(The Center Square) — Louisiana ranked 44th worst in state population changes attributable to interstate migration in a study of the 2021-2022 timeframe.
The Tax Foundation used the IRS and some other non-governmental data to grade each state and county or parish. The Pelican State’s net loss of residents relative to the population was 0.57%, or over 26,000.
For comparison, every other state in the Southeast had a population gain except Mississippi, which ranked 26th with only a 0.02% loss, or 512 residents. South Carolina was first with a 1.36% gain, Florida second with a 1.12% gain and Texas 10th with a 0.61% gain.
The thousands of Louisianans leaving for other states accounted for $0.88 billion in adjusted gross income. That’s relatively low compared to the other mainland states in the bottom 10. New York, 50th, lost $14.6 billion and California at 49th lost $23.79 billion.
Every parish from central to northeast Louisiana lost residents and income besides a couple outliers like Union and Webster.
Plaquemines Parish saw the largest dip at 2.39% in migration, accounting for over $16 million. Some South East parishes saw growth like East Baton Rouge, Ascension and Livingston.
The group acknowledged there is a strong positive relationship between state tax competitiveness and net migration. Overall, states with lower taxes and sound tax structures experienced stronger inbound migration than states with higher taxes and more burdensome tax structures.
Of the 10 states that experienced the largest gains in income taxpayers, four do not levy individual income taxes on wage or salary income at all. Additionally, eight of the top 10 states either forgo individual income taxes on wage and salary income, have a flat income tax or are moving to a flat income tax.
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Although the charts and data show this is the case, Louisiana is unique in that it’s middle of the road in personal income tax rate but much lower in migration. Still, the foundation urged every state to see how tax rates, and by correlation migration, affects adjusted gross income and the state economy.
Among taxpayers with $200,000 or more in adjusted gross income, the most attractive destinations were Florida, Texas, North Carolina, South Carolina and Arizona, while the least attractive states were California, New York, Illinois, Massachusetts and New Jersey.