In Fiscal Year (FY) 2011, Wisconsin collected $25.6 billion in state and local taxes. While this is an impressive sum of money, it tells us little about whether or not the average Wisconsin taxpayer can afford this level of taxation.
As shown in the charts below, Wisconsin’s state and local tax burden (tax collections divided by personal income) was the eleventh highest in the nation for FY 2011 at 11.3 percent—or 8.2 percent above the national average of 10.5 percent. Wisconsin’s tax burden has grown significantly over time by 42.7 percent to 11.3 percent in FY 2011 from 7.9 percent in FY 1950.
Wisconsin’s high tax burden is driven by a high property tax burden (4.3 percent, 11th highest), individual income tax burden (2.8 percent, 12th highest), and a high corporate income tax burden (0.38 percent, 18th highest). A lower than average sales tax burden is the only bright spot (2 percent, 36th highest).
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.