Startups Near State Lines Opt for Side With Lower Taxes, Study Finds
When startup businesses open near state lines, they will weigh the costs of taxes and opt for the state with lower sales and property taxes, according to economic research conducted by Iowa State University. “Property taxes seem to matter more than other types of taxes,” according to Iowa State University Professor Peter Orazem, who led the study. He attributed this to the fact that new businesses will be required to pay property taxes even if they don’t generate any income. …