In its Business Tax Index 2009: Best to Worst State Tax Systems for Entrepreneurship and Small Business, the Small Business and Entrepreneurship Council (SBE Council) examined the tax systems of all fifty states plus the District of Columbia. Their goal was to determine which states offered the best and worst tax environments for small businesses. Their method was to look at sixteen tax measures such as income tax, consumption taxes, inheritance taxes and so on, and then combine them into a single score.
According to the report author, Raymond J. Keating, Chief Economist for the SBE Council, “Taxes shift resources away from the private sector, distort economic activity, and restrain economic growth. Without a doubt, taxes hit the bottom lines of entrepreneurs, investors and small businesses.” He also said that, “At the state and local levels, taxes have been piling up on small business owners. Many of states and localities continue to increase levies in various... [Read Full Article]