State and local governments spent $3.2 trillion on direct general government in fiscal year 2018.

Alcohol taxes are selective sales taxes typically levied as an amount per unit sold (i.e., per gallon of beer)  and collected from the producer or seller of the product. However, the taxes are included in the final purchase price and thus passed on to consumers.

All states tax cigarettes, but rates vary significantly. Cigarette taxes are typically paid per pack.  In 2019, Missouri imposes the lowest state cigarette tax rate ($0.17) and the District of Columbia and New York have the highest ($4.35). 

In 2019, 12 states and the District of Columbia levied an estate tax, and six levied an inheritance tax. Maryland levied both.

General sales taxes are taxes on goods and services purchased by consumers. The tax is a percentage of the retail price and added to the final purchase price paid by consumers. General sales taxes are separate from selective sales taxes on specific purchases such as alcohol, motor fuel, and tobacco.

All states tax motor fuels. In 2021, per gallon gas tax rates ranged from 8.95 cents in Alaska to 57.6 cents in Pennsylvania.

While no state currently taxes sweetened beverages, several localities levy what’s commonly referred to as a soda tax. 

Pensions that are already underfunded may face additional demographic pressures, as fewer active workers are available to provide contributions that help support benefit payments to current retirees.