North Carolina is now one of the most business-friendly states in the US, according to a recent Location Matters survey and the recently released white paper by the Tax Foundation and KPMG. Starting a business in North Carolina is not difficult in terms of required management and compliance with state regulatory requirements. The state prides itself on being as business-friendly as possible, and the slight administrative burdens for startups are a good example of this public policy. All you need to do is file a few forms with the North Carolina Secretary of State and you can start running your business right away.
The Location Matters study, published in May, compared overall tax costs between companies of different types in all 50 states. North Carolina now has one of the most competitive tax structures in the US, according to the study. Employers find personalized training programs offered by universities such as Duke, the University of North Carolina, and the State of North Carolina, as well as technical training schools, to be outstanding. Corporate tax rates often fluctuate and cause changes from year to year, but North Carolina is consistently recognized for its business-friendly environment and outperforms the corporate tax structures of its competing states, including Virginia and Georgia.Raleigh, the capital of North Carolina, has established a technical epicenter, Research Triangle Park, which attracts international companies to the area.
The average corporate tax rate nationwide is six percent, while some states, such as Iowa, have business tax rates as high as twelve percent. North Carolina's commercial property tax rates also compare well with those of its neighbors, including South Carolina, Tennessee, Georgia, and Virginia.North Carolina doesn't require a single type of general business license, but many businesses must apply for a certain type of license to operate within the state. The highest corporate income tax rate is 2.5%, which is significantly lower than in many other states, especially in North Carolina's neighbors on the East Coast. In its article, Forbes explained that North Carolina ranks prominently thanks to its low business costs, higher education institutions, high labor supply and regulatory environment.CNBC is describing more of North Carolina's competitive advantages, as well as opportunities for improvement.
Corporate taxes have been one of the three main generators of revenue for the state of North Carolina. Over the past decade, North Carolina has steadily lowered its corporate tax rates, benefiting the economy and its workers by boosting economic development, encouraging wage growth and boosting productivity.Fayetteville Regional Chamber of Commerce partners with organizations across the area to help businesses establish themselves locally, succeed and grow. Just six years ago, when the state had one of the highest corporate tax rates in the country, North Carolina legislators fundamentally restructured the state's tax code by adopting laws for landmark tax reform.North Carolina has all the qualities that would appeal to someone looking for greener pastures after the pandemic. It has a competitive tax structure that outperforms its neighboring states and offers personalized training programs from universities and technical schools.
It also has a supportive regulatory environment that makes it easy to start a business without having to worry about too much paperwork or bureaucracy. If you're looking for an ideal place to start or grow your small business after the pandemic ends, then North Carolina should be at the top of your list.