By Sean Whaley, Nevada News Bureau

CARSON CITY — A new business index evaluating the states on the effects of their tax systems on entrepreneurship and small business ranks Nevada third behind South Dakota and Texas.

The Small Business & Entrepreneurship Council’s “Business Tax Index 2012” pulls together 18 tax measures, and combines them into one tax score that allows the 50 states and District of Columbia to be compared and ranked.

Raymond J. Keating, chief economist for the SBE Council and author of the report, said: “All taxes matter, whether imposed at the federal, state or local level of government. They matter to consumers, entrepreneurs, investors and businesses. State and local levies matter in terms of a state’s competitiveness. And they matter when it comes to economic growth and job creation.”

Among the measures used to create the rankings are each state’s top personal income tax rate, top individual capital gains tax rate, top corporate income tax rate, property taxes, sales and excise taxes and unemployment taxes.

Nevada does not have either a personal or corporate income tax and was rated highly in these categories. The state did not do as well in the property tax ranking, coming in 33rd as a share of personal income, 47th on sales and excise taxes and 36th on unemployment taxes.