Texas

===Taxation===
Texas has a reputation for a low tax.<ref name="TPoliticalCulture1" /> According to the [[Tax Foundation]], Texans' state and local tax burdens are seventh-lowest nationally; state and local taxes cost $3,580 per capita, or 8.4 percent of resident incomes.<ref name="TaxFound">{{cite web |title=Texas |website=Research Areas |publisher=The Tax Foundation |year=2010 |url=http://www.taxfoundation.org/research/topic/60.html |access-date=October 15, 2010 |archive-date=October 23, 2008 |archive-url=https://web.archive.org/web/20081023002226/http://www.taxfoundation.org/research/topic/60.html |url-status=dead }}</ref> Texas is one of seven states that lack a [[state income tax]].<ref name="TaxFound" /><ref name="incometax">{{cite web |title=State Individual Income Taxes |publisher=Federation of Tax Administrators |url=http://www.taxadmin.org/fta/rate/ind_inc.html |access-date=October 12, 2008 |archive-url=https://web.archive.org/web/20081003052903/http://www.taxadmin.org/fta/rate/ind_inc.html<!--Added by H3llBot-->|archive-date=October 3, 2008}}</ref>

Instead, the state collects revenue from [[property tax]]es (though these are collected at the county, city, and school district level; Texas has a state constitutional prohibition against a state property tax) and [[sales tax]]es. The state sales tax rate is 6.25 percent,<ref name="TaxFound" /><ref>{{cite web |url=http://alltaxtips.com/why-does-texas-taxus-have-the-highest-property-taxes-and-3rd-highest-sales-tax/ |title=Why does Texas (Taxus) have the highest property taxes and 3rd highest sales tax? |website=Alltaxtips.com |date=May 9, 2011 |access-date=August 15, 2011 |archive-url=https://web.archive.org/web/20110707114602/http://alltaxtips.com/why-does-texas-taxus-have-the-highest-property-taxes-and-3rd-highest-sales-tax/ |archive-date=July 7, 2011 |url-status=dead }}</ref> but local taxing jurisdictions (cities, counties, special purpose districts, and transit authorities) may also impose sales and use tax up to 2{{nbsp}}percent for a total maximum combined rate of 8.25 percent.<ref>{{cite web |url=http://www.window.state.tx.us/taxinfo/sales/faq_collect.html |title=FAQ: Texas Sales Tax |website=Window.state.tx.us |access-date=January 10, 2011}}</ref>

Texas is a "tax donor state"; in 2005, for every dollar Texans paid to the federal government in [[Income tax in the United States|federal income taxes]], the state got back about $0.94 in benefits.<ref name="TaxFound" /> To attract business, Texas has incentive programs worth $19 billion per year (2012); more than any other U.S. state.<ref>{{cite news|url=https://www.nytimes.com/2012/12/03/us/winners-and-losers-in-texas.html |title=Lines Blur as Texas Gives Industries a Bonanza|first=Louise|last=Story|work=[[The New York Times]]|date=December 1, 2012}}</ref><ref>{{cite news|url=https://www.nytimes.com/interactive/2012/12/01/us/government-incentives.html#TX |title=United States of Subsidies, Texas|work=The New York Times|date=December 1, 2012}}</ref>