Numerous states are turning to their income tax codes to find an advantage as they try to lure jobs and people – and to maintain the wealth and residents that they currently have. Other states, such as Nevada, already understand that people (and businesses) are attracted to places that do not place onerous taxes on their hard work. Thanks to Nevada’s excellent, pro-growth environment and the innovative economic programs of Governor Brian Sandoval, Nevada is bouncing back from the 2008 recession and luring major corporations in the process.
Nevada is fortunate to have a reform-minded governor and a great business environment. The state’s tax burden is one of the lowest in the country. Plus, Nevada levies no personal income tax (and there’s no corporate tax, franchise tax, or inventory tax, either!). These advantages have enticed such multinational corporations as Apple, Cisco, and Lockheed Martin to establish major presences in Nevada.
Numbers matter a lot in Nevada, like when playing a hot poker hand or deciding whether to split tens in a game of blackjack. We can also turn to the numbers to better understand the Silver State’s success story. Each year, the IRS collects data of where people live and how much they earn – and using this data allows us to show the migration of wealth from state to state, and county to county. An examination of this data, collected over the 18-year period between 1992 and 2010, shows that Nevada gained more than $18.1 billion in adjusted gross income. Not surprisingly, much of this income came from states with oppressively high income tax rates.
Here’s how it breaks down.
Nevada Gained Wealth From:
- California $9.59 billion
- Illinois $1.00 billion
- New York $990.29 million
- Michigan $578.41 million
- Ohio $500.02 million
Many people associate Nevada with the glitz and glamour of the Vegas Strip, but there’s far more to the Silver State than high-rollers and cocktail lounges. From the largest firms to the smallest start-ups, businesses are flocking to Nevada to take advantage of its excellent environment. Importantly, Nevada’s leadership understands that a state’s success is not solely reliant upon its tax code. Meaningful reform also includes innovation, public-private partnerships, and the type of optimistic ambition that makes Nevada a shining jewel in the desert.