The Washington, D.C.-based Tax Foundation on Wednesday released its annual ranking of business tax climates in all 50 states. Maine came in at 29th overall, an improvement from last year’s ranking of 30th.
The report ranks states according to corporate taxes, individual income tax, sales tax, unemployment insurance tax, and property tax. In each of those areas, Maine ranked as follows:
Corporate – 45th
Income – 21st
Sales – 9th
Unemployment – 33rd
Property – 40th
Maine’s improved business climate is the product of tax reform the Republican-controlled 125th Legislature enacted with Gov. Paul LePage, but also policy changes in other states.
The Tax Foundation did not, however, take in to account the tax increases on sales, meals and lodging, which took effect Oct. 1. If the new tax increases were taken into account, Maine’s ranking may not have improved.
Maine Wire Reporter