New York ranked near the bottom for having the worst business tax climate in the country, according to a report from the Tax Foundation.
The Empire State placed 49th in the analysis of how business friendly the state is with regard to taxation. The report scored the states in five categories of taxation including corporate taxes, income taxes, sales tax, unemployment insurance taxes and property taxes, according to the executive summary.
The only state to fare worst that New York was New Jersey. New York has been remarkably consistent, staying at the same rank from 2015 to now.
New York was hurt by its relatively high income sales and property taxes, according to the report from the independent tax policy nonprofit. It ranked 49th for worst income taxes, 44th for sales tax burden and 46th in the property tax category. It fared better in the ranking for unemployment insurance, where it ranked 31st.
Its best category was corporate taxes, where the state finished seventh. New York has improved from its 20th place ranking in 2015 for this category. The state is phasing in a corporate tax reform package.
New York groups reacted to the ranking. Unshackle Upstate Executive Director said it was “extremely disappointing, but not surprising.”
“For the last decade, New York has had one of the worst business tax climates in the nation. This is a sad status quo that sends an embarrassing and harmful message to businesses looking to bring jobs to New York. Additionally, hardworking residents – especially upstate – will continue to flee the state in search economic of opportunity in other parts of the country.
He asked legislators to reduce the tax burden, cut regulatory red tape and promote private sector job growth.