New Yorkers Pay How Much In Federal Tax?

As tax season continues across the country, there is a mini war brewing between the Federal Government and the Trump administration and several of the states within our national union.

Just days after President Trump and the Department of Transportation canceled New York State's Congestion Tax, the administration has threatened to force changes in other states as well. An example of this is a recent exchange between the President and the Governor of Maine, Janet Mills.

On Friday, February 21, 2025, President Trump threatened to stop all federal payments to the state of Maine after Governor Mills, and he got into a back-and-forth that ended with Mills saying, "We’ll see you in court." The aftermath of this dispute has the potential to create a national crisis, as the question has arisen: What happens if the state of Maine threatens to stop paying federal taxes to the Treasury?

Maine, like New York, is one of several states that actually pays more into the Federal Treasury than it draws out in resources. That begs the question: How much money do New Yorkers pay into the treasury, and what would happen if the Empire State did the same thing? Would that be a net negative or positive for New York State?

How Much Does New York Contribute To Federal Revenue

One of the key questions that comes up year after year is what benefit the Empire State actually receives from the Federal Government once you account for how much money leaves the state for Washington.

According to data from the US Census Bureau and research done by WalletHub and SmartAsset, New York is one of the states that is least dependent on the federal government.

In 2023, New York paid more than $330 billion to the Treasury but only received around $83 billion back. This means that New Yorkers pay around $4 for every $1 that they get. If New York decided to cut financial ties with the feds and stop the money, we'd see a net benefit of around $250 billion.

If things keep going the way they are, maybe it's time for the Empire State to strike it out on its own and start our own empire.