I was purusing throught the IRS website like I often do at this time a year
and came across the 2004
Internal Revenue Service Data Book which provides some interesting facts
and figures about taxes. The data is for fiscal year October 1, 2003 to September
30, 2004. There are 33 different tables that can help one get their hands around
the scope of the tax collection process and the dollar amounts involved.
Amount of Internal Revenue Refunds Issued by State
The first table shows the amount of refunds issued, including interest, by
state. The refunds cover corporate, individual, employment, estate, gift, and
excise taxes. Seeing this amount of refunds on the top 5 states makes me think
of one thing: poor tax planning.
Top 5 refund states
State |
Total Refund |
| California |
31,169,773 |
| Texas |
22,034,323 |
| New York |
21,936,704 |
| Florida |
15,059,920 |
| Ohio |
14,000,167 |
Bottom 5 refund states
State |
Total Refund |
| South Dakota |
561,411 |
| Alaska |
532,479 |
| Vermont |
483,676 |
| North Dakota |
422,575 |
| Wyoming |
397,722 |
California at 31,169,773 exceeds Wyoming by 7,837%.
Internal Revenue Gross Collections by State
Table number 6 shows the gross revenue by state in the same categories.
Top 5 gross revenue states
State |
Total Refund |
| California |
237,931,491 |
| New York |
171,948,716 |
| Texas |
152,691,189 |
| Illinois |
108,476,636 |
| Florida |
94,277,725 |
Bottom 5 gross revenue states
State |
Total Refund |
| Alaska |
3,267,127 |
| Montana |
3,134,044 |
| Vermont |
3,079,343 |
| Wyoming |
2,933,993 |
| North Dakota |
2,825,077 |
Comparing Refunds to Gross Revenues
Putting the two tables together shows how the amount of refunds compares to
the gross revenues. The nation wide average for all 50 states and the District
of Columbia is 13.635% ($273,021,058 refunds / $2,002,295,537 gross revenue).
The five states with the lowest refunds to revenues ratio are:
State |
Refunds |
Revenue |
Ratio |
| District of Columbia |
620,705 |
16,930,784 |
3.666% |
| Minnesota |
4,748,178 |
58,068,156 |
8.177% |
| Arkansas |
1,898,292 |
20,576,284 |
9.226% |
| Connecticut |
4,260,914 |
41,909,468 |
10.167% |
| Nebraska |
1,514,884 |
14,392,629 |
10.525% |
The five states with the highest refunds to revenues ratio are:
State |
Refunds |
Revenue |
Ratio |
| Oregon |
3,634,080 |
18,880,258 |
19.248% |
| South Carolina |
3,066,402 |
15,357,129 |
19.967% |
| New Mexico |
1,297,534 |
6,050,390 |
21.445% |
| West Virginia |
1,200,787 |
5,226,420 |
22.975% |
| Mississippi |
2,108,265 |
8,951,397 |
23.552% |