WebHeader_Grove.png
Play Live Radio
Next Up:
0:00
0:00
Available On Air Stations
63 sustainers needed to unlock $12k! Give now and you'll be entered into a drawing for $1k SW Airline gift cards and a trip to Croatia!

N.H. Business Tax Rates Will Decrease In 2018

biz_tax_ken_teegarden.jpg
Ken Teegarden via Flickr CC
/

The new year means New Hampshire businesses will pay lower taxes.

Two key state business taxes were first reduced in 2016, the result of a compromise between then Governor Hassan and Republican lawmakers. The deal allowed for further tax cuts as long as revenues didn’t decline.

But the state’s relatively strong economy has pushed receipts up, triggering a new round of business tax cuts for 2018.

“This is all part of a process of trying to make the state more competitive,” says Greg Moore with Americans For Prosperity-New Hampshire.

The Business Profits Tax will go from 8.2% down to 7.9%, which puts the state’s rate below neighboring Massachusetts, which levies an 8% tax. Business advocates say that is an important selling point.

“That’s a great pitch to try to invite companies from Massachusetts to come here, and to invite companies that are thinking about expanding in the area to do so in New Hampshire, as opposed to Massachusetts,” says Moore.

The Business Enterprise Tax rate will also fall from .72% to .675%. The budget signed by Governor Sununu this year calls for future cuts to both business taxes in 2020 and 2022.

Todd started as a news correspondent with NHPR in 2009. He spent nearly a decade in the non-profit world, working with international development agencies and anti-poverty groups. He holds a master’s degree in public administration from Columbia University.

You make NHPR possible.

NHPR is nonprofit and independent. We rely on readers like you to support the local, national, and international coverage on this website. Your support makes this news available to everyone.

Give today. A monthly donation of $5 makes a real difference.