Bay State leans on income taxes, not so much on sales levies

Massachusetts ranks third in its reliance on income taxes to fund state and local government, behind Oregon and Maryland, according to a new report by the Tax Foundation. And despite all the uproar over this year's increase in the sales tax to 6.25 percent, our government don't depend on retail receipts as much as most states do.

The Bay State gets 36 percent of its state and local tax revenue from individual income taxes (compared with a national average of 23 percent), 34 percent from property taxes (vs. a national average of 30 percent), and 13 percent from "general" sales taxes (vs. 24 percent nationally).

In addition, the Bay State gets 7 percent of revenue each from "selective" sales taxes and corporate income taxes (vs. 11 percent and 5 percent nationally) and 4 percent from license and other fees (vs. 8 percent nationally).

Massachusetts is the only New England state not in the Top 10 most reliant on property taxes; in New Hampshire, which has no sales or general income tax, a staggering 61 percent of revenue comes from property levies.

There's a general North/South split in tax preferences, with Northern states tending to rely on income taxes for revenue while Southern states get more money from sales taxes.