Land Tax

The idea of a “land tax” has greatly shifted inside of the United States. When the U.S. was first settled, individuals had to pay a tax on the land that they owned.
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With most people owning far more land than actual housing property, it only made sense to tax someone on the value of the land. Now, however, this has shifted and people pay a tax on the property they have on the land. While the land is figured into it, the property tax that people are charged includes the value of the land and the property built on top of taxe

There are different taxes for every state in the country, including Washington, D.C., so for anyone interested in purchasing a home, condo, farm or anything else, it is necessary to understand what the tax rate is so they know how much they are going to pay on top of the purchase price.

Best Taxes
Louisiana has the best tax rates when it comes to owning land and property. The cost is only .18 percent. In fact, the majority of the top 10 includes states from southeastern United States. The main reason behind this is these states are not heavily hit with extensive storms and other elements that require more tax money to maintain and fix. The second state is Hawaii, with a .26 tax rate. Third is Alabama and fourth, the only northeastern state on the top list, is Delaware at .43 percent tax on the value of the property and land. D.C. would fall right behind Delaware at a .46 percentage. The fifth state with the best tax is West Virginia at .49 percent, South Carolina comes in at .5 percent, Arkansas is .52 percent, Mississippi also shares the percentage, while New Mexico is .55 percent and Wyoming is .58 percent.

The Worst
Naturally, there are going to be other states that have a more expensive property and land tax rate. There is only one state on this list found in southern United States. North Dakota starts out this list at 1.42 percent, followed by Vermont at 1.59 percent and Michigan at 1.62. Connecticut has a 1.63 percent and Nebraska has a 1.7 percent rate. Illinois has the fifth highest land and property tax and 1.73, with Wisconsin at 1.76. Texas is 1.81 percent while New Hampshire is 1.86 and New Jersey is 1.89 percent. Texas does stick out on this list for being not only the only southern state in the bottom 10 in terms of property and land taxes, but the main reason behind this is because the state doesn’t charge any sort of income tax.

With the size of the state, it is necessary to maintain the infrastructure, so one of the major ways it does this is through the help of the land and property taxes. All of the other states on this list though need the money to assist with the cold and winter conditions the states experience throughout the course of the year.