Wyoming Ranks #1 For Most Favorable Business Tax Climate

There is a reason so many rich people have moved to Wyoming.

There is a reason that despite the economic problems this nation is facing, Wyoming is not doing too bad.

It is in part because, according to a new ranking, Wyoming has the most favorable tax climate in the nation for businesses.

The Tax Foundation’s 2023 index of states based on their business tax climates has Wyoming ranked #1.

YUP - Top of the list.

The index gauges how states’ tax systems compare to other states.

“While there are many ways to show how much is collected in taxes by state governments, the Index is designed to show how well states structure their tax systems and provides a road map for improvement," the Tax Foundation said.

Wyoming’s high ranking is due to low tax rates for businesses and no individual income tax.

“Wyoming has the enviable position of neither levying an individual or a corporate income tax and having competitive residential property taxes,” said Jared Walczak, the Tax Foundation’s vice president of state projects. “Of course, this is possible because of the state’s heavy reliance on severance taxes, something that is not available at least at that level to most states and that has been a source of volatility in the past, but the Index is measuring tax structure and it is hard to get the structure of your income taxes wrong if you do not have any income taxes.” (Tax Foundation).

Below Wyoming are South Dakota, Alaska, Florida, and Montana, respectively.

The states at the bottom of the list, with the heaviest tax burdens, are Maryland, Connecticut, California, New York, and New Jersey.