Tax Policy – To What Extent Does Your State Rely on Corporate Income Taxes?

Over the past few weeks, we have examined the primary sources of state and local tax revenue and the extent to which states rely on each tax type. Today’s map looks at the corporate income tax, which, compared to property, sales, and individual income taxes, generates a relatively small share of state and local tax revenue. In fiscal year 2015, the most recent year for which data is available, the corporate income tax generated only 3.7 percent of total state and local tax revenue nationwide (see Facts and Figures table 8).

State ranking by corporate income tax reliance. CIT