State Corporate Income Tax Rates for 2019

State Corporate Income Tax Rates for 2019

Corporate income taxes are levied in 44 states, with rates ranging from 2.5 percent in North Carolina to 12 percent in Iowa.

States with the highest top marginal      States with the lowest top marginal
corporate tax rates:                                    corporate tax rates:

– Iowa (12.00%)                                        – North Carolina (2.50%)
– New Jersey (11.50%)                           – North Dakota (4.31%)
– Pennsylvania (9.99%)                           – Colorado (4.63%)
– Minnesota (9.80%)                                – Arizona (4.90%)

Only two states – South Dakota and Wyoming – do not levy a corporate income or gross receipts tax.  Four states – Nevada, Ohio, Texas and Washington – impose gross receipts taxes instead of corporate income taxes.

Though often thought of as a major tax type, corporate income taxes account for an average of just 3.38 percent of state tax collections and 2.24 percent of state general revenue.

Source: Tax Foundation