Fact check: What are the top donor states that send more tax revenue to federal government than they receive back?

1. Summary of the results

The data shows a clear pattern of wealthy states, particularly California and New York, being consistent "donor states." Specifically:

• California contributed $83-126.5 billion more than it received in fiscal 2022 (depending on whether COVID aid is included), and has ranked among top 5 donor states since 2015 ^[1]
• New York was the largest donor state in 2019, with a negative balance of $22.8 billion, receiving only $0.91 for every dollar paid ^[2]
• Prior to COVID-19, there were eight total donor states ^[2]

2. Missing context/alternative viewpoints

Several important contextual factors need to be considered:

• The donor state status is heavily influenced by state wealth and income levels. California's status is due to its large economy, high-income professionals, and entrepreneurs, combined with a relatively low poverty rate ^[1]
• The dynamics have shifted significantly by 2024, with both red and blue states receiving more federal funds than they contributed, though red states still receive more per dollar paid ^[3]
• This discussion is taking place within a broader context of potential federal funding cuts being explored by the Trump administration, which could significantly impact state budgets ^[4]

3. Potential misinformation/bias in the original statement

The question itself might lead to oversimplified conclusions without considering:

• The temporal nature of these relationships - what was true in 2019 or 2022 has changed by 2024 ^[3]
• The impact of extraordinary events like COVID-19 on federal funding patterns
• The underlying socioeconomic factors that create these disparities, such as:

Progressive tax structures ^[1]

Concentration of high-income earners ^[2]

• State poverty rates and resulting federal assistance needs ^[1]

Those who benefit from emphasizing the donor state narrative often include:

• Democratic politicians in wealthy blue states, who can use this data to argue against federal funding cuts
• State-level fiscal conservatives arguing for reduced federal taxation
• State governments negotiating for better federal funding arrangements