I run a small business in Michigan and I don't think it's a particularly onerous state in which to do business ... but then again golf course design associates are not a union.
Tom-
The Michigan Business Tax is what I've heard is the killer, hopefully you don't get taxed on revenue earned outside the state.
Here are some of the highlights:
- Business income taxed at a rate of 4.95%
- Modified gross receipts tax (sales minus purchases from other firms) at a rate of 0.8%
- Banks pay alternate net capital tax (net worth at a rate of 0.235%)
- Insurance tax rate increased from 1.07% to 1.25% (current credits retained
Michigan just ranked 47th in Best States to do Business in.
Expressing the prevalent attitude among CEOs, one CEO said, "Michigan and California literally need to do a 180 if they are ever to become competitive again. California has huge advantages with its size, quality of work force, particularly in high tech, as well as the quality of life and climate advantages of the state. However, it is an absolute regulatory and tax disaster, as is Michigan."
Buck