DesignRush Reveals 2025’s Best U.S. States for Agency Tax Savings

Key Findings:

• Nebraska ranks #1, with an average agency saving $220,081 under the new tax plan — the highest in the U.S.
• Washington ranks #2 with $173,641 in savings per agency, while small-but-mighty Rhode Island lands at #3 with $138,723 — outperforming giants like Texas and New York
• Wyoming ranks last, saving just $6,719 per agency — despite its reputation for being business-friendly

With the corporate tax rate dropping from 21% to 15%, DesignRush analyzed how much the average agency stands to save in each U.S. state.

We noticed a huge gap between states — with some agencies saving over $200,000, while others see less than $6,000 in benefits. The national average savings is $107,601, but 22 states fall below that line — making the benefits of the tax cut uneven across the U.S.

These findings could influence where agencies choose to launch, grow, or expand.

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Best States for Agency Tax Savings in 2025

1. Nebraska

• Agencies: 293
• Tax at 21%: $3,210,027
• Tax at 15%: $2,989,946
• Average Savings per Agency: $220,081

Nebraska ranks #1 for digital agency tax savings in 2025.

With just over $220,000 in reduced tax payments and fewer than 300 agencies, businesses here stand to gain the most per agency. It’s a big opportunity for small teams to reinvest in tools, people, or expansion.

2. Washington

• Agencies: 1,470
• Tax at 21%: $3,833,304
• Tax at 15%: $3,659,663
• Average Savings per Agency: $173,641

Washington’s large digital scene means big benefits under the new plan. With over $173,000 in average savings and a strong agency count, it’s a solid place for digital businesses to grow.

3. Rhode Island

• Agencies: 161
• Tax at 21%: $3,105,158
• Tax at 15%: $2,966,435
• Average Savings per Agency: $138,723

Though small, Rhode Island brings big savings. With just 161 agencies, the savings go a long way—making it one of the most rewarding states for digital businesses under the proposed cut.

4. Connecticut

• Agencies: 621
• Tax at 21%: $2,968,612
• Tax at 15%: $2,830,197
• Average Savings per Agency: $138,415

Connecticut’s digital agencies could see over $138,000 in savings on average. These savings could help local agencies upgrade technology or build out services in 2025.

5. Minnesota

• Agencies: 1,144
• Tax at 21%: $3,914,329
• Tax at 15%: $3,790,594
• Average Savings per Agency: $123,735

Minnesota’s strong tech and marketing base benefits from over $123,000 in savings per agency. That money can go straight into growing talent or expanding campaigns.

6. New Jersey

• Agencies: 1,711
• Tax at 21%: $2,522,769
• Tax at 15%: $2,402,271
• Average Savings per Agency: $120,498

New Jersey balances large agency volume with solid tax savings. With $120,498 back per agency, there’s plenty of room for reinvestment across the state’s digital sector.

7. Missouri

• Agencies: 815
• Tax at 21%: $4,127,230
• Tax at 15%: $4,013,472
• Average Savings per Agency: $113,758

Missouri shows up strong with over $113,758 in savings per agency. This state isn’t just affordable, but more rewarding for digital firms eyeing expansion.

8. Indiana

• Agencies: 833
• Tax at 21%: $3,405,298
• Tax at 15%: $3,292,949
• Average Savings per Agency: $112,349

Indiana’s agencies could save over $112,000 under the 2025 plan. That makes it a cost-friendly state for agencies that want to grow without sacrificing budget.

9. Arkansas

• Agencies: 387
• Tax at 21%: $3,605,029
• Tax at 15%: $3,505,595
• Average Savings per Agency: $99,434

Agencies in Arkansas could pocket nearly $100,000 on average. For a lower-cost state, that’s a meaningful boost for hiring or client acquisition.

10. Pennsylvania

• Agencies: 1,683
• Tax at 21%: $3,016,826
• Tax at 15%: $2,926,303
• Average Savings per Agency: $90,523

With over 1,600 agencies, Pennsylvania’s businesses will collectively see major savings. The per-agency benefit of $90,000 makes it a super competitive state for digital growth.

Methodology

1. Current Tax Burden (2024): Estimated based on corporate tax revenue data from the IRS, proportionally adjusted to reflect the number of digital marketing agencies (NAICS codes 54181 and 541613) per state.
2. Potential Tax Burden (2025): Calculated by applying the proposed reduction in the corporate tax rate from 21% to 15%.
3. Savings ($): The dollar difference between current and projected tax burdens.

Data Sources:

1. Internal Revenue Service, State Tax Data FY 2023
2. Tax Foundation, 2024 Corporate Tax Rates
3. U.S. Census Bureau, County Business Patterns (NAICS 54181 & 541613)