According to a new report by KPMG, Cincinnati had the best tax climate in the nation, followed by Baltimore, Cleveland, Atlanta, and Pittsburgh. Atlanta notwithstanding, if the professional football team plays in the AFC North, you’ll find a competitive tax climate.
In the ranking of cities worldwide, however, U.S. cities fared poorly. Cincinnati was ranked 16th. The top 15 cities were located in India, Canada, Mexico, Russia, the United Kingdom, China, and the Netherlands.
Raleigh did not break into the top 55 cities in the world. It was also absent from lists of competitive tax climates for specific sectors, i.e., digital, research and development, corporate services, and manufacturing.
U.S. Rankings for Raleigh, NC:
Corporate Income Tax: 47 of 71 cities
Other Corporate Tax: 10 of 71 cities
Statutory Labor Costs: 29 of 71 cities
Total Effective Tax Rate: 14 of 71 cities
Total Tax Index: 85.5 (U.S. = 100.0)
Reducing the corporate income tax would boost Raleigh’s competitiveness significantly.
