Corporate Subsidies—The Good, the Bad, and the Ugly

06/08/2022
 

Image: Nonprofit Quarterly
 
Good Jobs First Senior Research Analyst Kasia Tarczynska wrote about why the lack of information in deals involving economic development subsidies is so problematic:
 

Without that vital piece of information, the rest of the discussion is just noise, for there is no way of knowing whether the per-job cost is a good investment for the community—or a lousy one.

States and localities across the country give companies corporate tax breaks, or “incentives” as corporations and some elected officials like to call them. These tax breaks allow companies to pay little to nothing in state income, property, or sales taxes. States also woo companies using non-tax subsidies, like cash grants, workforce training, or free land, roads, and sewer lines.

In short, corporations are exempted from paying for all the things that communities value: clean water, paved roads, well-maintained parks, public safety, help for people in medical distress."

Read the full piece at Nonprofit Quarterly.