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10 Worst states for starting a business

Attention libertarians! Find out where the cold, dead hand of the state weighs heaviest. Rankings provided by the Small Business & Entrepreneurship Council.

Top personal income tax rate: 8.25%
Top corporate income tax rate: 6.4%
Property tax: 1.86%
Electric Utilities Costs †: 2.20
Minimum wage: $7.25
† Index of state's average revenue/kilowatt hour.
42. Hawaii
Low corporate income rates in Hawaii belie trouble in paradise: Sales, unemployment, electricity, gas, and personal income taxes are amongst the highest in the U.S. The state's ranking, however, has improved over the years. "Tourism is still strong in Hawaii," says Kerrigan, "but it's gotten very competitive."

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