Cost of Doing Business

The cost of doing business in Marshall County is among the lowest in Indiana, making it one of the most attractive counties in the state for operating a business. The tax burden, while low across Indiana, is even lower in Marshall County.

Marshall County’s excellent transportation systems, including three U.S. highways and seven Indiana highways, ensure that businesses can quickly connect to both to their customers and suppliers of raw materials. These highways provide access to all major Midwest markets and to a population of over 30 million people within a half day drive.    

Other factors that make Marshall County even more cost competitive than the state include lower average hourly wages coupled with a lower cost of living for its residents. Businesses looking to grow operations, relocate, or start a new business in Marshall County will be given immediate attention lessening the amount of time required for a business to begin operations.

But perhaps the best indicator of the cost savings for Marshall County businesses is that there was only one major business closing during the great recession.   

 
The chart below compares the cost of doing business in Indiana with states across the Midwest. 
 
State and Local Taxes & Other Factors
 Indiana 
 Illinois 
Iowa
 Kentucky 
 Michigan 
Ohio
 Wisconsin 
Corporate Income Tax Rate
6%1
9.5%
6-12%
4-6%
 6%
0-0.26%
7.9%
Individual Income Tax Rate
3.23%
4.95%
 0.36-8.98% 
2-6%
4.25%
 0-4.997%
4-7.65%
Local Average Individual Income Tax Rate2
1.56%
None
0.22%
2.08%
1.7%
2.25%
None
State Sales Tax Rate
7%
6.25%
6%
6%
6%
5.75%
5%
Local Average Sales Tax Rate3
None2.45%
0.8%
None
 
None
 
 
1.4%
 
0.42%
Inventory Tax
No
No
No
Yes
Partial
No
No
Unemployment Insurance Tax - New Employee Rate
2.5%
3.225%
1%
2.7%
2.7%
2.7%
3.05-3.25%
Worker's Comp. Premium Rate Index (Per $100 of Payroll)
$1.05
$2.23
$1.86
$1.52
$1.57
$1.45
$2.06
Mean Hourly Wage
$21.51
$27.32
$21.32
$21.13
$24.38
$22.65
$22.09
Cost of Living Index
96.4
99.0
98.5
90.0
91.3
94.5
100.5
Source: Indiana Economic Development Corporation (updated 6/19/2018)
1Indiana's corporate income tax rate will decrease to 4.9% by 2021.
2The effective local income tax rates for the states are averages calculated by taking the mean of the income tax rate in the most populous city and the capital city. 
3City, county, and municipal rates vary; these rates are weighted by population to compute an average local tax rate.
 
 
Indiana is consistently ranked as one of the best states for business by Area Development magazine, CNBC, Chief Executive, Forbes, Tax Foundation, and US News & World Report.
  • The 2018 Chief Executive's "Best Place for Business" rankings show Indiana at 5th place nationally (for the second year in a row). Indiana ranks 1st in the Midwest making it the only state in the Midwest in this publication's top five states.
  • The 2018 Tax Foundation's "State Business Tax Climate" ranking rates Indiana as the 9th best state in the nation and the 2nd in the Midwest behind only South Dakota.
  • The 2018 US News & World Report's "Best States Rankings" list Indiana as 1st in government credit rating score, 2nd in affordability, 2nd in long-term fiscal stability, 3rd in housing affordability, 7th in job growth, 7th in cost of living, and 8th in fiscal stability.
  • The 2017 Area Development magazine rankings list Indiana as the 7th "Top State for Doing Business" in the U.S. per a site selector survey. In addition, Indiana was the state ranked 3rd in shovel-ready sites programs, 5th in most improved economic development policies, 5th in competitive labor environment, 6th in business incentive programs, 6th in overall cost of doing business, 6th in speed of permitting, 6th in favorable regulatory environment, 7th in cooperative & responsive government, 8th in leading workforce development programs, and 8th in corporate tax environment.
  • The 2017 CNBC's "Top States for Business" rankings list Indiana as the 2nd best state in the nation for cost of doing business, 2nd in cost of living, 3rd in infrastructure, 8th in business friendliness, and 10th in economy.

  • The 2017 Forbes "Best States for Business" rankings list Indiana as 1st in regulatory environment, 4th in quality of life, and 10th place overall.
 
Local Tax Rates

Real and personal property tax is assessed at 100 percent of market value. Homeowner property taxes are capped at 1 percent of assessed value, and business property taxes are capped at 3 percent of assessed value. The local tax rates listed below are for both real and personal property for the year 2018. These rates are likely to change in 2019. Taxation is charged on each $100 worth of assessed value. 
 
 2018 Property Tax Rates
 District    
Rate
 Cities and Towns
 
   Plymouth (Center Township)
 3.1729
   Plymouth (West Township)
 3.1588
   Bremen  2.5568
   Bourbon  3.2473
   Argos (Green Township)
 3.5640
   Argos (Walnut Township)
 3.5856
   Culver  1.6042
   LaPaz  2.1036