A new report from the Tax Foundation (TF) ranks Texas among the top ten best states in the nation when it comes to business tax climates. This year, Texas ranked ninth, finishing four places higher than last year thanks, in part, to absence of a state income tax.
For those unfamiliar with TF’s annual ranking, it’s based on the State Business Tax Climate Index which “accounts for dozens of state tax provisions, creating a single easy-to-use score that measures each state against the tax climates of every other state…The Index enable business leaders, government policymakers, and taxpayers to gauge how their states’ tax systems compare.”
Among the other states to rank highly on the list are: Wyoming (1); South Dakota (2); Nevada (3); Alaska (4); Florida (5); New Hampshire (6); Washington (7); Montana (8); and Utah (10).
Populating this year’s list of worst business tax climates are: Iowa (41); Maryland (42); Wisconsin (43); North Carolina (44); Minnesota (45); Rhode Island (46); Vermont (47); California (48); New York (49); and New Jersey (50).
To read the Tax Foundation’s study in full, click here.
-James Quintero