April 15 just passed, but your state tax responsibilities sure haven’t. Check out where your state ranks in a whole host of different taxes.
Of course, you probably feel the tax burden acutely. But to benchmark your experience against your peers’, the folks at the Tax Foundation recently released its “2009 Facts and Figures How Does Your State Compare?” report.
Take a gander.
Business Tax Climate
First, the big picture. Here are the ten best (and worst) states overall to run a business in, tax-wise.
| 10 Best | 10 Worst |
| 1. Wyoming | 1. New Jersey |
| 2. South Dakota | 2. New York |
| 3. Nevada | 3. California |
| 4. Alaska | 4. Ohio |
| 5. Florida | 5. Rhode Island |
| 6. Montana | 6. Maryland |
| 7. Texas | 7. Iowa |
| 8. New Hampshire | 8. Vermont |
| 9. Oregon | 9. Nebraska |
| 10. Delaware | 10. Minnesota |
Of course, that list doesn’t tell the whole story.
The tax climate index is comprised of a whole host of different types of business taxes. If your state scores particularly high (or low) on a specific tax type, it could skew your ranking.
To get a clearer picture, check out the rankings based on specific types of business taxes.
Corporate Tax
| 10 Best | 10 Worst |
| 1. Nevada | 1. New Hampshire |
| 1. Wyoming | 2. Delaware |
| 1. South Dakota | 3. Michigan |
| 4. Virginia | 4. Massachusetts |
| 5. Missouri | 5. Iowa |
| 6. Utah | 6. California |
| 7. Oklahoma | 7. Minnesota |
| 8. Georgia | 8. Maine |
| 9. South Carolina | 9. Texas |
| 10. Mississippi | 10. Pennsylvania |
Sales Tax
| 10 Best | 10 Worst |
| 1. New Hampshire | 1. Washington |
| 2. Delaware | 2. New York |
| 3. Montana | 3. Tennessee |
| 4. Alaska | 4. New Mexico |
| 5. Oregon | 5. Louisiana |
| 6. Virginia | 6. Arizona |
| 7. Kentucky | 7. Nevada |
| 8. Maine | 8. California |
| 9. Massachusetts | 9. Nebraska |
| 10. Maryland | 10. New Jersey |
Unemployment Insurance Tax
| 10 Best | 10 Worst |
| 1. Oklahoma | 1. Rhode Island |
| 2. Arizona | 2. Massachusetts |
| 3. Florida | 3. Kentucky |
| 4. Missouri | 4. Alaska |
| 5. Mississippi | 5. Michigan |
| 6. North Carolina | 6. Idaho |
| 7. Delaware | 7. New York |
| 8. Kansas | 8. Illinois |
| 9. Texas | 9. Nevada |
| 10. Louisiana | 10. South Carolina |
Property Tax
| 10 Best | 10 Worst |
| 1. New Mexico | 1. New Jersey |
| 2. Utah | 2. Connecticut |
| 3. Idaho | 3. Nebraska |
| 4. Arizona | 4. Pennsylvania |
| 5. North Dakota | 5. Ohio |
| 6. Colorado | 6. New York |
| 7. Indiana | 7. Massachusetts |
| 8. Delaware | 8. Rhode Island |
| 9. Hawaii | 9. Vermont |
| 10. Montana | 10. Illinois |
And if your state appears on one or more of these “worst” lists? It doesn’t mean you need to suggest pulling up stakes and searching for a new corporate headquarters.
But you might want to devote some extra time and even money to shoring up compliance in those areas.
For example, if your state is notoriously tough when it comes to sales tax, it might be worth investing in software to boost your company’s compliance. (It may even expose some areas where you could save money.)
