The math is pretty simple. It costs less to live here, and it costs less to do business here. For a resident, the cost of living is below national and regional indexes.
![](https://ohiose.com/wp-content/uploads/2020/08/ohioSE_20.08_presentation-graphics_OPERATING-COST-COMP_v3-2-1024x612.png)
For a business, a lower cost of living, means lower wages. Ohio taxes are some of the most favorable in the USA for manufacturing or any business selling goods and services outside of Ohio.
![](https://ohiose.com/wp-content/uploads/2020/05/ohioSE_20.05_web-infographics_COST-OF-LIVING-2-1024x583.png)
The State of Ohio has no tax on:
- Corporate profits
- Inventory
- Tangible personal property
- R&D investments
- Products sold to customers outside Ohio
STATE AND LOCAL TAXES
TAX | LOCALE | RATE |
---|---|---|
Corporate Income/Franchise Tax | State | NONE |
Local | Applies to net profits. Average rate across OhioSE Region: 1.9% | |
Commercial Activity Tax Takes Place of Gross Receipts Tax and applies only to sales within Ohio | State | In general, the CAT Tax takes effect only for companies with taxable Ohio gross receipts over $150,000 A flat Fee of $150 for companies with gross receipts between $150,000 and $1 million. If gross receipts exceed $1 million, a tax rate of 0.26% is applied to the amount above $1 million plus: $800 for receipts between $1 million to $2 million $2,100 for receipts between $2 million to $4 million $2,600 for receipts more than $4 million |
Local | N/A | |
Inventory Tax | State | NONE |
Real Property Tax Commercial/Industrial | Local | Average effective rate: 1.7% |
Sales Tax | State | 5.75% |
Local | OhioSE region average: 1.46% |
Our industrial real estate costs are also generally less than metro areas, further enhancing the OhioSE value proposition.