Why do certain states need more tax revenue to provide services to their residents than other states?
I have lived in Washington state where the sales tax was 8.4%, with NO income tax at all. I now live in California where the sales tax is 8.25% plus there is a tax on my income. Why does California need so much more money to operate?
- LandlordLv 71 decade agoFavorite Answer
We pay much lower property tax then most other states.
We also have a high population of non-tax payers. The estimates range from 25-30% of the residences are illegals not paying any taxes, unemployed or welfare receipants.
We also have a very good public transportation system, which is mainly funded via sales tax.
The sales tax is lower in counties w/o public transportation.
- JudyLv 71 decade ago
Some states provide more services than others, and some provide services more efficiently than others. Also, some make up for not having income taxes by charging higher other taxes.
- StephenWeinsteinLv 71 decade ago
California provides more services, or at least more expensive services.