West Virginia is the Fifth Biggest Net Receiver of Federal Spending in 2013

Nov 19, 2015

 

 West Virginia Tax and Spend Ratio Infographic FY 2013.jpg

Please share Infographic (right click, "save image as")

 

In the course of collecting taxes and spending money, the federal government inevitably creates “winners” and “losers” across the American landscape. In Fiscal Year (FY) 2013, West Virginia is the fifth biggest net receiver of federal spending relative to federal taxes paid.

 

 

 

As shown in Chart 1, West Virginia paid $7,275 per person in federal taxes in FY 2013—this was -32 percent below the national average ($10,722 per person) and ranked as the 2nd lowest level in the country.

 

 Chart 1 West Virginia Federal Taxes Per Capita by State Fiscal Year 2013.jpg

 

Federal Taxes by Type in FY 2013:

 

 

  • Corporate Income Tax: The federal corporate income tax paid in West Virginia was $593 per person—this was below the national average of $865 per person by -31 percent and ranked as the 2nd lowest in the country.

 

  • Payroll Tax: The federal payroll tax paid in West Virginia was $2,450 per person—this was below the national average of $2,998 per person by -18 percent and ranked as the 7th lowest in the country.

 

  • Excise Taxes: Federal excise taxes paid in West Virginia was $269 per person—this was above the national average of $266 per person by 1 percent and ranked as the 30th highest in the country.

 

  • Estate and Gift Taxes: Federal estate and gift taxes paid in West Virginia was $17 per person—this was below the national average of $60 per person by -71 percent and ranked as the 3rd lowest in the country.

 

  • Custom Duties: Federal custom duties paid in West Virginia was $82 per person—this was below the national average of $101 per person by -18 percent and ranked as the 2nd lowest in the country.

 

  • Miscellaneous Taxes: Federal miscellaneous taxes paid in West Virginia was $265 per person—this was below the national average of $325 per person by -18 percent and ranked as the 2nd lowest in the country.

 

  • Deficit: The federal deficit, which is deferred taxation, accrued in West Virginia was $1,272 per person—this was below the national average of $1,944 per person by -35 percent and ranked as the 6th lowest in the country.

 

On the other hand, as shown in Chart 2, West Virginia received $11,519 per person in federal spending in FY 2013—this was 7 percent above the national average ($10,722 per person) and ranked as the 17th highest level in the country.

 

 Chart 2 West Virginia Federal Spending Per Capita by State Fiscal Year 2013.jpg

 

Federal Spending by Type in FY 2013:

 

  • Retirement and Disability: Federal retirement and disability payments (for example, Social Security and Medicare) in West Virginia was $4,649 per person—this exceeded the national average of $3,318 per person by 40 percent and ranked as the highest in the country (see our unique app showing federal pension data).

 

  • Other Direct Payments: Federal other direct payments (for example, the Earned Income Tax Credit) in West Virginia was $2,707 per person—this was above the national average of $2,500 by 8 percent and ranked as the 15th highest in the country.

 

  • Grants to State and Local Governments: Federal grants to state and local governments (for example, Medicaid) in West Virginia was $2,065 per person—this exceeded the national average of $1,811 by 14 percent and ranked as the 15th highest in the country.

 

  • Procurement: Federal procurement (for example, Department of Defense) in West Virginia was $664 per person—this was below the national average of $1,337 by -50 percent and ranked as the 33rd highest in the country.

 

 

  • Interest on National Debt: Federal interest paid on the national debt in West Virginia was $417 per person—this was below the national average of $699 by -40 percent and ranked as the 2nd   lowest in the country.

 

Overall, #WestVirginia receives $1.58 in #federalspending for every $1.00 sent to Washington, D.C. in #federaltaxes. (Click to Tweet) As shown in Chart 3, West Virginia’s federal tax and spend ratio is the fifth highest in the country.

 

 Chart 3 West Virginia Federal Tax and Spending Ratios by State Fiscal Year 2013.jpg

 

Of course, federal taxes paid and federal spending received do not flow evenly throughout the state. As such, we have also calculated the federal tax and spending ratios for every county in West Virginia—though this was based on slightly older FY 2010 data.

