South Dakota has long been known as one of the most tax-friendly states in the country, so it might come as a surprise to see the Mount Rushmore State in the top ten on a list of states with the highest taxes.

In this case, it's the so-called 'sin tax' - additional fees tacked on to things deemed risky and unhealthy - like smoking, drinking, and gambling.

24/7 Wall Street reviewed revenue from those taxes as a percentage of a state's total tax revenue using data from the Census Bureau’s State Government Finances report and the American Gaming Association’s “State of the States” 2017 report.

Overall, South Dakota's 4.7 percent of revenue ($212.4 million) generated from 'sin taxes' is seventh highest in the nation. More than half of that money ($115.9 million) comes from the South Dakota Lottery.

One interesting note - South Dakota's $4.5 billion in total tax revenue is the lowest in the United States.

TOP TEN 'SIN TAX' STATES (Percentage of revenue) 

  1. Rhode Island (10.4%)
  2. West Virginia (6.9%)
  3. Nevada (6.7%)
  4. Delaware (6.6%)
  5. New Hampshire (5.8%)
  6. Maine (5.3%)
  7. South Dakota (4.7%)
  8. Pennsylvania (4.5%)
  9. Florida (4.1%)
  10. Tennessee (4.0%)

According to the latest figures, states across the country collected nearly $60 billion in revenue from 'sin taxes'.

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