When it comes to running a business, low and easy-to-understand taxes are always a plus. Here are the top five states for businesses when it comes to taxes, according to Tax Foundation’s 2014 State Business Tax Climate Index, which grades states based on their individual income tax, corporate tax, sales tax, unemployment insurance tax and property tax policies and rates.
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Wyoming has no corporate or individual income tax, and was ranked first in both categories. Plus, it ranked relatively well for sales tax, coming in at 14th on the list.
2. South Dakota
Like Wyoming, South Dakota has no corporate or individual income tax. However, its sales tax comes in at 34th place, which contributes to the state’s second-place finish.
Home of Sin City, Nevada also has no corporate or individual income tax. It also has a relatively low property tax, helping it rank 9th in that category.
“The Last Frontier” has no individual income tax or state-level sales tax. It falls around the middle of the pack when it comes to unemployment insurance tax and corporate tax, however, ranking 29th and 28th respectively.
Florida has no individual income tax, landing it in fifth place out of the 50 states. It does well across the board; all of its taxes rank within the top 20 in individual categories.