"Every year, states and local governments give economic-development incentives to companies to the tune of between $45 billion and $80 billion. Why such a wide range? It’s not sloppy research; it’s because many of these subsidies are not public.
For the known subsidies, such as Maryland’s recent $8.5 billion incentive bid for Amazon’s second headquarters, the support includes cash grants for company relocations, subsidized land, forgiving company taxes on everything from property taxes to sales taxes and investments in infrastructure for the company. Maryland is even offering to give 5.75 percent of each worker’s salary back to the company, which is the maximum state income tax rate for individuals. Employees will pay taxes that will be routed back to Amazon.
| | Maryland OKs $8.5 billion in incentives to lure Amazon, biggest offer in...Erin Cox Maryland approved a $8.5 billion incentive package to lure Amazon and its HQ2 project to the state, the largest ... |
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| | Maryland legislators approve record-breaking package to lure Amazonhttps://www.facebook.com/ovetta.wiggins Total incentives of up to $8.5 billion would be largest known offer; some decry “corporate welfare.” |
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| | Maryland Income Tax Rates and Brackets |
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To be clear, Maryland isn’t a model of transparency. Its offer is known not because the state made its bid public, but because these extreme incentives required special legislation. The legislature didn’t call it the Amazon Bill. They called it the Prime Act, which is a tortured acronym from “Promoting ext-Raordinary Innovation in Maryland’s Economy Program.” The bill was revealed only after an initial offer was made to the company.
| Maryland approves billions in Amazon incentivesReid Wilson President Trump may not be a fan of Amazon and its CEO, Jeff Bezos, but Maryland Gov. |
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| | Here’s What Montgomery County Highlighted in Its Bid for Amazon’s Second...Recruitment package touted area; specific economic enticements redacted in released documents |
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Economic development all across the country is getting less open — and both Democrats and Republicans are doing it. In fact, in many cases, the politicians themselves aren’t even the ones negotiating for the public."