Opinions differ on how state's higher tax burden stacks up

By: The Associated Press
By: The Associated Press

Michigan taxes are going up, but opinions differ on how the state's overall tax burden stacks up nationally.

Thirty-six of the 43 states with income taxes have rates higher than Michigan's new four-point-three-five percent rate.

The state's six percent sales tax will go from covering 26 service categories to covering 53. Michigan will rank 27th nationally in the number of taxed services.

Michigan is tied with nine other states that have a six percent sales tax, the nation's 11th highest.

The Washington-based Tax Foundation projects Michigan will have the 11th-highest state and local tax burden nationally once all the tax increases kick in.

But state officials say Michigan's tax burden will rise no more than four spots to 22nd under the new tax structure.

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