Special Report

Most and Least Tax Friendly States for Business

Source: Joice Brinkerhoff / iStock via Getty Images

50. New Jersey
> Tax-friendliness score: 3.34/10
> Top individual income tax rate: 10.8% (4th highest)
> Top corporate income tax rate: 11.5% (the highest)
> State & avg. local sales tax rate: 6.6% (21st lowest)

49. New York
> Tax-friendliness score: 3.58/10
> Top individual income tax rate: 10.9% (3rd highest)
> Top corporate income tax rate: 7.3% (19th highest)
> State & avg. local sales tax rate: 8.5% (10th highest)

Source: adamkaz / E+ via Getty Images

48. California
> Tax-friendliness score: 3.59/10
> Top individual income tax rate: 13.3% (the highest)
> Top corporate income tax rate: 8.8% (8th highest)
> State & avg. local sales tax rate: 8.8% (7th highest)

Source: Jon Bilous / iStock via Getty Images

47. Connecticut
> Tax-friendliness score: 4.08/10
> Top individual income tax rate: 7.0% (13th highest)
> Top corporate income tax rate: 7.5% (16th highest)
> State & avg. local sales tax rate: 6.4% (18th lowest)

Source: DenisTangneyJr / iStock via Getty Images

46. Maryland
> Tax-friendliness score: 4.28/10
> Top individual income tax rate: 5.8% (21st highest)
> Top corporate income tax rate: 8.3% (11th highest)
> State & avg. local sales tax rate: 6.0% (13th lowest)

Sponsored: Tips for Investing

A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.

Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.