Business taxes generate billions of dollars in income for the Internal Revenue Service, and their significant fluctuations, both up and down, can provide a fascinating window into the business climate in individual states.
From 2021 to 2022, federal business income tax collections varied by more than 40% in the nine states with the biggest changes (seven up and two down). The worst decline was over 73%, while the biggest increase was over 436%.
The three states with the biggest swings — all positive — had an average change of 215.76% between 2021 and 2022, and accounted for more than $9.5 billion in revenue collected in 2022.
Scroll through to see which states were in the top 21 for biggest changes in federal business tax income and how they fared.
Source: IRS Data Books 2022 and 2021
