When looking at the taxes and business costs listed below, easy to see why Texas consistently scores in CNBC’s top-3 states for doing business in the USA. Galveston County received a AAA bond rating in 2017.

State Taxes

No corporate income tax and no individual income tax

Margins tax:

  • 0.75% on gross receipts less cost of goods sold, or .3755% for retailers and wholesalers
  • Sole proprietorships, general partnerships, businesses with revenue under $1.1 million are exempt

Combined State and Local Taxes Sales Taxes

Sales Taxes:

  • 6.25% Unincorporated Galveston County
  • 7.25% Jamaica Beach
  • 7.25% Tiki Island
  • 7.75% Dickinson
  • 7.75% Friendswood
  • 8% Bayou Vista
  • 8% League City
  • 8.25% Galveston City
  • 8.25% Clear Lake Shores
  • 8.25% Hitchcock
  • 8.25% Kemah
  • 8.25% La Marque
  • 8.25% Santa Fe
  • 8.25% Texas City

Property Tax Rates

There are a total of 65 taxing entities within Galveston County. Each one sets their own property tax rate each year. The tax rates are per $100 dollars of appraised property value.

Download Galveston County’s Truth in Taxation Summary. (What is a Truth in Taxation?)

Tax information can also be found on the Galveston County Tax Assessor/ Collector and Galveston County Appraisal District.

Workers Compensation Insurance

Texas is the only state that doesn’t require private companies to have workers’ compensation insurance.

Unemployment Insurance

  • Wage Base is $9,000 for 2017.
  • New employers use greater of the average rate for all employers in the NAICS code to which they belong or 2.7%.