Louisiana finished 41st in a new study by the Tax Foundation , which identifies states that best structure their tax systems.
All 50 states tax private property and unemployment insurance, according to the foundation’s analysis, “2020 State Business Tax Climate Index.” Several states have no major taxes on corporate income, individual income and even sales.
Many of the highest-rated states lack one of these major taxes. However, some states that levy all the major taxes had high scores because their tax structures feature low rates and are broadly levied, the foundation explains.
Louisiana ranked 37th for its corporate tax, 32nd for individual income taxes, 48th for sales taxes and 33rd in the property tax category.
The states at the bottom of the ranking tend to have complex, non-neutral systems for raising revenues, along with relatively high tax rates, according to the report.
—
How Do State Tax Systems Measure Up?
| State | Overall Rank | Corporate Tax Rank | Individual Income Tax Rank | Sales Tax Rank | Property Tax Rank | Unemployment Insurance Tax Rank |
| Wyoming | 1 | 1 | 1 | 6 | 39 | 27 |
| South Dakota | 2 | 1 | 1 | 35 | 22 | 44 |
| Alaska | 3 | 26 | 1 | 5 | 25 | 46 |
| Florida | 4 | 9 | 1 | 23 | 13 | 2 |
| Montana | 5 | 21 | 25 | 3 | 12 | 20 |
| New Hampshire | 6 | 43 | 9 | 1 | 44 | 45 |
| Nevada | 7 | 25 | 5 | 44 | 10 | 47 |
| Oregon | 8 | 33 | 38 | 4 | 18 | 36 |
| Utah | 9 | 12 | 10 | 22 | 5 | 15 |
| Indiana | 10 | 11 | 15 | 20 | 2 | 25 |
| Delaware | 11 | 50 | 41 | 2 | 6 | 3 |
| Michigan | 12 | 18 | 12 | 9 | 24 | 17 |
| Texas | 13 | 47 | 6 | 36 | 38 | 12 |
| Missouri | 14 | 5 | 24 | 24 | 7 | 9 |
| North Carolina | 15 | 3 | 16 | 21 | 34 | 10 |
| North Dakota | 16 | 19 | 20 | 27 | 3 | 13 |
| Colorado | 17 | 7 | 14 | 37 | 14 | 43 |
| Tennessee | 18 | 24 | 8 | 47 | 31 | 24 |
| Washington | 19 | 41 | 6 | 49 | 27 | 19 |
| Arizona | 20 | 22 | 17 | 40 | 8 | 6 |
| Idaho | 21 | 29 | 26 | 12 | 4 | 48 |
| New Mexico | 22 | 20 | 31 | 41 | 1 | 8 |
| West Virginia | 23 | 15 | 28 | 18 | 17 | 29 |
| Kentucky | 24 | 17 | 18 | 14 | 36 | 49 |
| Virginia | 25 | 14 | 35 | 11 | 32 | 41 |
| Wisconsin | 26 | 30 | 37 | 7 | 23 | 37 |
| Oklahoma | 27 | 8 | 33 | 39 | 19 | 1 |
| Nebraska | 28 | 31 | 21 | 10 | 41 | 11 |
| Pennsylvania | 29 | 46 | 19 | 17 | 21 | 42 |
| South Carolina | 30 | 4 | 34 | 31 | 30 | 26 |
| Mississippi | 31 | 10 | 27 | 34 | 37 | 5 |
| Georgia | 32 | 6 | 36 | 29 | 28 | 39 |
| Maine | 33 | 38 | 22 | 8 | 43 | 32 |
| Kansas | 34 | 35 | 23 | 38 | 20 | 14 |
| Illinois | 35 | 36 | 13 | 33 | 40 | 40 |
| Massachusetts | 36 | 39 | 11 | 13 | 48 | 50 |
| Hawaii | 37 | 16 | 47 | 30 | 11 | 28 |
| Ohio | 38 | 42 | 44 | 32 | 9 | 7 |
| Rhode Island | 39 | 40 | 29 | 25 | 45 | 31 |
| Alabama | 40 | 23 | 30 | 50 | 15 | 18 |
| Louisiana | 41 | 37 | 32 | 48 | 33 | 4 |
| Iowa | 42 | 48 | 42 | 15 | 35 | 35 |
| Maryland | 43 | 32 | 45 | 19 | 42 | 33 |
| Vermont | 44 | 45 | 39 | 16 | 49 | 16 |
| Minnesota | 45 | 44 | 46 | 28 | 26 | 34 |
| Arkansas | 46 | 34 | 40 | 46 | 29 | 23 |
| Connecticut | 47 | 27 | 43 | 26 | 50 | 21 |
| California | 48 | 28 | 49 | 45 | 16 | 22 |
| New York | 49 | 13 | 48 | 43 | 46 | 38 |
| New Jersey | 50 | 49 | 50 | 42 | 47 | 30 |
* 1 is best; 50 is worst
Source: Tax Foundation
This is a revised article first published by The Center Square.
Advertisement
Advertisement
