In a recent report conducted by Pennsylvania’s Independent Fiscal Office (IFO), the office ranked the Commonwealth 24th in property tax burden, below the U.S. average and U.S. weighted average.
The report used data from the Census Bureau, Internal Revenue Service, and Bureau of Economic Analysis to determine state rankings of various taxes-to-personal income, which the study defines as a tax burden. The study included rankings for income and sales taxes, corporate taxes, fuel taxes and more.
According to the report, Pennsylvania’s property tax burden is a ratio of 2.94 percent. The U.S. average is 3.10 percent, and the U.S. weighted average is 3.20 percent. New Hampshire has the highest property tax burden at 5.55 percent, and Alabama has the lowest at 1.46 percent.
There could be property tax burdens in Pennsylvania that are higher than the overall ratio due to variations in property tax rates at the local level.
In fiscal year 2015-16, Pennsylvania collected $18.8 billion in property taxes. Six states — California, New York, Texas, New Jersey, Illinois, and Florida — collected more during that fiscal year. The tax burden was lower in California and Florida, while New Jersey, New York, and Illinois ranked in the top 10.