The constitution in color

[Plane]

Since State income tax is deductible low tax states tend to subsidize high tax states.

The rate of remuneration can reflect this or not , depending on what you want to count.

Generally this robs the south and pays the north.

Taxpayers who itemize their deductions are allowed to deduct state and local taxes from their federal taxable income. This deduction is limited to either income or sales taxes, but not both. Personal property taxes, such as local taxes on housing and real estate, can also be deducted. The main benefit of this deduction is to provide some tax relief to taxpayers living in states with higher taxes, since they have less disposable income. However, this benefit also points to the main cost of the deduction: it subsidizes higher taxes and spending at the local level, since taxpayers in those states will not feel the full burden of the taxes. Instead, the burden of these taxes is in some sense “exported” to taxpayers in other states, since federal tax rates must be higher than otherwise to fund the same level of federal spending. http://mercatus.org/publication/deduction-state-and-local-taxes-federal-income-taxes

[Xavier_Onassis]

In really doubt that this is true, because the Southern states are poorer than the Northern ones.

One tax system for the entire country would make better sense. The states engaging in bidding wars to offer freebies to rich corporations does not benefit the people.

[Plane]

   It is true , it has been true a long time.

     There are reasons that the South is poorer , and here is one of the small ones.

     Did you know that the railroads used to charge differentially on freight ? The
South had to pay more, all those tycoons were Republicans.

[Xavier_Onassis]

Railroads were shameless thieves in the robber baron period.
It is probably accurate to say that most of the robber barons were Republicans.

But in the late 1800's and early 1900's, the reformers were former Republicans before they started advocating reforms, like Bob LaFollette and his Progressive Party.

T. Roosevelt split from the GOP in 1912 to run on his own Bullmoose Party platform. He lost, and Wilson won.
I can't say that I think the country would have been better off had TR won.  The US getting into WWI was a terrible idea, and TR liked wars.