It’s Tax Freedom Day!
Today is Tax Freedom Day, the day that American taxpayers have finally earned enough money to pay off their total tax bill and are free to earn money for themselves. This year, Americans will give up an average of 29.4 percent of their income to taxes. Tax Freedom Day for Texans fell earlier this month on April 10th.
Whether you agree with Oliver Holmes in that “taxes are the price we pay for civilized society” or subscribe to Rothbard’s “taxes are theft,” you’re a part of an obligatory system. Under this system, you pay federal, state, county and everything-in-between taxes, all of which the Tax Foundation has accounted for. As a resident of Texas, you pay the 20th lowest* combined federal and state taxes with credence given to the lack of a state income tax, which leaves plenty of room for improvement since 20 states have lower taxes.
Quick Facts About Texas Taxes:
- State Income Tax: 0.0 percent
- Corporate Income Tax: 0.0 percent
- State Sales Tax: 6.25 percent
- Average Local Sales Tax: 1.89 percent
- Property Tax: ~$1562 per capita
*Rankings sorted from taxes paid highest to lowest.