Last week, the Tax Policy Center held an event called “Measuring the Distribution of Federal Spending and Taxes.” At this event, Gerald Prante presented his findings from the Tax Foundation study called “A Distributional...
The facts on Wisconsin’s Tax Climate
7.75%Individual Income TaxTop rate
7.9%Corporate Income TaxFlat rate
$1698Property TaxCollections Per Capita
Wisconsin's Individual Income Tax System
Wisconsin's personal income tax system consists of five brackets and a top rate of 7.75%. That rate ranks 10th highest among states levying an individual income tax. Wisconsin's income tax collections per person were $1020 in 2010 which ranked 14th highest nationally.
50-State Table of Individual Income Tax Rates
50-State Table of State Individual Income Tax Collections
50-State Table of State and Local Individual Income Tax Collections Per Capita
Wisconsin's Corporate Income Tax System
Wisconsin's corporate income tax system consists of a flat rate of 7.9%. That rate ranks 18th highest among states levying an corporate income tax. Wisconsin's corporate tax collections per person were $150 in 2010 which ranked 10th highest nationally.
50-State Table of Corporate Income Tax Rates
50-State Table of State and Local Corporate Income Tax Collections Per Capita
50-State Table of State Corporate Income Tax Collections Per Capita
Wisconsin Sales and Excise Taxes
Wisconsin levies a 5% general sales or use tax on consumers, which is below the national median of 6%. The average local sales tax rate is an additional 0.43%. Wisconsin's state and local governments collect $746 per person in general sales taxes and $495 per person in excise taxes, for a combined figure of $1241, which ranks 17th lowest nationally. Wisconsin's gasoline tax stands at 32.9¢ (14th highest nationally), while its cigarette tax stands at $2.52 (8th highest nationally.)
50-State Table of State and Local General and Selective Sales Tax Collections Per Capita
Wisconsin Property Tax Collections Relatively High
Wisconsin's state and local governments collected approximately $1698 per person in property taxes, which ranks 12th highest nationally.
State and local property tax collections per capita by state
Tax Freedom Day Arrives on April 20th in Wisconsin
Tax Freedom Day is the day when Americans finally have earned enough money to pay off their total tax bill for the year. In 2013, Wisconsin taxpayers worked until April 20th (11th latest nationally) to pay their total tax bill. The Tax Freedom Days of neighboring states are: Iowa, April 9th (ranked 17th earliest nationally); Minnesota, April 23rd (ranked 7th latest nationally); Michigan, April 14th (ranked 23rd latest nationally); and Illinois, April 25th (ranked 5th latest nationally).
Wisconsin's State and Local Tax Burden Above National Average
Wisconsin's 2010 tax burden of 11.07% ranks 5th highest out of 50 states, and is above the national average of 9.9%. Wisconsin's taxpayers pay $4379 per capita in state and local taxes.
Wisconsin's State-Local Tax Burden, 1977-Present
Other States' State/Local Tax Burdens
Map of U.S. Showing all State's Burdens and Ranks
Historical Chart Comparing All States' State/Local Tax Burdens from 1977 to 2009
Wisconsin's 2014 Business Tax Climate Index Ranks 43
Wisconsin ranks 43rd in the Tax Foundation's State Business Tax Climate Index. The Index compares the states in five areas of taxation that impact business: corporate taxes, individual income taxes, sales taxes, unemployment insurance taxes, and taxes on property, including residential and commercial property. The ranks of neighboring states are as follows: Iowa, 40th, Minnesota, 47th, Michigan, 14th, and Illinois, 31st.
50-State Comparison of Business Tax Climates (data only) (2013)
2014 State Business Tax Climate Index (full study)
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