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655 bytes added ,  14:30, May 10, 2011
→‎States and Local Municipalities: added an example, with references
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==States and Local Municipalities==
 
==States and Local Municipalities==
Most states and even some cities asses a tax on income, further increasing the amount of money withheld before a worker even sees their paycheck.
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Most states and even some cities asses a tax on income, further increasing the amount of money withheld before a worker even sees their paycheck.  For example, in [[Maryland]], each [[county]] and the [[independent city]] of [[Baltimore]] collect a local income tax of up to 3.2%<ref>[http://individuals.marylandtaxes.com/incometax/localtax.asp Maryland Local Income Tax]</ref> on top of the state income tax, whose marginal rate is 4.75% for most earners and 6.25% for the top earners.<ref>[http://individuals.marylandtaxes.com/incometax/ratesbrackets.asp Maryland Income Tax Rates and Brackets]</ref>  This means that a taxpayer in [[Montgomery County, MD|Montgomery County]] pays a combined state and county rate of 7.95% if that person is a typical earner or 9.45% if that person is a top earner.
    
==Other Taxation systems==
 
==Other Taxation systems==
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