Taxes

Taxes

Tennessee: Third lowest tax rate in the USA!

Listed below is the per-person state and local tax bill in 2004. Figures represent all state and local government tax revenue collected from households, consumers and businesses, divided by the state population. Tennessee is highlighted in red. Source: U.S. Census Bureau.

$7,154	Washington DC
5,260	New York
4,921	Connecticut
4,555	New Jersey
4,437	Wyoming
4,217	Massachusetts
4,016	Maryland
3,891	Rhode Island
3,813	Hawaii
3,811	Minnesota
3,789	Maine
3,736	California
3,714	Wisconsin
3,681	Vermont
3,610	Alaska
3,609	Nebraska
3,608	Delaware
3,555	Illinois
3,452	Washington
3,447	Pennsylvania*
3,419	Ohio
3,417	Nevada
3,380	Kansas
3,342	Virginia
3,313	Michigan
3,169	Colorado
3,133	New Hampshire
3,094	Florida
3,054	Iowa
2,999	Indiana
2,989	North Dakota
2,929	North Carolina
2,917	Oregon
2,899	Louisiana
2,881	Texas
2,877	Georgia
2,871	Arizona
2,861	New Mexico
2,822	Missouri
2,767	Kentucky
2,740	West Virginia
2,735	Utah
2,728	Idaho
2,677	Oklahoma
2,662	South Carolina
2,623	Montana
2,615	South Dakota
2,536	Arkansas
2,535	Tennessee
2,444	Mississippi
2,328	Alabama
	*National Average

Income Taxes
No state and local income tax on wages and most interest!

Tennessee has no state or local income taxes on:
Wages.
Interest from bank accounts.
Interest from savings and loans.
Interest from certificates of deposit.
Interest from credit unions.
Interest on U.S. bonds.
Interest from "NOW" accounts.
Interest of bank money market accounts.

There is a 6% state income tax on:
Dividends from stocks and mutual funds.
Interest from notes you hold.

However, there is an exemption of
$1,250 if single or married filing separately or
$2,500 if married filing jointly!

Property Taxes

Macon County has one of the lowest property tax rates in the state.