Overall Rating for Middle-Class Families: Most tax-friendly
And here we are with our last entry, Tennessee, which indeed has high sales taxes, but overall is the most tax-friendly state on this list. With a 7 percent state levy, sales taxes can go even higher due to an additional tax of 2.75 percent on sales of single items with a sale price between $1,600 and $3,200.
Localities take a bit, too, adding up to 2.75 percent. All in all, the average combined rate here is 9.55 percent. And although clothing and footwear are taxed at the standard rate, groceries see an additional local tax of 4 percent. If you want to buy a car, the basic 7 percent rate is applied, plus the 2.75 percent if the car costs more than $1,599.
Luckily for those who are on prescribed meds, they don’t have to pay any taxes. But what really makes Tennessee the most tax-friendly state on our list is the fact that it doesn’t have income taxes. Ahh, and the median property tax rate in the Big Bend State is s $636 per $100,000 of assessed home value.
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