When I owned my own business in California back in the early eighties, the hardest thing for us as a start up was meeting the California Franchise Tax Board burden. The taxes on small businesses was brutal. It is with no great pleasure that I see that twenty-five years later California is still on the list as one of the worst of the worst, fifth from the very bottom out of 50 states.
Posted Oct 23, 2006
Ranked by the Tax Foundation
Every year the Tax Foundation publishes its “State Business Tax Climate Index,” which, according to foundation, “ranks how ‘business friendly’ the 50 state tax systems are, providing a roadmap for state lawmakers concerned with keeping their states tax competitive. . . . Keeping a state competitive in today’s global market can be difficult, but there is one factor lawmakers have direct control over: the quality of state tax systems. The index measures how well a state’s tax system encourages investment by maintaining a broad tax base and low rates.” Below are the 10 states that came in at the bottom of the Tax Foundation’s FY 2007 index, along with their FY 2006 ranking.
Rhode Island
FY 2006 Rank: 1Ohio
FY 2006 Rank: 4New Jersey
FY 2006 Rank: 3New York
FY 2006 Rank: 2Vermont
FY 2006 Rank: 5California
FY 2006 Rank: 9Nebraska
FY 2006 Rank: 6
Iowa
FY 2006 Rank: 7Maine
FY 2006 Rank: 8Minnesota
FY 2006 Rank: 12
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