Anchorage Press: The Pocketbook Reasons Most Alaskans Should Prefer an Income Tax to a Statewide Sales Tax

An analysis in 2017 by the Institute on Taxation and Economic Policy (ITEP) produced similar results. All people in households who make less than $73,000 per year—and some in higher-earning households—would do better financially under a state income tax than a statewide sales tax, according to this study. A statewide sales tax would hit both the middle class and the lower class harder than an income tax. This study showed that the middle 20 percent of Alaska households would pay more than twice as much of their incomes under a statewide sales tax than under an income tax. Read more