Georgia
Our ranking: Mixed tax picture
State income tax: 1% (on the first $1,000 of taxable net income for married couples filing jointly; on the first $750 for individual filers; and on the first $500 for married couples filing separately) — 6% (on taxable income over $10,000 for married couples filing jointly; on taxable income over $7,000 for individual filers; and on taxable income over $5,000 for married couples filing separately)
Average state and local sales taxes: 7.23% (groceries taxable by localities)
Gas taxes and fees: 31 cents per gallon
Georgia’s tax brackets mean that many taxpayers will find themselves paying the top marginal rate, which kicks in at just $10,000 of taxable income for married couples filing jointly or $7,000 for individual filers. However, in 2019, the rate will drop from 6% to 5.75%, and then to 5.5% in 2020. The second step to 5.5% would require a joint resolution by Georgia lawmakers and the governor during the 2020 legislative session.
The Peach State’s sales taxes lean high, and in some areas, groceries are taxed as well. Property taxes are modest.
