Texas has the Twelfth Lowest Tax Burden in the Nation for 2013

Mar 29, 2015

In Fiscal Year (FY) 2013, Texas collected $102.5 billion in state and local taxes. While this is an impressive sum of money, it tells us little about whether or not the average Texas taxpayer can afford this level of taxation.

As shown in the Chart 1, Texas’s state and local tax burden (tax collections divided by personal income) was the twelfth lowest in the nation for FY 2013 at 9 percent—this is -13 percent below the national average of 10.3 percent. As shown in Chart 2, Texas’s tax burden has increased over time by 40 percent to 9 percent in FY 2013 from 6.4 percent in FY 1950.

Texas State and Local Tax Burden Rank 2013.jpg

Texas’s low state and local tax burden can, obviously, be  attributed to not having an individual or corporate income tax since they tend to be progressive (higher tax rates on higher levels of income) which increases the tax burden over time.

However, Texas’s lack of an income tax is diminished by other higher than average taxes such as the property tax (3.7 percent, 13th highest), the sales tax (2.8 percent, 15th highest), and all other taxes (2.5 percent, 10th highest). All other taxes, of course, being driven by severance taxes on the extraction of oil and gas.

#Texas #taxburden has grown 40% between FY 1950 to 2013 to 9% from 6.4%. (click to tweet)

Of course, the tax burdens for local government can vary just as much as they do among the 50 states. As such, we have also calculated the local government tax burden for every county in Texas—this includes every taxing jurisdiction within the geographic county borders whether it is a city, a special district, or county government itself.

The Texas counties with the highest local government tax burden include: Loving County, TX (99.6 percent), King County, TX (53.2 percent), and Kenedy County, TX (42.1 percent). The Texas counties with the lowest local government tax burden include: Randall County, TX (1.5 percent), Coryell County, TX (1.9 percent), and Eastland County, TX (2 percent).

Click here to view tax burden data by state, county, type of tax, and for years 1950 to 2013.

Texas State and Local Tax Burden Rank 1950 to 2013.jpg

Category: Tax Burdens

J. Scott Moody

Scott has nearly 20 years of experience as a public policy economist. He is the author, co-author and editor of over 180 studies and books. His professional experience also includes positions at the American Conservative Union Foundation, Granite Institute, Federalism In Action, Maine Heritage Policy Center, Tax Foundation, and Heritage Foundation.

blog comments powered by Disqus

Stay Up-To-Date on Your State's Key Policy Data - Economics, Politics, Demographics - by Joining Our Mailing List Today!

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)



Measuring a Dollar.jpg

Federal Tax & COLI


Federal Pension

United States Office of Personnel Management Seal.jpg

Federal Payroll

Check out more

Stories from our

Media Partner:

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