Taxes: Best and worst states

• Rank: #1
• Income tax: None
• Corporate tax: None
• Sales tax: Low

Wyoming once again ranks as the state with the best tax environment for businesses, according to a recent study by the Tax Foundation.

The state scores better than any other on the group's 2013 State Business Tax Climate Index, mostly because it has no corporate or income taxes.

That environment is especially helpful for small business owners, who typically pay via income taxes.

"There's no taxes quite like no taxes," said Scott Drenkard, an economist at the Tax Foundation, a non-partisan group that advocates for tax reform.

That's not to say that companies in Wyoming don't pay any taxes.

When it comes to property taxes, businesses pay an effective rate of 4.81%, one of the highest in the country.

And Wyoming does have a sales tax - though at 4%, it's relatively low.

Wyoming also bears the distinction of having the nation's lowest beer taxes.

But Wyoming's business-friendly tax policies haven't been enticing enough to inspire business owners to relocate their companies there. The number of firms in the state has remained steady at about 15,000 since 2005, according to the U.S. Census Bureau.

NEXT: South Dakota