charge taxes for any valuables? What does this mean?
2007-12-17 07:18:01 · 7 answers · asked by mybusiness2 1 in Business & Finance ➔ Taxes ➔ United States
I think there are 8 states that don't have in income tax.
That means that 42 states do. (Some cities have income tax, too.)
The reality is that states and local governments have far more freedom to tax you into the grave than the Fed does. For more than a century of our history, federal income taxes were struck down by the Supreme Court as unconstitutional, and we had to have an amendment to change that.
(I think it took about 30 seconds after that amendment for politicians to get to work on the Revenue Act, and if I remember, that act was made retroactive back to the passing of the amendment!)
2007-12-17 08:39:25 · answer #1 · answered by Anonymous · 0⤊ 0⤋
The few states that do not have a state income tax generally have to 'make up' for that lost revenue, somehow. A tax on valuables (also called a luxury tax) would be one way to make up for lost revenue from a lack of income tax.
Property tax is another tax on valuables, but just about every state has that kind of tax. The property tax rate is sometimes higher in states where there is no income tax, but not always.
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2007-12-17 07:23:43 · answer #2 · answered by tlbs101 7 · 1⤊ 0⤋
Just because a state chooses not to tax an individual's income, doesn't automatically mean that they do not have the right to do so at a later date. It just means that they have a sufficient amount of income from other sources to maintain the state's infrastructure.
2007-12-17 08:27:00 · answer #3 · answered by RUSerious 7 · 0⤊ 0⤋
Several states don't have income tax, New Hampshire and Florida being two of them. It's a state legislative decision. They may tax other things for revenue, such as real or personal property--again, another legislative call.
2007-12-17 07:46:03 · answer #4 · answered by LEW 3 · 0⤊ 0⤋
It means that don't take a percentage of your pay. In Illinois They do have a income state tax ,if your employed and make 50K a year they have a 3% income tax. they take 3% of your pay out of every check. At he end of the year that would eqaute to $1500.00. If you are self employeed they tax your earnings @ 3% as well
2007-12-17 07:23:49 · answer #5 · answered by The Buckeye fan 2 · 0⤊ 2⤋
Some states like Texas get their revenue from oil extraction.
2007-12-17 08:27:42 · answer #6 · answered by Bibs 7 · 0⤊ 0⤋
michigan has income tax, they are to damn high
2007-12-17 07:22:22 · answer #7 · answered by Drew 4 · 0⤊ 0⤋