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<br />CCM Economics, LLC Orange County Tax Equity Page 24 <br /> <br />Federal income taxes paid per capita was determined through a zip code level analysis of <br />IRS data. However, as Figure 17 illustrates, zip codes are not always fully contained within a <br />county line or municipality. Only 36% of zip code 27302 lies within Orange County. As <br />another example, 84.6% of zip code 27516 lies within Orange County and at the same time, zip <br />code 27516 includes households that are within two different municipalities—Carrboro and <br />Chapel Hill. A third issue might arise when a zip code fully contains all of a municipality, but <br />the municipality does not fully comprise the zip code. Such is the case with zip code 27278 and <br />the town of Hillsborough. Zip code 27278 is 96% within Orange County, but the town limits of <br />Hillsborough are fully contained within zip code 27278. <br />Figure 17. Zip code 27302 in Orange County <br /> <br />61