Federal Tax Burdens and Expenditures: Alaska is a Beneficiary State

Alaska taxpayers receive more federal funding per dollar of federal taxes paid compared to the average state. Per dollar of Federal tax collected in 2005, Alaska citizens received approximately $1.84 in the way of federal spending. This ranks the state 3rd highest nationally and represents a large rise from 1995 when Alaska received $1.21 per dollar of taxes in federal spending (then ranked at 17th highest nationally).


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That's a common sense finding. Alaska is, by far, the largest state in terms of land area. However, it has one of the smallest income tax revenues in the country. There are huge swaths of land that the government owns that demand funding as well as infrastructure that benefits the entire country beause of the oil production.

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