Florida To Experience Friendly Tax Climate
The Tax Foundation’s State Business Tax Climate Index report recently got released, and it’s got some good news for Florida lawmakers and those with a FL Tax ID, as the state manages to rank in the highest spots once again.
The Tax Foundation ranks all 50 states’ tax structures based on 100 variables, comparing how each respective state’s tax policies affect the businesses, families and individual taxpayers. The ranking is then revealed in the yearly report, which is released at October annually.
This year, Florida was ranked as #4, having the fourth-best state tax structure in the US, even taking account levies on corporations, sales, unemployment insurance, property and individual income.
Tax Foundation Media Relations Manager, John Buhl elaborates, saying that Florida’s tax structure is reliant on sales tax revenues, more than the other states, as a result of having no income tax. Buhl says that the state’s sales tax structure ranks 29th, but it ranks quite well on property taxes as well as unemployment insurance taxes.
Florida League of Cities Senior Legislative Advocate, Amber Hughes, says that the state of Florida has well-designed taxes, which benefits people with a FL Tax ID, with the state consistently ranking within the top five of the Tax Foundation’s ranking, with other studies ranking the state just as high.
Hughes also says that the fact that Florida doesn’t have personal income taxes means that Florida is attractive to business owners who are hoping to escape the more unfriendly states. He adds that Florida’s high ranking is due to personal income tax, which the state of Florida does not have, is a big factor.
Florida’s taxpayer-friendly climates means that it attracts business owners looking to move, as well as incentivizing entrepreneurs to expand their range of operations, according to Hughes. This not only creates new job opportunities, but also creates nice communities as well as strengthening the economy, which he believes is what most Florida taxpayers want.
Florida’s state taxes are linked to personal income growth, which Hughes elaborates upon, saying that this means that the burden of the state’s taxes don’t rise too fast, certainly not faster than a resident or a business’ ability to pay for it on time.