This reports contains Anderson Economic Group’s third annual state business tax burden rankings. To understand the burden taxes place on businesses in each state, it is important to look beyond the amount of tax revenue governments collect.

AEG’s tax burden measure compares the amount of taxes businesses actually pay to income available to pay the tax. We consider the ratio of taxes paid to profits earned to be the best indicator of the burden of state and local taxes on employers.

The rankings and other information in this report allow employers, policymakers, investors, and other stakeholders to compare the tax burdens imposed on employers in different states using a published and consistent methodology and fully disclosed data sources.

Click "view PDF" below for the most recent report. Or check out our past reports, also below.

2007 State Business Tax Burden Rankings

Benchmarking for Success: A Comparison of State Business Taxes