Special Report

Most and Least Tax Friendly States for Business

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20. Colorado
> Tax-friendliness score: 5.23/10
> Top individual income tax rate: 4.6% (15th lowest)
> Top corporate income tax rate: 4.6% (11th lowest)
> State & avg. local sales tax rate: 7.8% (16th highest)

19. North Dakota
> Tax-friendliness score: 5.24/10
> Top individual income tax rate: 2.9% (8th lowest)
> Top corporate income tax rate: 4.3% (10th lowest)
> State & avg. local sales tax rate: 7.0% (24th lowest)

Source: Joecho-16 / iStock via Getty Images

18. Idaho
> Tax-friendliness score: 5.28/10
> Top individual income tax rate: 6.0% (18th highest)
> Top corporate income tax rate: 6.5% (23rd highest)
> State & avg. local sales tax rate: 6.0% (14th lowest)

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17. Kentucky
> Tax-friendliness score: 5.28/10
> Top individual income tax rate: 5.0% (24th lowest)
> Top corporate income tax rate: 5.0% (17th lowest)
> State & avg. local sales tax rate: 6.0% (13th lowest)

Source: ChrisBoswell / iStock via Getty Images

16. Delaware
> Tax-friendliness score: 5.32/10
> Top individual income tax rate: 6.6% (16th highest)
> Top corporate income tax rate: 8.7% (9th highest)
> State & avg. local sales tax rate: 0.0% (4th lowest)

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