In spite of having one of the most complicated sales tax systems in the United States, overall, Colorado continues to be a friendly state for businesses according to the latest release of the Small Business & Entrepreneurship Council Small Business Tax Index. The annual report ranks each state based on a series of 26 different measures that affect entrepreneurship for small businesses. Colorado came in 10th place on the survey’s small business tax index, and ninth place for overall best state tax systems.
“In the end, if the state’s tax burden is light on economic risk taking, then that will be good news for entrepreneurship, businesses, investment, economic and income growth, and job creation in each state,” said Raymond Keating, chief economist of the small business advocacy and research group according to The Business Times.
Colorado ranked in the top 20 states among eight of the measured tax areas, including state diesel taxes, personal income tax rates, capital gains tax rates, corporate income tax rates, and adjusted unemployment taxes.
The top 10 states for small businesses are Nevada, Texas, South Dakota, Wyoming, Washington, Florida, Alabama, Ohio, North Carolina, and Colorado.
The bottom 10 states for small businesses are Connecticut, Oregon, New York, Vermont, Hawaii, Iowa, Minnesota, Maine New Jersey, and in last place, California.
