back close

24/7 Wall St.: 6 States Where Taxes Are Soaring

1. Delaware

Increase in personal income tax: none
Expenditure per capita (2008): $6,800 (3rd highest)
2009 budget shortfall: 12.2% (18th highest)
Home price decline from peak: 20.3% (16th largest)

In the past three years, the state of Delaware spent $6,800 per person in its annual budget, approximately two-and-a-half times as much as Nevada. The state’s government spent the 10th-most per person in the country on Medicare in 2009, and the 13th-most per person on pensions. In its fiscal year 2011 budget, the state was forced to address an 11.4% budget gap by cutting funds to education and the state workforce.

Despite these cuts, the recession has weighed heavily on the state’s budget. Delaware has experienced among the biggest declines in home values in the country over the past five years. The state raised tax revenues to help address the resulting budget gap. These hikes included at least 5% increases in corporate and cigarette taxes. The state also temporarily raised the cap on the corporate franchise tax from $165,000 to $180,000. As a result of these and other changes, state tax revenue increased by more than 9% between 2009 and 2011.

(iStock Photo)

More From 24/7 Wall St.:
America’s Disappearing Restaurant Chains
American Cities Where Manufacturing Is Booming
States Where Seniors Cannot Afford to Live



The opinions expressed are solely those of the author and do not necessarily reflect the views of Comcast.

Ad Info - Ad Feedback

Ad Info - Ad Feedback

Loading...