Nevada is ranked the third-best state for taxes on business, according to a new study released on Wednesday.
The newest edition of the Tax Foundation’s State Business Tax Climate Index also ranks Wyoming, Florida and Indiana among the ten best states for taxes on business.
New York, New Jersey and California wrestle with the worst tax codes in the country, the study notes.
The top 10 states in the study are, in order, Wyoming, South Dakota, Nevada, Alaska, Florida, Washington, Montana, New Hampshire, Utah and Indiana.
The worst states, in reverse order from No. 50, are New York, New Jersey, California, Minnesota, Rhode Island, Vermont, North Carolina, Wisconsin, Connecticut and Maryland.
In the new study, Texas dropped out of the top 10 for the first time, landing at No. 11. Arizona climbed five ranks to No. 22 and Kansas rose six spots to No. 20.
“The states that lost ground this year usually did so because they changed policy in a way that makes the tax code more complex, burdensome or economically harmful,” said Tax Foundation economist Scott Drenkard in a statement. “By contrast, the states that improved did so because they moved closer to a tax code that collects revenue without unnecessarily distorting business decisions.”
The Tax Foundation is a nonpartisan research association that has monitored fiscal policy at the federal, state and local levels since 1937.