Find Out If Your State Cut Its Tax Rates On January 1
According to the nonpartisan nonprofit Tax Foundation, 34 U.S. states started 2024 by enacting notable tax changes.
This number includes 17 states that reduced individual or corporate income taxes, or that cut both. Arkansas, Iowa, Kansas, Nebraska, New Jersey, and Pennsylvania all reduced their corporate tax rates while in Connecticut, owners of pass-through entities may now elect to pay individual income tax at the entity level or as individuals, eliminating the requirement to pay at the entity level.
Other notable changes include:
- Florida, where business taxpayers will see a reduced rate on business rent;
- Ohio, which raised its Commercial Activity Tax gross receipts threshold;
- Texas, which doubled the “no tax due” threshold for the state’s franchise tax;
- New Hampshire, which decoupled the state’s tax code from federal bonus depreciation tax rules; and
- Louisiana, where lawmakers effectively repealed the state’s “throwout rule” dealing with the apportionment formulas for multistate businesses.
Click here to see if changes were made to the tax laws in your state.