The Minnesota Chamber of Commerce released its 2023 Business Benchmarks report and, not surprisingly, Minnesota’s high tax rates continue to be a concern as Minnesota businesses try to compete with neighboring states that enjoy friendlier tax climates.
From the Chamber’s report:
“Inflation and high costs are impacting consumers across the nation. But in some states, like Minnesota, businesses and families are experiencing a compounding effect from self-imposed headwinds like high tax rates.
“Minnesota’s tax burdens continue to be among the highest in the nation, with the sixth-highest individual income tax rate and the corporate tax rate set to be highest in the nation by 2024. Other states – 27 states, to be exact – have reformed their tax systems in the last two years to become more attractive for business investment, talent and growth.
“The fact that these states took action on the heels of the pandemic amid all of its uncertainty shows that forward progress can be achieved. Inaction is also a choice and could make Minnesota’s tax structure one of the least competitive in the nation.”
Check out the entire Minnesota Chamber’s Business Benchmarks report here.