CFED Scorecard

Financial Assets & Income

Outcome Measures

Income Poverty Rate

Asset Poverty Rate

Asset Poverty by Race

Asset Poverty by Gender

Asset Poverty by Family Structure

Liquid Asset Poverty Rate

Liquid Asset Poverty by Race

Liquid Asset Poverty by Gender

Liquid Asset Poverty by Family Structure

Extreme Asset Poverty Rate

Net Worth

Net Worth by Race

Net Worth by Income

Net Worth by Gender

Net Worth by Family Structure

Unbanked Households

Underbanked Households

Consumers with Subprime Credit

Borrowers 90+ Days Overdue

Average Credit Card Debt

Bankruptcy Rate

Policy Priorities

Tax Credits for Working Families

State IDA Program Support

Lifting Asset Limits in Public Benefit Programs

Protections from Predatory Short-Term Loans

Additional Policies

Income Tax Threshold

Tax Burden by Income

Prize-Linked Savings

Paperless Payday

Trend Indicators

Change in Net Worth

Change in Asset Poverty

Change in Liquid Asset Poverty

Businesses & Jobs

Housing & Homeownership

Health Care

Education

CFED Assets & Opportunity Scorecard

Income Tax Threshold

Definition

State income tax thresholds for single-parent head of household filers with two children, 2010.

Description

The state income tax threshold is the lowest annual income at which residents must pay the state income tax. The federal government exempts families with incomes below the poverty line from the federal income tax, but in many states, these families must still pay state income taxes. Although some states have raised their thresholds, many still continue to tax even the poorest families. Taxing the incomes of the working poor makes it even more difficult for these families to work their way out of poverty. Eliminating this tax burden for low-income households allows families to keep more of their limited incomes, thus increasing the potential for savings.

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Income Tax Threshold

StateState Income Tax
Threshold ($)
Alabama  $9,800 
Alaska  No state income tax 
Arizona  $20,100 
Arkansas  $15,400 
California  $26,900 
Colorado  $19,400 
Connecticut  $19,100 
Delaware  $26,600 
District of Columbia  $29,400 
Florida  No state income tax 
Georgia  $12,700 
Hawaii  $13,800 
Idaho  $19,400 
Illinois  $14,400 
Indiana  $18,300 
Iowa  $18,900 
Kansas  $27,500 
Kentucky  $18,300 
Louisiana  $16,800 
Maine  $23,900 
Maryland  $32,400 
Massachusetts  $26,400 
Michigan  $26,000 
Minnesota  $33,100 
Mississippi  $14,400 
Missouri  $14,400 
Montana  $10,000 
Nebraska  $27,300 
Nevada  No state income tax 
New Hampshire  No state income tax 
New Jersey  $30,900 
New Mexico  $33,800 
New York  $34,600 
North Carolina  $19,000 
North Dakota  $19,400 
Ohio  $14,800 
Oklahoma  $24,000 
Oregon  $16,800 
Pennsylvania  $25,500 
Rhode Island  $31,600 
South Carolina  $25,800 
South Dakota  No state income tax 
Tennessee  No state income tax 
Texas  No state income tax 
Utah  $19,700 
Vermont  $33,200 
Virginia  $23,000 
Washington  No state income tax 
West Virginia  $18,300 
Wisconsin  $23,000 
Wyoming  No state income tax 

Source

Oliff, Phil and Nicholas Johnson. The Impact of State Income Taxes on Low-Income Families in 2010. Washington, DC: Center on Budget and Policy Priorities, 2011.

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