wagonmaster2
northcentral oklahoma
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Joined: 02/18/2005
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This is a question for those RVers who uses Texas as their main address because of no income tax.
There's a push in Oklahoma to eliminate the state income tax to conform to surrounding states like Texas and further away like South Dakota. And there's a web site now asking for opinions from Oklahomans.
I've read that Texas property tax is extremely high, maybe making up for lost income tax money, so I was wondering if this might really be the offset. Our income tax is 5.25% or less depending on what rate the person falls into and our autos are taxed at about 3.25% excise tax instead of the sales tax rate of 8.67%. I retired from a financial institution where we did some auto financing for customers living in Texas and it seemed the sales taxes on autos were terrible. My property tax here in Oklahoma on $150,000 home is running about $660/year so I'd hate to see that jump just because they eliminated the income tax.
Guess my loaded question for Texans is, do you feel you're paying for the "no state income tax" in other ways? I just wonder if the right hand giveth and the left hand taketh away so I'm not sure how to answer their web site survey.
Full timing could be a possibility in the future for us and I know the question of a home state will always need to be decided on so all this is very pertenant to me.
Thanks fellows for any input. Will be greatly appreciated and hope you overlook my rambling on like this.
Wagonmaster2
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The Mad Norsky
Yankton, South Dakota
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Joined: 04/14/2003
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Property taxes South Dakota, Yankton.
Same value home, $2,200 year.
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Jim Shoe
Amelia, OH
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Joined: 02/06/2004
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Here's all tax information for each state. Its aimed at retirees, but the info is good for anybody contemplating a move to another state.
Retired and visiting as much of this beautiful country as I can.
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msmith1199
Central, CA
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Joined: 10/07/2001
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You do have to look at the overall tax burden on these issues. California is known for having one of the highest state income tax rates, but when you look at the overall burden there are states with lower state tax rates where you'll pay more in taxes than in California. California is still in the top ten, but it's nice to know there are places that are worse. You can't always be fooled by the "no state income tax" gimic.
2004 National Tropi-Cal T-350, Class A, Triple slide, 330 HP Cat DP.
2006 Dodge Dakota 4x4 or
2002 Harley FLSTF Fat Boy on a Trailer or
2004 Polaris Quad on the Trailer
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rockportrocket
on hyway 77
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Joined: 11/15/2011
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The difference in state income tax and no state income tax, is............
you get to make the decision to pay other taxes, but you dont on income tax.
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Hammerhead
Moon Base 5
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Joined: 05/02/2002
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Don't forget about fees. On our recent trip to the Dallas area for the NCAA championship football game, it cost about $12.00 for one round trip on the toll roads from the DFW area to Frisco and back.
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georgelesley
Minnesota
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Joined: 07/29/2010
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All states need revenue from some source. If they don't get it from taxes, they will get it from some other source. That having been said, as stated above you can choose to pay sales and property taxes but not income. When the wife was a travel nurse and we fulltimed, our tax guy said avoid states that start with the letter "M". We used SD. I don't claim to be the brightest bulb in the bunch, we now live in MN.
George & Lesley
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wagonmaster2
northcentral oklahoma
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Joined: 02/18/2005
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Thanks for all the replys. I'm sure Oklahoma is going to get its money from us one way or the other. The argument for eliminating the state income tax is that the state is going to cut expenses in enough places to offset the lose of the income tax. And just look at all the industry that will come running into the state with no income tax to pay. Yeh, sure, and the sun comes up in the West every morning.
Thanks again.
Wagonmaster2
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Mountain Mama
N. TX
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Joined: 03/28/2008
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We may pay higher taxes on vehicles and property in Texas but I would rather do that than have to file state income tax. I hate doing Federal taxes so I sure don't want to have to deal with filing state taxes!
2003 Holiday Rambler Alumascape 34RLT
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Liriope
Sun City AZ 85351
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Joined: 05/28/2007
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I own 8 houses in TX. Yes, the taxes on houses is high to make up for no income tax. The tax on a home in the Dallas area valued at $150,000 is about $3800. I pay $8426 in taxes on one home I owe in TX. If you do your research, you will find the states with no income taxes like TX and PA ARE NOT the cheapest places to live. In fact, PA with no income tax is one of the most expensive places to live.
Another example, the cost of home insurance in TX is very expensive due to hail storms. The insurance cost on a home in TX for $150,000 worth of coverage is about $1200. In AZ where I live part time, the cost for a home valued at $150,000 is only $350.
Do not let someone convince you that doing away with the state income tax will save you dollars. The states have to get their money to operate somewhere. If you do away with the state income tax, something else has to go up. This may or may not be good for you individually because you do not know what will be raised to offset this tax.
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