Tag: tax incentives

Virginia JLARC: Grants More Efficient than Tax Incentives for Economic Development

Eric Burk

Virginia spent $3.2 billion on economic development incentives between fiscal year 2012 and fiscal year 2021, about 1.6 percent of total spending from the Commonwealth’s general fund, according to an annual update from the Joint Legislative Audit and Review Commission.

According to the report, seventy-two percent of the $3.2 billion in development incentives spending was on tax incentives, including $1.6 billion, 51 percent, in sales and use tax exemptions over the study period. Tax incentives saved businesses $2.3 billion during the ten-year study period, and annual tax savings for those businesses doubled from FY 12 to FY 21.

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Ohio Approves Tax Incentives for Honda, LG EV Project

The Center Square

The Ohio Tax Credit Authority officially approved Monday tax credits for a new electric vehicle battery plant in southwest Ohio, even as critics call the deal crony capitalism and believe the money could be better spent.

The incentives were part of three economic development deals given the green light by OTC for projects the state says will create more than 3,000 new jobs and retain more than 8,000 others.

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U.S. Home Ownership Rate Sees Highest Annual Surge Ever Recorded

Admin

The rate of homeownership in the United States saw its highest surge ever recorded in 2020, with homebuying rates jumping significantly even as the country continues to see record-low stock in most states.

The homeownership rate “climbed to 65.5% in 2020, up 1.3% from 2019 and the largest annual increase on record,” the National Association of Realtors said in a press release this week.

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Virginia Residents Plan Demonstration to Stop Arlington’s Planned $23M Tax Break for Amazon Headquarters

Jason M. Reynolds

The backlash that prompted Amazon to discard its New York HQ2 headquarters plans like a rotten apple has emboldened critics of the tax deals being offered for the Virginia headquarters site. Amazon’s New York announcement, ironically made on Valentine’s Day, showed there was no love lost between the e-retailer and politicians and activists who bemoaned nearly $3 billion in tax incentives for the firm, The Tennessee Star reported. Amazon promised 25,000 jobs and $2.5 billion investment in offices. Amazon said it still planned to build an operations center in Nashville. The company was promised $15 million from the City of Nashville and up to $102 million from the state for 5,000 jobs. Now some in Virginia are setting their sights on what they say is not a Prime deal. Roshan Abraham, with Our Revolution Arlington, one of several anti-tax-incentive groups in Virginia, said the Arlington County government should vote down the $23 million tax deal being offered to the world’s largest e-retailer, according to a story by Washington Business Journal. Virginia Gov. Ralph Northam has signed a deal to give Amazon up to $550 million to create 25,000 jobs or $750 million for 37,850 jobs, the Journal said. Virginia critics also…

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Amazon Pulls Plug on New York Headquarters, Promises to Continue With Nashville, Virginia Sites

Jason M. Reynolds

The Big Apple has taken a big bite out of big tech, with the world’s largest e-commerce site announcing Thursday it would not build its second headquarters in New York City. The massive retailer/cloud computing firm faced a battle from some politicians and others in New York over nearly $3 billion in tax incentives, Breitbart said. Amazon was poised to bring 25,000 jobs to New York with a $2.5 billion investment in offices. The decision will not affect the planned office space for Arlington, Virginia, and the center in Nashville, Breitbart said. New York Mayor Bill de Blasio tweeted, “You have to be tough to make it in New York City. We gave Amazon the opportunity to be a good neighbor and do business in the greatest city in the world. Instead of working with the community, Amazon threw away that opportunity.” You have to be tough to make it in New York City. We gave Amazon the opportunity to be a good neighbor and do business in the greatest city in the world. Instead of working with the community, Amazon threw away that opportunity. — Mayor Bill de Blasio (@NYCMayor) February 14, 2019 Amazon said in a statement it…

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