February 11, 2021
By News Director Jared Atha
A recent study by financial analysis firm SmartAsset analyzed tax data to determine the “best places for small business owners,” and ranked two western Oklahoma counties high on their list for the state.
Roger Mills County was ranked No. 1, and Beckham County came in at No. 5 on the list. Dewey County came in behind Beckham at No. 6.
To answer the question, “Which places are best for small businesses owners?” SmartAsset analysts considered three factors: the proportion of people in a county with small business income, how much business income those people reported, and the amount of tax a potential resident must pay on their income.
The study said to determine how attractive a region is for small business owners, it compared the number of tax returns that report small business income compared to the total tax-filing population of the region. Next, it compared the total amount of small business income to the overall amount of income reported in each region.
To determine income tax burdens across counties, SmartAsset used national median household income data, then applied relevant deductions and exemptions before calculating federal, state and local income taxes for each location.
According to the study, these three factors were then indexed and equally weighted to yield its small business index.
The small business index calculated in the study provided each county in the nation with a score on a 100-point scale.
Roger Mills was the highest-ranked county in Oklahoma, with an SBI of 60.12.
