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Wednesday, October 11, 2000

Hawaii state tax bills
are third highest

Per capita state taxes cost $2,671.17,
trailing only Connecticut and
Delaware, figures show

Staff and wire reports

New Census Bureau figures released today show Hawaii has the third-highest per capita taxes in the country, but the figure is "somewhat misleading," says state Tax Director Marie Okamura.

Connecticut had the highest per capita state tax in 1999, $2,932 per person, followed by Delaware at $2,695.01 and Hawaii at $2,671.17.

But, Okamura said, "I believe census figures are based only on state taxes and in Hawaii, as with Connecticut and some other states, at the state level we do more statewide functions than other states do."

For example, she said, Hawaii has a centralized state-supported school system while schools in most other states are funded through property taxes at the local level.

The Legislature also has reduced income taxes, as well as the general excise tax for some businesses, but that hasn't shown up yet, Okamura said.

People looking to save on their state tax bill could head for New Hampshire, if they can take the cold, snowy winters.

In 1999, New Hampshire had the lowest per capita state tax burden in the country, $891 per person.

New Hampshire was followed by South Dakota, Texas, Tennessee and Louisiana as states with the lowest per capita state taxes.

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