Hawaii’s tax system ranks 49th out of 50 states for starting and growing a small business, according to the Small Business & Entrepreneurship Council.

The Wash., D.C.-based council ranked the 50 states according to the costs of their tax systems and placed Hawaii at No. 49, above only 50th-ranked California.

Among the SBE Council’s other 10 worst states, No. 41, Connecticut; No. 42, Oregon; No. 43, Minnesota; No. 44, New York; No. 45, Maine; No 46, Vermont; No. 47, Iowa, and No. 48, New Jersey.

The SBE Council’s “Business Tax Index 2013,” ranks the 10 best state tax systems as: No. 1, Texas; No. 2, So. Dakota; No. 3, Nevada; No. 4, Wyoming; No. 5, Washington; No. 6, Florida; No. 7, Alabama; No. 8, Colorado; No. 9, Ohio, and No. 10, Alaska.

http://www.sbecouncil.org/