Posts tagged State income tax

    OPINION: Union Politics Is Poisoning Washington’s Business Climate

    April 23, 2026 // Between 2021 and 2026, Washington fell from #16 to #45 in the Tax Foundation’s State Tax Competitiveness Index, a dramatic drop that signals a rapidly deteriorating business climate. Meanwhile, the cost of living has surged. The Washington Roundtable now ranks the state among the five most expensive in the country. This did not happen by accident. It is the direct outcome of a policy agenda backed by union money and enacted by elected officials who benefit from it: higher minimum wages, expansive paid-leave mandates, new healthcare requirements, and an increasingly complex regulatory environment.

    Alabama is the first state in the nation to eliminate the overtime tax!

    January 9, 2024 // Alabama’s policy on taxing overtime pay changed Jan. 1. Starting Monday, full-time hourly workers in the state pay no state income tax on overtime pay, or pay they receive for working more than 40 hours in a week. Previously, workers paid 5% state taxes on any overtime work.

    Which States Are Best for Remote Workers?

    March 2, 2023 // Remote work has proliferated as a work arrangement since the COVID-19 pandemic began in 2020. While its popularity has declined since its Spring 2020 peak, remote work remains far more common today than it was before the pandemic (see Figure 1). Research from Nicholas Bloom and others found that last month, nearly 13 percent of workers were fully remote, and an additional 28 percent worked in a hybrid arrangement.