NEW YORK (MainStreet) — The State of Wyoming has the best business tax climate in the country.
And, once again, my former home state of New Jersey has the worst business climate, beating out New York and California.
So says the Tax Foundation in its “2015 State Business Tax Climate Index.”
“The Tax Foundation’s State Business Tax Climate Index enables business leaders, government policymakers, and taxpayers to gauge how their states’ tax systems compare," the Tax Foundation says. "While there are many ways to show how much is collected in taxes by state governments, the Index is designed to show how well states structure their tax systems, and provides a road-map to improving these structures.”
The index compares the states on more than 100 different variables in five areas of taxation - corporate taxes, individual income taxes, sales taxes, unemployment insurance taxes and property taxes. It provides individual scores for each of these taxes, and adds the results to come up with an overall ranking.
According to the study, the top five states are -
- 1. Wyoming
- 2. South Dakota
- 3. Nevada
- 4. Alaska
- 5. Florida
- 46. Vermont
- 47. Minnesota
- 48. California
- 49. New York
- 50. New Jersey
The most improved state is North Carolina, moving up from 44th place last year to 16th place this year. North Carolina improved its ratings in the corporate, individual and sales tax components of the Index thanks to a tax reform package that continues to phase in.
--Written by Robert Flach for MainStreet