Tag Archives: business recruitment

Report: Tennessee taxes among most business friendly

When it comes to taxes, Tennessee continues to be one of the most business-friendly states in the country, according to a Tax Foundation report released today.
Tennessee ranks 15th on the 2014 State Business Tax Climate Index, unchanged from a year ago.
The index reflects the tax climate of each state as of July 1, 2013.
The Volunteer State has a more business-friendly tax climate than all neighboring states and in the southeast region, only Florida ranks higher at No. 5.
Wyoming has the nation’s most business-friendly tax structure, followed by South Dakota, Nevada, Alaska, Florida, Washington , Montana, New Hampshire, Utah and Indiana.
The most unfriendly states for business taxes are mostly on the coasts and in the northeast. The bottom ten are Maryland, Connecticut, Wisconsin, North Carolina, Vermont, Rhode Island, Minnesota, California, New Jersey and New York.
The Tax Foundation evaluated five types of taxes — corporate, individual income, sales, unemployment insurance and property taxes.
Not surprsingly, Tennessee ranked best — No. 8 — in individual income tax and worst — No. 43 – in sales tax. Tennessee has one of the highest combined state and local sales tax rates in the country.
Tennessee’s tax climate gives it an edge over most other states in the business recruitment.
Here’s an excerpt from the report:
“It is important to remember that even in our global economy, states’ stiffest and most direct competition often comes from other states. The Department of Labor reports that most mass job relocations are from one U.S. state to another, rather than to a foreign location. … State lawmakers are right to be concerned about how their states rank in the global competition for jobs and capital, but they need to be more concerned with companies moving from Detroit, MI, to Dayton, OH, rather than from Detroit to New Delhi. This means that state lawmakers must be aware of how their states’ business climates match up to their immediate neighbors and to other states within their regions
Click here for the full Tax Foundation report.

What you won’t see in Tennessee’s biz recruitment brochure

A new study says Tennessee is just about the least peaceful place in America, No. 49 on the state rankings. 

That can’t be good for state government’s business recruitment campaign. Telling biz execs we’re better than Louisiana (No. 50) really isn’t a good pitch.

From AP: NASHVILLE — A first-ever ranking lists Tennessee 49th nationally in the level of peace.

The U.S. Peace Index is based on homicide rates, violent crimes, percentage of the population in jail, number of police officers and availability of small arms.

The rankings were created by the Institute for Economics and Peace, a think tank that also sponsors the annual Global Peace Index.

Continue reading

Will Tennessee continue to attract new business?

Tennessee’s business recruitment effort has had a good run in the last few years under the leadership of Gov. Phil Bredesen.

Volkswagen’s new billion-dollar manufacturing complex in Chattanooga is nearing completion. Wacker Chemie AG plans to invest $1 billion in Bradley County and Hemlock Semiconductor expects to spend as much as $2.5 billion on a new plant in Clarksville, just to name a few of the state’s big scores.

Will Gov.-elect Bill Haslam keep the trend going?

Read more on the challenge facing the new administration in my Sunday column in the News Sentinel.