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The states that collect the least per capita are Alabama ($597), Oklahoma ($771), Arkansas ($776), Tennessee ($799), and New Mexico ($832). New Hampshire, which taxes individuals on curiosity and dividends, scores considerably higher as a end result of it does not tax capital features. Nevada’s payroll tax doesn’t apply to capital income, and thus scores completely on this measure, together with states which forgo all income taxation. For example, Kansas has a normal deduction of $3,000 and a private exemption of $2,250, for a mixed worth of $5,250. Statutorily, Kansas has a prime rate on all taxable revenue over $30,000 and two lower brackets, one starting on the first greenback of revenue and another at $15,000, so it has a mean bracket width of $10,000.

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