There is no significant correlation between overall tax levels and high-wage economies: Median hourly wage, and state and local taxes as a share of state personal income, by state, 2010

State State and local tax revenue as a share of state personal income Median Hourly Wage (2012 dollars)
WY 0.13590238 $16.97
AR 0.10037558 $14.42
NV 0.10475355 $15.76
MS 0.097939908 $14.16
LA 0.09574187 $15.38
WV 0.10971793 $16.17
IN 0.10564875 $15.70
KY 0.097442473 $15.19
OH 0.10470439 $15.97
SD 0.079988074 $14.96
ID 0.087547352 $15.10
OK 0.08531404 $15.51
UT 0.093340332 $16.17
AK 0.1974031 $18.69
SC 0.088154942 $15.65
AL 0.082354177 $15.19
TX 0.089617786 $15.14
TN 0.081749962 $14.53
IA 0.10341089 $15.82
AZ 0.09064911 $16.31
NC 0.098868851 $15.71
MT 0.094412722 $14.69
WI 0.11274396 $17.19
MI 0.1053127 $16.75
NE 0.10207951 $15.59
MO 0.086906169 $15.95
FL 0.091142418 $16.65
ME 0.12008039 $16.04
PA 0.10247088 $17.23
NM 0.096224878 $15.98
HI 0.11820127 $16.81
ND 0.12142884 $15.75
GA 0.089791357 $16.82
US 0.1031523 $16.85
DE 0.10092502 $18.31
OR 0.095232536 $16.61
RI 0.10883045 $17.88
CA 0.11036228 $17.83
WA 0.094482239 $19.30
MN 0.10786811 $18.48
KS 0.10357631 $15.77
VT 0.11876957 $17.09
IL 0.099506408 $17.07
NH 0.086699291 $18.96
NY 0.1430054 $18.39
VA 0.088036271 $18.78
CO 0.096436107 $18.73
NJ 0.11515426 $20.26
MD 0.099771245 $19.93
CT 0.1080529 $21.03
MA 0.099847735 $20.88

Source: Authors' analysis of Current Population Survey Outgoing Rotation Group microdata and Tax Policy Center's Tax Facts data

View the underlying data on epi.org.