Business Tax Climate: Where Does Your State Rank?
The nonpartisan, nonprofit Tax Foundation has released a new interactive map that ranks U.S. states based on their business climate. States are ranked based on their:
- Corporate Tax Climate, which measures impacts of states’ major taxes on business activities, both corporate income and gross receipts taxes.
- Individual Tax Climate, which measures the impact of state and local taxes that fall on pass-through businesses.
- Sales Tax Climate, which measures the impact of both sales and excise taxes, particularly when they fall upon business inputs.
- Property Tax Climate, which measures impacts of real and personal property, inventory, estate, inheritance, and other wealth taxes.
- Unemployment Insurance (UI) Tax Climate, which measures the impact of state UI tax attributes, from schedules to charging methods, on businesses.
Wyoming, South Dakota, Alaska, Florida, and Montana have the highest ranked business tax climate while New Jersey, New York, California, the District of Columbia, and Connecticut have the worst.
Click here to see where your state ranks.