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New York, Rhode Island Rank High in Tax Burden as Florida Remains Among Lowest

As tax season arrives, a new analysis shows just how much where you live impacts how much you pay — and Rhode Island isn’t getting off easy.

A report from WalletHub compares all 50 states using “tax burden,” measuring total state and local taxes as a share of personal income. The results highlight sharp contrasts between high-tax states like New York, tax-friendly Florida — and Rhode Island, which leans far closer to the high end.

New York ranks near the top
New York has the second-highest overall tax burden in the U.S. at 12.39%.

  • Property tax: 4.22% (4th highest)

  • Income tax: 4.65% (2nd)

  • Sales & excise: 3.53%

High income and property taxes continue to drive costs for residents.

Rhode Island: High costs across the board
Rhode Island ranks 10th overall, with a total tax burden of 9.29% — but the breakdown tells a tougher story:

  • Property tax: 3.67% (7th highest)

  • Income tax: 2.16%

  • Sales & excise: 3.47%

Unlike some states that rely heavily on one category, Rhode Island residents are hit on multiple fronts. Property taxes are among the highest in the nation, while income and sales taxes add to the overall load — creating a cumulative effect that pushes the state well above the national average.

Florida among lowest-tax states
Florida ranks 47th overall, with a total tax burden of 6.27%.

  • Property tax: 2.52%

  • Income tax: 0.00%

  • Sales & excise: 3.74%

The absence of a state income tax significantly reduces the overall burden.

The gap is significant
The difference between states is stark:

  • New York: 12.39%

  • Rhode Island: 9.29%

  • Florida: 6.27%

Rhode Island residents pay roughly 48% more of their income in state and local taxes than those in Florida and New York residents pay nearly twice — a gap driven largely by higher property and income taxes.

What it means
While New York remains one of the most heavily taxed states, Rhode Island’s across-the-board tax structure keeps it firmly in the upper tier — and far from low-tax territory.

For many residents, the numbers underscore a broader reality: in Rhode Island, the cost of living isn’t just high — it’s persistent.

 
 

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Christian Winthrop
Christian Winthrop
Christian Winthrop is a media publisher and journalist and the founder and editor of Newport Buzz, the leading news platform covering Newport, Rhode Island. He is also the creator of Palm Beach Buzz, expanding the same community-focused journalism model to South Florida. A fifth-generation Newporter, Winthrop previously worked in national politics and later as an entertainment producer in New York City before returning home to launch Newport Buzz in 2011.
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