ANNOUNCEMENT 03 Jun 2009

In June 2009, a US state government announced a targeted tax change.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE



Main data from Good Jobs First at http://www.goodjobsfirst.org/sites/default/files/docs/Megadeals_February2015.xlsx.
Gov. Perdue's June 3, 2009 press release is available online at http://www.nccommerce.com/news/press-releases/u4733q/6170706c65?udt_4733_param_detail=1252). See also Ken Elkins, "Apple may drop into Catawba County," Charlotte Business Journal (June 3, 2009) and Kenneth P. Thomas, "EU Control of State Aid to Mobile Investment in Comparative Perspective," Journal of European Integration (August, 2012).


Inception date: 03 Jun 2009 | Removal date: open ended
Still in force

Tax or social insurance relief

In 2009 state and local governments in North Carolina provided a $320.7 million incentives package to Apple for the establishment of a data center/server farm. Local governments granted the company a 50 percent real property tax abatement and an 85 percent personal property tax abatement, together worth about $20.7 million over 10 years. The state modified its formula for calculating Apple's income tax liability using the single sales factor approach, saving the company $3 million per year starting in FY 2011-2012 and $12.5 million per year starting in 2018-2019. It would total about $300 million if Apple stays in North Carolina for 30 years. 

AFFECTED SECTORS

 

AFFECTED PRODUCTS

 
N/A