| All states also have their own tax system. Typically | | | | Automobile and boat registration fees are a subset of |
| there is a tax on real estate, and there may be | | | | this tax; however, most people are unaware that |
| additional income taxes, sales taxes, and excise taxes. | | | | practically all personal property is also subject to |
| Oil and mineral producing states often have a | | | | personal property tax. Usually, household goods are |
| severance tax, which is similar to an excise tax in that | | | | exempt; but virtually all objects of value (including art) |
| tax is paid on products produced, rather than on sales. | | | | are covered, especially when regularly used or stored |
| Taxes on hotel rooms are common, and politically | | | | outside of the taxpayer's household.States permit the |
| popular because the taxpayers usually do not vote in | | | | creation of special assessment districts (typically for |
| the jurisdiction levying the tax.These states do not levy | | | | provision of water or removal of sewage, or for parks, |
| an individual income tax: Alaska, Florida, Nevada, South | | | | public transit or schools) whose boundaries may be |
| Dakota, Texas, Washington, and Wyoming. New | | | | independent of other boundaries and whose income |
| Hampshire and Tennessee only tax interest and | | | | may be from one or more of service assessments, |
| dividend income. Delaware, Oregon, Montana and New | | | | property taxes, parcel taxes, a portion of road or |
| Hampshire have no state or local sales tax. Alaska | | | | bridge tolls, or an additional increment upon sales taxes |
| has no state sales tax, but allows localities to collect | | | | in addition to the non-tax fees for services provided |
| their own sales taxes up to a state-specified | | | | (such as metered water). State government is |
| maximum. California has all the mentioned taxes, with | | | | financed mainly by a mix of sales and/or income taxes |
| the result that tax liability often exceeds 51% of | | | | and to a lesser extent by corporate registration fees, |
| income for many California residents.Many states also | | | | certain excise taxes, and automobile license fees.For |
| levy personal property taxes, which are annual taxes | | | | more free legal information on Tax Law, please visit |
| on the privilege of owning or possessing items of | | | | Free Legal Information. |
| personal property within the boundaries of the state. | | | | |