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State Tax When You Move

Whenever you move to a new state then there will definitely be a change in your state income tax. Not only income tax but other taxes such as property tax, sales tax etc. will also change.

These taxes differ from one state to another. These taxes act as a medium to collect revenue for the government. Some states like Nevada, Alaska, Wyoming and many others are income tax free states that is, these states don’t collect income tax from their residents. But these states collect revenue from the people in some other form of taxes like taxes on gambling, entertainment etc.

Some states collect flat rate on incomes as income tax. These include Massachusetts, Indiana, Colorado, Michigan and others.

Many states also collect sales tax. These taxes are either a fixed rate on your goods or additional tax which you are going to pay on top of sales tax. The taxable items vary from state to state.

The property tax is collected by counties, towns and cities but its rate is decided by the state government.