2030 Goal Leader Updates

2030 Goal Leader Update: #1 business tax climate in the nation

Florida continues to rank 4th in the Tax Foundation’s 2021 State Business Tax Climate Index, following Wyoming, South Dakota and Alaska. Of the components that the Tax Foundation analyzes each year, Florida’s corporate income tax component jumped from 9th to 6th this year. This improvement is related to a reduced corporate income tax rate and tax refunds that the Florida Legislature implemented in 2018 and 2019 in response to the federal Tax Cuts and Jobs Act of 2017. However, the corporate rate reduction is set to expire on January 1, 2022, and without legislative action, Florida’s corporate income tax ranking may decline. Of the 3 states that rank higher than Florida, Alaska, South Dakota and Wyoming do not have an individual income tax, South Dakota and Wyoming do not have corporate income taxes, and Alaska does not have a state sales tax. Florida ranks in the top half in each of the 5 components that the Tax Foundation analyzes- Corporate Income Tax (#6), Individual Income Taxes (#1), Sales Taxes (#21), Property Taxes (#13) and Unemployment Insurance Taxes (#2).

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