Which states have the highest taxes? You might be surprised.

Taxachusetts? Not quite. If you compare states by how large state and local tax collections are as a percentage of personal income, Massachusetts ranks only 32 in the states, though those governments still manage to take over 10 percent of personal income.

The "number one" state is New York, in which nearly 15 percent of personal income is taken by state and local governments.

Close behind is Wyoming. (Wyoming? I'm going to guess that's due to the state's severance task on coal, meaning that a large portion of the state's cost of government is exported to coal consumers in other states.)

The third most-expensive state for state and local services is Maine, in which 13.07 percent of personal income goes to government. The Maine Heritage Policy Center provides provides these numbers, using Census Bureau data.

Another way of looking at the tax burden in the state is that just over one-third (PDF) of the state's income is in the public sector (PDF). There's a lot of income redistribution rather than income production going on.

The cost of government can be seen not just in how much it takes out in dollars sent to the capitol. There are also compliance costs. For every $7.50 in sales tax that small businesses in Maine collect for government, they incur one dollar of their own expenses.

Though each of these costs are less obvious than the federal income tax, they also have an effect on a state's economy, making it imperative that policymakers do all they can to reduce rather than grow the burden of government.