Amazon chooses NYC and DC for HQ2

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pioneer98
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Amazon chooses NYC and DC for HQ2

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Technically "Northern Virginia" and NYC I guess
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G. Keenan
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Re: Amazon chooses NYC and DC for HQ2

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Queens has given Amazon $1.5 billion in tax breaks for this. Eff that. That's stupid. The Feds need to put a stop to this interstate race to the bottom where municipalities grovel for corporate relocations. They hand out these tax breaks just so the corporations go to where they were already planning to relocate anyway.

Make those tax breaks considered income at the federal level, taxable at 100%, and remove the incentive for this nonsense.
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Re: Amazon chooses NYC and DC for HQ2

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G. Keenan wrote:Queens has given Amazon $1.5 billion in tax breaks for this. Eff that. That's stupid. The Feds need to put a stop to this interstate race to the bottom where municipalities grovel for corporate relocations. They hand out these tax breaks just so the corporations go to where they were already planning to relocate anyway.

Make those tax breaks considered income at the federal level, taxable at 100%, and remove the incentive for this nonsense.

Why did Queens hand out the incentive, if Amazon was going to relocate there anyway?
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pioneer98
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Re: Amazon chooses NYC and DC for HQ2

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G. Keenan
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Re: Amazon chooses NYC and DC for HQ2

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Socnorb11 wrote:
G. Keenan wrote:Queens has given Amazon $1.5 billion in tax breaks for this. Eff that. That's stupid. The Feds need to put a stop to this interstate race to the bottom where municipalities grovel for corporate relocations. They hand out these tax breaks just so the corporations go to where they were already planning to relocate anyway.

Make those tax breaks considered income at the federal level, taxable at 100%, and remove the incentive for this nonsense.

Why did Queens hand out the incentive, if Amazon was going to relocate there anyway?
Because Queens didn't know that. Corporations have become quite good at this, deciding where they want to go and then pretending like its up for grabs to extract tax concessions as icing on the cake. The promise is always jobs, so how can municipalities not try to secure those?

Good piece on this issue here: Amazon’s HQ2 Spectacle Isn’t Just Shameful—It Should Be Illegal
Each year, local governments spend nearly $100 billion to move headquarters and factories between states. It’s a wasteful exercise that requires a national solution.
Socnorb11
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Re: Amazon chooses NYC and DC for HQ2

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Yeah, it's a racket.

Of course you realize, it will never be wrangled on a national level. Lobbyists will make sure of it.
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G. Keenan
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Re: Amazon chooses NYC and DC for HQ2

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Socnorb11 wrote:Yeah, it's a racket.

Of course you realize, it will never be wrangled on a national level. Lobbyists will make sure of it.
Yeah, very unlikely, which is a shame. People should turn the ire directed at Washington for the decline of middle class standard of living at these corporations as well. The decline of rural America has much more to do with Walmart and ADM than it does with liberal elites.
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Re: Amazon chooses NYC and DC for HQ2

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G. Keenan wrote:
Socnorb11 wrote:Yeah, it's a racket.

Of course you realize, it will never be wrangled on a national level. Lobbyists will make sure of it.
Yeah, very unlikely, which is a shame. People should turn the ire directed at Washington for the decline of middle class standard of living at these corporations as well. The decline of rural America has much more to do with Walmart and ADM than it does with liberal elites.
Adm is the secret devil. My late gf was a Jr. Exec for them and that company is sleezy as hell. She was trying to get out of their because of it.
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G. Keenan
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Re: Amazon chooses NYC and DC for HQ2

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This is another piece making the same point. That stats show that municipalities and states just do not get the benefits they think they are going to get from handing out these tax breaks.

Cities Should Stop Playing the Amazon HQ2 Bidding Game
There is no economic benefit to huge tax incentives to lure new companies, so why do cities keep offering them?


Look at this crazy stuff:
The announcement is the culmination of an intense bidding war among 238 cities for Amazon’s promise of $50 billion in investment and 50,000 high-paying technology jobs. To land that deal, cities offered billions in tax breaks and incentives. According to the announcement, the company could score more than $2 billion in tax incentives from the two new sites.

In the end, only Amazon and other corporations won that war. By pitting cities against each other, Amazon created a frenzy of ever more lavish and outlandish offers. Maryland bid $6.5 billion in tax incentives and another $2 billion in infrastructure upgrades, and its transportation secretary at one point offered the city a “blank check.” Newark, New Jersey, topped that, dangling $7 billion in front of Amazon. Columbus, Ohio, said it would waive all property taxes for 15 years. Chicago offered to let the company pocket between 50 and 100 percent of the income taxes its employees would pay to the city. Fresno, California, proposed giving Amazon joint control over deciding where to spend its taxes.
WTF to Chicago's proposal? Let Amazon keep the income taxes its employees would have paid had they come here? What earthly sense does that make? You are just going to end up with a bunch of real estate that only tech bros can afford without growing the tax base. Stupid.
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Re: Amazon chooses NYC and DC for HQ2

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G. Keenan wrote:Queens has given Amazon $1.5 billion in tax breaks for this. Eff that. That's stupid. The Feds need to put a stop to this interstate race to the bottom where municipalities grovel for corporate relocations. They hand out these tax breaks just so the corporations go to where they were already planning to relocate anyway.

Make those tax breaks considered income at the federal level, taxable at 100%, and remove the incentive for this nonsense.
Maybe if they weren’t at a starting wage of $15 they could afford to do it without the tax breaks.
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