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In fact, 25 states have lower top marginal individual income tax rates now than they did in 2012.[1] As of 2023, when Iowas top rate drops to 6 percent (with further reductions to 3.9 percent),[2] Minnesota and Wisconsin will be left with the highest top marginal individual income tax rates of all the non-coastal states stretching from California to New York.[3] Adding to the urgency of reform, the COVID-19 pandemic quickly accelerated a trend toward more flexible workplace arrangements, and many workers now find themselves free to live in a state of their choosing while working for an employer in another

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