Most & Least Taxing States 2013

By Rebecca Helmes of Bloomberg BNA - 2013-04-19T17:41:14Z

Photograph by Jens Lucking/Cultura/Getty Images

Company Symbol % Change
24 of 54

Minnesota

Top income tax rate: 7.85%
Sales tax: 6.875%
Property tax per capita: $1,412
Estate tax: 0.8% to 16% with a $1 million exemption

Governor Mark Dayton proposed in January to plug a $627 million budget shortfall in part by lowering the sales tax rate and broadening the tax base to include previously untaxed services like auto repair, travel services and legal services. Strong opposition led him to scrap the proposal in favor of tax increases on cigarettes, corporations and higher earners to fund investments in preschool programs, all-day kindergarten and public colleges. He is also advocating a “snowbird” tax on capital gains from stock and bond investments, as well as interest income, for people who live in Minnesota for 60 days to just under six months of the tax year.

Advertisement