Tax Friendly Cities in the USA

 1. Anchorage, Alaska
            Income tax: $0
            Average Property tax: $2,572

            Sales tax: $0
            Average Auto tax: $165
            State & local tax burden: 3.6%
 
2. Manchester, New Hampshire
            Income tax: $0
            Average Property tax: $2,349
            Sales tax: $0
            Average Auto tax: $493
            State & local tax burden: 3.8%
 
3. Cheyenne, Wyoming
            Income tax: $0
            Average Property tax: $1,326
            Average Sales tax: $1,512
            Average Auto tax: $665
            State & local tax burden: 4.7%
 
4. Seattle, Washington
            Income tax: $0
            Property tax: $1,698
            Sales tax: $1,561
            Auto tax: $457
            State & local tax burden: 5.0%
 
5. Las Vegas, Nevada
            Income tax: $0
            Property tax: $2,251
            Sales tax: $1,072
            Auto tax: $486
            State & local tax burden: 5.1%
  
6. Jacksonville, Florida
            Income tax: $0
            Property tax: $2,456
            Sales tax: $1,284
            Auto tax: $195
            State & local tax burden: 5.2%
 
7. Sioux Falls, South Dakota
            Income tax: $0
            Property tax: $2,760
            Sales tax: $1,518
            Auto tax: $294
            State & local tax burden: 6.1%
   
8. Phoenix, Arizona
            Income tax: $1,241
            Property tax: $1,401
            Sales tax: $1,849
            Auto tax: $588
            State & local tax burden: 6.8%
  
9. Billings, Montana
            Income tax: $2,559
            Property tax: $1,865
            Sales tax: $0
            Auto tax: $689
            State & local tax burden: 6.8%

10. Chicago, Illinois
            Income tax: $2,019
            Property tax: $1,023
            Sales tax: $1,624
            Auto tax: $478
            State & local tax burden: 6.9%
  
Tax rankings are based on 2007 tax return computations for a two-income couple earning $75,000 with one school age child. The real property tax is a function of housing values, real estate tax rates, assessment levels, homeowner exemptions and credits. The auto tax figure assumes the couple owns two cars and is based on the estimated registration fees, state and local gasoline taxes, and personal property taxes, if any.