answersLogoWhite

0


Best Answer

41 states

User Avatar

Wiki User

6y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: How many states do not impose state tax on earned income?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Continue Learning about Accounting

How many states do not impose state tax?

9


How many states do not impose state tax on?

9


If you have to file taxes in two states do you have to include your whole year's income in each state tax or just the income you made in each state individually?

A state can tax the income you earned from sources within that state plus any income from any source that you earned while a resident of that state. So, for example, if you lived in California but took a temporary two-week job in New York, then NY can tax only the income you earned in NY, but California can tax all the income you earned everywhere, including the income you earned in NY.Sometimes, two states have reciprocal tax agreements. If a resident of Ohio works in Indiana, wages earned in Indiana are not subject to Indiana state income tax, but they are subject to the county tax. However, other types of income from Indiana sources (business, casino winnings, etc) are still subject to Indiana income tax.What most (but not all) states do is to ask you to first list all of your income from all sources and compute the tax on that as if it were all taxable. Then on a separate form or in a separate column on the same form, they ask you to list how much income was taxable in that state and then compute a ratio. For example, if your total income for the year was $100,000 and the income taxable in the state was $10,000, then the ratio would be 10%. You then multiply the tax you computed by the ratio in order to determine how much you owe the state.Your state may be different. Follow the instructions on the form. Most states have a special form for non-residents or part-year residents. It's either a completely separate form or an attachment to the form that full-year residents use.


Which state does not have either a sales or personal income tax?

Alaska does not have a state sales tax or personal income tax. However, some local government bodies in Alaska do impose a sales tax.


How do different states assess the amount of state income taxes they collect?

Some tax income at a flat percentage rate, a proportional tax. Some charge a percentage of a person's federal income tax. Others have a progressive tax like the federal income tax. A few states only tax interests and dividends from investments, not wages and salary. Seven states choose to impose no income tax. These states are Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming.

Related questions