" is it any surprise that SC and surrounding states are attracting all the business's?"
What is surprising is that no one looks at HOW generous SC's incentives can be:
"PROPERTY TAX REDUCTIONS
There is no state property tax"
Hmmm I don't believe there's one in NC either we'll call this a tie.
"CORPORATE INCOME TAX CREDITS
South Carolina taxes corporate income at a 5% flat rate, one of the lowest in the Southeast."
NC taxes business income at 6.9% - not as friendly as SC but not bad either.
"A variety of business types that create at least 10 new jobs in a year may qualify for a Jobs Tax Credit. This credit against an employer’s income tax liability varies from $1,500 to $8,000 per job created (depending on a number of variables) and can eliminate up to 50% of the employer’s income tax liability."
Interesting. If I hold the jobs threat over SC's head I can get $8,000 per job. 1,000 gets me $8M. Gov McCrory just gave $100M, thats right $100 MILLION dollars for up to 2600 jobs to MetLife or about $38,000 per job.
Here's the rub for me. Besides picking and choosing winners and losers the states are setting a up a system whereby businesses are setting up legal and government approved entitlement programs in order to lure businesses here.
I say reduce the corporate tax - heck eliminate it. But do NOT give an incentives above that. If NC still cannot attract businesses then we have to take along look at other areas to see why.
This bidding process pits one state against another and in the end the states suffer financially.
The work force, our education system and local amenities should attract businesses here - not government bribes
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