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