Jindal’s Tax Reforms Would Provide Major Boost to Louisiana Competitiveness
By SBE Council at 8 February, 2013, 12:15 pm
Bayou State Would Leap to One of the Top Five Policy Friendly States for Entrepreneurship, Small Business and Investment
Contact: Raymond J. Keating, 631-909-1122 email@example.com
Washington, D.C. – Today, the Small Business & Entrepreneurship Council (SBE Council) noted that the tax reform measures announced by Governor Bobby Jindal would make Louisiana’s policy environment one of the most competitive among the states for entrepreneurship, small business and investment.
Governor Jindal’s plan would eliminate the state’s personal and corporate income taxes, while achieving revenue neutrality via increased sales-based levies.
Consider the effect of where Louisiana currently ranks on two SBE Council annual state index studies.
The “U.S. Small Business Policy Index” ranks the 50 states according to 46 major government-imposed or government-related costs affecting investment, entrepreneurship, and business. On the latest edition (2012), Louisiana ranked 25th among the 50 states. Holding actions by all other states unchanged, and if the reforms advocated by Governor Jindal were adopted, Louisiana would leap into the top five states on the “U.S. Small Business Policy Index” — that is, the state would become one of most competitive and friendly states for entrepreneurs and investment when it comes to policy.
The second report to consider is SBE Council’s “Business Tax Index,” which ranks each state’s business tax climate according to 18 different tax measures. On the 2012 “Business Tax Index,” Louisiana ranked 22nd. Again, holding things unchanged elsewhere, Louisiana would jump into the top three most entrepreneur and investment-friendly states with regard to tax policy.
SBE Council chief economist Raymond J. Keating, author of the two studies, observed, “If implemented in Louisiana, this truly would be a historic tax reform measure that would make Louisiana an economic magnet for investment, capital, and labor, vastly improving its competitive position within the nation and globally.”
SBE Council is a nonpartisan, nonprofit advocacy, research and education organization that works to protect small business and promote entrepreneurship. For more information, please visit SBE Council’s website at www.sbecouncil.org.
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