BUSINESS

Nevada taxpayers receive seventh-largest tax refunds in US, analysis finds

About 42% of U.S. taxpayers are also depending on their tax refund to help with their finances, including paying debt.

Portrait of Jason Hidalgo Jason Hidalgo
Reno Gazette Journal

Lucky No. 7 apparently doesn’t just apply to gambling when it comes to Nevada.

A recent study found that Nevadans ranked among the top in the U.S. for tax returns, receiving the seventh-largest tax refunds nationwide.

On average, Nevada residents received $5,090 in tax refunds, according to an analysis by LendingTree. That’s higher than the national average of $4,381.

The study looked at the latest annual tax return data available from the IRS, which covered returns filed from Jan. 1 to Dec. 31 in 2023, for the 2022 tax year.

So which state saw the highest tax returns in the nation? That would be Wyoming, whose residents saw an average return of $6,367. At the bottom of the list is West Virginia, which saw an average tax return of $3,183.

Overall, two in five taxpayers say they rely on their tax refunds to help with finances, with a third of those planning to use their refunds to pay off debt. Those who depend on their tax refunds the most are:

  • Parents with children younger than 18: 54%
  • Millennials, ages 29 to 44: 49%
  • Those earning less than $30,000: 48%

“Millions of American families have little to no margin for error financially,” said Matt Schulz, chief consumer finance analyst for LendingTree.

“They’re living paycheck to paycheck on a tight budget, and a substantial tax refund can make things significantly easier for them.”

Nevadans receive the 7th largest tax refunds in the nation, a LendingTree analysis found.

Which top 10 US states have the highest tax refunds?

Here are the top 10 states that saw the highest average tax refunds in the nation:

  1. Wyoming: $6,367
  2. Florida: $5,934
  3. District of Columbia: $5,848
  4. Connecticut: $5,284
  5. New York: $5,263
  6. Massachusetts: $5,092
  7. Nevada: $5,090
  8. Texas: $4,921
  9. Illinois: $4,604
  10. New Jersey: $4,541

What are the 10 US states with the lowest tax refunds?

Here is a list of the top 10 states in the U.S. with the lowest average tax refunds.

  1. Maine: $3,199
  2. New Mexico: $3,394
  3. Oregon: $3,472
  4. Kentucky: $3,490
  5. Iowa: $3,537
  6. Ohio: $3,562
  7. Vermont: $3,575
  8. Wisconsin: $3,580
  9. Minnesota: $3,664
  10. Rhode Island: $3,671

— This story was updated to add a link to the LendingTree study.