BLOG ARCHIVESBLOG ARCHIVES
VIEW OUR APPSVIEW OUR APPS

Hawaii has the Twelfth Highest Tax Burden in the Nation for 2011

Dec 26, 2013


In Fiscal Year (FY) 2011, Hawaii collected $6.6 billion in state and local taxes. While this is an impressive sum of money, it tells us little about whether or not the average Hawaii taxpayer can afford this level of taxation.


As shown in the charts below, Hawaii’s state and local tax burden (tax collections divided by personal income) was the twelfth highest in the nation for FY 2011 at 11.2 percent—or 7.5 percent above the national average of 10.5 percent. Hawaii’s tax burden has barely grown over time at only 4 percent to 11.2 percent in FY 2011 from 10.8 percent in FY 1959 (the first year Hawaii was a state).


Hawaii’s high tax burden is driven by a very high sales tax burden (4.3 percent, 2nd highest), and a high all other tax burden (2.5 percent, 11th highest). This is offset by a lower than average property tax burden (2.3 percent, 43rd highest), individual income tax burden (2.1 percent, 30th highest), and corporate income tax burden (0.12 percent, 43rd highest).


This tax structure is not surprising given Hawaii’s reliance on tourism as its primary economic driver. A large sales tax burden would be “exported,” or paid by, tourists. As a result, the residents of Hawaii enjoy a lower than average property tax, individual income tax, and corporate income tax. Of course, exported or not, a high overall tax burden is still bad for the economy.


Click here to view tax burden data by state, type of tax, and for years 1950 to 2011.


Hawaii_Tax_Burden_1950_to_2011.jpg


Hawaii_Tax_Burden_Rank_2011.jpg



Category: Tax Burdens

J. Scott Moody

J. Scott Moody has nearly 20 years experience as a public policy economist with a specialty in tax policy and has over 180 publications. He has worked for numerous national and state-based think tanks such as the American Conservative Union Foundation, Federalism In Action, Tax Foundation, Heritage Foundation, and The Maine Heritage Policy Center.


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