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Most & Least Taxing States 2013

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

Photograph by Elise Amendola/AP Photo

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Top income tax rate: 7%
Sales tax: 6%
Property tax per capita: $598

Arkansas ranks 43rd in per capita revenue from state and local taxes, according to the Tax Foundation. Census data show that the majority of revenue comes from sales tax (37.2 percent) and income tax (22 percent); property tax accounts for 18.3 percent. 

The state cut taxes for the 2012 fiscal year and in July of 2012 reduced sales taxes on groceries and taxes on the utility bills of manufacturers. However, voters in 2012 approved a constitutional amendment that temporarily increases the state sales tax by 0.5 percent for 10 years so that Arkansas could raise transportation funds.