Tax reforms in New York mean the Empire State is no longer in last place for its business tax climate, according to the Tax Foundation
The "news is proof positive that the new New York is open for business," said Democratic Gov. Andrew Cuomo, according to The Wall Street Journal
Several changes to the New York tax code have put the state in 48th place. These reforms include a cut in the corporate tax rate from 7.1 percent to 6.5 percent; a repeal of the corporate alternative-minimum tax; the merging of the duplicative bank tax system into a corporate tax system; a change in the way estate taxes are calculated, exempting many small businesses from heavy taxes when the owner dies; as well as changes to how net operating losses are structured.
The tax reforms were put into place in the fiscal year 2014-15 budget Cuomo signed into law on March 31.
"If the changes enacted by the bill were in full effect for the most recent version of the State Business Tax Climate Index, New York's corporate tax system would have ranked fourth best of the 50 states instead of 25th best," according to the Tax Foundation.
"The broad-based changes to the corporate tax are impressive and will greatly reduce complexities and burdens in New York's corporate tax structure," the group said in a statement.
The Journal, in an opinion piece, said the changes show "how even minor tax tweaks can go a long way."
However, New York is still 38th in sales taxes, 44th in property taxes, and 49th in income taxes, according to the Tax Foundation.
© 2015 Newsmax. All rights reserved.