Special Report

Most (and Least) Tax-Friendly States for Business

Santa Fe, New Mexico
Source: Wikimedia Commons

35. New Mexico
> State sales tax rate: 5.1% (19th lowest)
> Property taxes collections per capita: $685 (4th lowest)
> Unemployment rate: 6.8% (the highest)
> Top individual income tax rate: 4.9% (16th lowest)
> Top corporate income tax rate: 6.2% (tied-20th lowest)

Kentucky (horse farm)
Source: Thinkstock

34. Kentucky
> State sales tax rate: 6.0% (tied-16th highest)
> Property taxes collections per capita: $732 (5th lowest)
> Unemployment rate: 4.9% (tied-17th highest)
> Top individual income tax rate: 6.0% (tied-19th highest)
> Top corporate income tax rate: 6.0% (tied-15th lowest)

Shenandoah National Park, Virginia
Source: Thinkstock

33. Virginia
> State sales tax rate: 5.3% (20th lowest)
> Property taxes collections per capita: $1,430 (18th highest)
> Unemployment rate: 3.9% (16th lowest)
> Top individual income tax rate: 5.8% (tied-24th highest)
> Top corporate income tax rate: 6.0% (tied-15th lowest)

Birmingham, Alabama 2
Source: Thinkstock

32. Alabama
> State sales tax rate: 4.0% (tied-7th lowest)
> Property taxes collections per capita: $548 (the lowest)
> Unemployment rate: 6.2% (3rd highest)
> Top individual income tax rate: 5.0% (tied-18th lowest)
> Top corporate income tax rate: 6.5% (tied-23rd highest)

Oklahoma house
Source: Thinkstock

31. Oklahoma
> State sales tax rate: 4.5% (tied-13th lowest)
> Property taxes collections per capita: $595 (2nd lowest)
> Unemployment rate: 4.6% (23rd highest)
> Top individual income tax rate: 5.0% (tied-18th lowest)
> Top corporate income tax rate: 6.0% (tied-15th lowest)