Delaware ranks dead last in getting federal taxes back

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Source: WalletHub

Delaware ranks at the bottom in the percentage of federal money that returns to the state, according to a report from WalletHub.

The First State ranked 50th in return on Taxes Paid to the Federal Government; 45th in federal funding as a percentage of state revenue; and 40th in its share of federal jobs. The final score in various categories, led to the No. 50 ranking.

With the exception of Dover Air Force Base, large federal installations are non-existent in the state.

The top states in terms return on taxpayer dollars tend to have low average incomes, with Mississippi, New Mexico and Alabama ranking one, two and three.

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Less affluent states have a larger percentage of the population receiving the Earned Income Tax Credit. The credit, in effect serves as a reverse income tax that pays benefits to the working poor.

East Coast states, with more mature infrastructures and higher average average incomes rank lower in federal dollars, with New Jersey, Connecticut and Delaware, ranking 48th through 50th respectively.

One of the interesting findings from the survey is the fact that states that are more dependent on federal dollars tend to vote Republican and favor less government.

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