CATEGORIES

Categorized | Breaking News

Advocacy list: Florida one of best small biz states

The Small Business & Entrepreneurship Council (SBE Council) published the “Business Tax Index 2011: Best to Worst State Tax Systems for Entrepreneurship and Small Business.” The index ranks the 50 states and District of Columbia according to the costs of their tax systems for entrepreneurship and small business.

Raymond J. Keating, chief economist for SBE Council and author of the report, said, “Higher taxes have an impact on a state’s competitiveness. There is a reason why low tax states are better able to attract investment, and ‘Business Tax Index 2011’ helps to shed light on the tax burdens that are affecting the decisions of individuals and businesses. In many states, elected officials continue to propose tax increases – and actually raise them – in order to fund out-of-control government spending. High levels of spending translate into increased tax burdens on the entrepreneurs and investors who drive economic growth and job creation.”

SBE Council’s “Business Tax Index 2011″ pulls together 18 different tax measures, and combines those into one tax score that allows the 50 states and District of Columbia to be compared. Among the taxes included are income, capital gains, property, death/inheritance, unemployment, and various consumption-based taxes, including state gas and diesel levies.

Keating added: “State and local taxes affect the decisions made by entrepreneurs, investors, businesses and individuals. Several states in recent years have hiked taxes in response to excessive government spending, and declining revenues in a down economy. In high-tax states, elected officials have refused to cut spending or slow its growth. The implications for entrepreneurship, small businesses, competitiveness, investment and employment are significant.”

According to the “Business Tax Index 2011,” the 15 best tax systems are:

1. South Dakota

2.Texas

3. Nevada

4.) Wyoming

5. Washington

6. Florida

7. Alabama

8. Alaska

9. Ohio

10. Colorado

11. South Carolina

12. Mississippi

13. Oklahoma

14. Virginia

15. Missouri

The 15 worst state tax systems are:

37. Illinois

38. North Carolina

39. Nebraska

40. Connecticut

41. Oregon

42. Rhode Island

43. Hawaii

44. Vermont

45. California

46. Maine

47. Iowa

48. New York

49. New Jersey

50. Minnesota and

51. District of Columbia

SBE Council President & CEO Karen Kerrigan added: “The path is pretty simple for elected officials that want to attract investment, encourage small business growth and create jobs.  Keep taxes low, and get spending under control.  In several states – particularly those that are making headlines such as Ohio and Wisconsin – the Governors are working to do just that, and these states will reap the benefits of their sound approach.  A competitive tax system will help small businesses grow, and allow each state’s economy to thrive.”

About the SBE Council

SBE Council is a national, nonpartisan advocacy organization dedicated to protecting small business and promoting entrepreneurship.


Leave a Reply