 

 

 

The top ten West Virginia counties with the highest federal tax and spending ratios include:

 

  • McDowell County, WV ($3.89)
  • Summers County, WV ($2.95)
  • Gilmer County, WV ($2.62)
  • Webster County, WV ($2.35)
  • Calhoun County, WV ($2.33)
  • Clay County, WV ($2.18)
  • Mingo County, WV ($2.15)
  • Pendleton County, WV ($2.08)
  • Fayette County, WV ($2.07)
  • Kanawha County, WV ($2.06)

 

The bottom ten West Virginia counties with the lowest federal tax and spend ratios include (only 2 counties receive less in federal spending than they pay in federal taxes): 

 

  • Putnam County, WV ($0.63)
  • Morgan County, WV ($0.95)
  • Marshall County, WV ($1.04)
  • Jefferson County, WV ($1.05)
  • Pleasants County, WV ($1.10)
  • Hampshire County, WV ($1.14)
  • Taylor County, WV ($1.15)
  • Berkeley County, WV ($1.21)
  • Upshur County, WV ($1.25)
  • Tyler County, WV ($1.26)

 

More county detail for West Virginia is shown in the color-coded map below.

 

Note: The data is based on the federal fiscal year that runs from September 1 to October 30.

 

Click here to view our full federal tax and spending data app with details by state, by county, by type of tax and spending, and over time.

 

 West Virginia Tax and Spending Ratios by County FY 2010.jpg

Please share Infographic (right click, "save image as")



Wendy Warcholik

Dr. Wendy P. Warcholik has worked as an Economist in public policy settings for over 13 years. Her professional experience includes: Economist at the Bureau of Economic Analysis, Adjunct Scholar with The Tax Foundation, and Research Fellow at The Oklahoma Council of Public Affairs. She received her PhD in Economics from George Mason University (Fairfax, VA).


blog comments powered by Disqus

Check Out Our Unique Apps:

U.S. Capitol.jpg

Government Workforce

Tax Squeeze.jpg

Tax Burden

Strings Attached to Federal Dollars.jpg

Federal Tax and Spend

Hundred Dollar Bill.jpg

Cost of Living (COLI)

Baby.JPG

Demographic

Measuring a Dollar.jpg

Federal Tax & COLI

Retired.jpg

Federal Pension

United States Office of Personnel Management Seal.jpg

Federal Payroll

Check Out All Posts For Your State:

Alabama.jpg  Alabama

Alaska.jpg  Alaska   

Arizona.jpg   Arizona 

Arkansas.jpg  Arkansas

California.jpg  California

Colorado.jpg  Colorado

Connecticut.jpg  Connecticut

 Delaware.jpg  Delaware

Florida.jpg  Florida

 Georgia.jpg  Georgia

Hawaii.jpg  Hawaii

  Idaho.jpg  Idaho

   Illinois.jpg  Illinois

   Indiana.jpg  Indiana

  Iowa.jpg  Iowa

  Kansas.jpg  Kansas

  Kentucky.jpg  Kentucky

   Louisiana.jpg  Louisiana

   Maine.jpg  Maine

  Maryland.jpg  Maryland

Massachusetts.jpg  Massachusetts

Michigan.jpg  Michigan

Minnesota.jpg  Minnesota

  Mississippi.jpg  Mississippi

Missouri.jpg  Missouri

Montana.jpg  Montana

Nebraska.jpg  Nebraska

Nevada.jpg  Nevada

New Hampshire.jpg  New Hampshire

New Jersey.jpg  New Jersey

New Mexico.jpg  New Mexico

New York.jpg  New York

North Carolina.jpg  North Carolina

North Dakota.jpg  North Dakota

Ohio.jpg  Ohio

Oklahoma.jpg  Oklahoma

Oregon.jpg  Oregon

Pennsylvania.jpg  Pennsylvania

Rhode Island.jpg  Rhode Island

South Carolina.jpg  South Carolina

South Dakota.jpg  South Dakota

Tennessee.jpg  Tennessee

Texas.jpg  Texas

Utah.jpg  Utah

Vermont.jpg  Vermont

Virginia.jpg  Virginia

Washington.jpg  Washington

West Virginia.jpg  West Virginia

Wisconsin.jpg  Wisconsin

Wyoming.jpg  Wyoming