Business tax climate warms, but are funds for services at risk?

By LAUREN GIBBONS
Capital News Service
LANSING — A new report suggests the repeal of the Michigan Business Tax (MBT) dramatically boosted the Michigan’s tax climate, but many officials and experts say there’s still room for improvement in the state’s tax policy. The Tax Foundation, a nonpartisan group in Washington, ranked Michigan 12th in the nation in overall business tax climate, a 7-point jump from its rank last year. The state also saw the largest rise in corporate business tax climate, moving from 49th to 7th in one year. The report based its findings on an evaluation of each state’s tax structure. Compared to other Midwest states, the foundation said Michigan’s business climate is one of the best — Illinois ranked 29th while Ohio and Wisconsin came in at 39th and 43rd respectively.