Yea. We Arizonans have something to be proud of in these difficult economic times – highest taxes in the United States. Arizona is number 3 at 9.01% and kicking the tax butt of the lower taxed 47 states. Tennessee is 1st (9.44%) and California is 2nd (9.08%). Seven Arizona cities can also crow about being in the top 25 highest taxed cities in the United States. Glendale #2 (9.6%), Phoenix #12 (9.4%), Tucson and Mesa tied at #16 (9.2%), Scottsdale #18 (9.05%) and Chandler and Gilbert are tied at #23 (8.9%).