Income Tax Rate for 2018-2019

Income tax Rate are as under.This paper could not have happened without the support of my thesis advisor, Jeffrey Thompson, who helped advise me on how to design my statistical model and who directed me to the idea of using cross-border counties. I would also like to thank Eric Gardner for his assistance with STATA codes when I ran into difficulty. I would like to thank my family and friends for their support and kindness to me in my pursuit of a career in the field of public policy.

Taxation remains one of the most controversial topics in the policy realm. It is not only contentious at the federal level, but also at the state level. In recent years, there has been discussion about whether or not states that do not levy a personal income tax fare better economically than states that do levy a personal income tax. While this project will focus on states without income taxes against the states that do levy one, this is relevant towards the larger question as to how much personal income taxes matter in regards to economic performance. My hypothesis is that while taxes maybe a factor, in the end we will not see a statistically significant difference between county pairs with both income and sales taxes and cross-border pairs where the cross-border county does not have a personal income tax.