“One of North Carolina’s competitive advantages for several years has been its 2.5% corporate tax rate — the lowest of the 44 states that levy such a tax.”
RALEIGH – North Carolina earned top marks in yet another business climate ranking after a decade of pro-economy, pro-business policies in the Republican-led General Assembly.
Site Selection Magazine placed North Carolina No. 1 in the country in its 2021 Business Climate Rankings. The magazine noted that North Carolina’s tax policies in particular helped propel the state to the top of the rankings: “One of North Carolina’s competitive advantages for several years has been its 2.5% corporate tax rate — the lowest of the 44 states that levy such a tax.”
Sen. Steve Jarvis (R-Davidson) said, “As a small business owner, it is my goal to help keep North Carolina an environment where businesses can thrive and families can work. It is clear that the policy of low taxes and incentivizing business is a strategy that succeeds. A friendly environment for business will help carry our state into a bright and prosperous future.”
The Economic Development Partnership of North Carolina credited the state’s tax policies for its competitive business climate: “When I got here in 2015, the state was already a couple of years into the process of reforming taxes and reducing a lot of credits and incentives in favor of a broader tax base but a lower rate,” says Chris Chung, CEO of the Economic Development Partnership of North Carolina.”The net result of that is a tax climate where, whether it’s an expansion or a new firm locating here, we do very well in just about every imaginable scenario.”
Last year, CNBC ranked North Carolina No. 2 on its list of top states for business.
Recently, Lending Tree ranked North Carolina the top place in the country to start a small business.