In 2021, Alaska had the lowest tax burden in the U.S. and it was also one of the least affordable states to live in. The total state and local taxes are only 5.10% of personal income, which is the lowest of any of the 50 states.
As you probably know, the cost of living in Alaska is pretty high, mostly because of the state’s remote location.
But Alaska also has the second-highest beer tax of any other state ($1.07 per gallon). This state has one of the highest and fastest rising healthcare costs of any state in the United States. $11,064 per capita in 2014.
At $18,394 per child, it also spent the most on education of any other state in the west in 2019. And in 2017, Alaska received a grade of C regarding infrastructure.