1. Alabama
The state imposes a 4 percent levy when it comes to sales taxes; however, some localities can add 7.5 percent to the state’s levy; the average combined rate is 9.22 percent. The Yellowhammer State taxes food too.
Luckily, the lowest income tax is only 2 percent, and the highest one is 5 percent. On top of that, Alabama’s residents can actually deduct all of their federal income tax. Now, if we’re heading to property taxes, Alabama’s median property tax rate is $417 per $100,000 of assessed home value.
Another thing that might sound appealing to you is the fact that the Yellowhammer State has no estate or inheritance taxes.