Apple may get 80% tax break to build new Texas campus
Although a formal agreement has yet to be reached, conditions discussed during a closed session hearing on Tuesday may grant Apple an 80 percent tax incentive for 10 years — with the possibility of a five year extension — in return for choosing to build a new campus in Travis County that would create some 3,600 jobs, reports the Statesman.
The commissioners' closed-door discussion followed two hours of public comment where county residents voiced concern over the large subsidies Apple would receive.
Reports from other media sources on Thursday claimed that a deal has already been struck, however a representative from the office of County Judge Samuel T. Biscoe, the presiding officer of the Commissioners' Court, told AppleInsider that the matter cannot be decided outside the commissioners' purview.
As for what was discussed on Tuesday, Judge Biscoe said that the primary goal of negotiations is the creation of jobs for the "economically disadvantaged." The terms, which have yet to be solidified, call for the Cupertino, Calif., company to hire a number of workers who are currently unemployed, have gone through targeted job training or live in a poor area.
"We want to provide some opportunity for upward mobility but also give Apple employees that are qualified," Judge Biscoe said.
Pay scale for new hires are expected to be between $54,000 and $73,500, depending on qualifications and position.
Travis County Judge Samuel T. Biscoe. | Source: Statesman
The new campus is expected to nearly double Apple's job force in the area, which currently consists of customer support operations and staff. The proposed two-phase build out in Northwest Austin would begin with a $56.5 million, 200,000-square-foot office, followed by a $226 million office taking up as much as 800,000 square feet.
Apple is already in line to receive $8.6 million in tax breaks from the City of Austin and $21 million in an incentives package from the state-run Texas Enterprise Fund if the company builds the proposed campus.
Judge Biscoe's representative, reading from Tuesday's minutes, said that the Travis County matter will be handled "expeditiously," and will be the topic of a follow-up hearing on April 17.
59 Comments
Now they have to close that east Texas court house that so many people use to sue Apple!
Considering how much cash Apple has, why don't they just be a good citizen and pay the taxes? Yes they are bringing something in, but they don't need the tax break.
Seriously, what's with government giving tax breaks to the most profitable companies in existence?
That's just... Bizarre...
Sometimes I just don't get the US and how they think about taxes. If you are filthy rich you can get a pass and pay little or no taxes, but if you are poor, you have to cough up double or triple the percentage
Then again, by US standards I would probably almost be communist so maybe that's why I just don't get it. Anyway, I have a lot of respect for Apple because of their great products, but stuff like this doesn't help. $100 bln in the bank and still trying to get tax breaks left and right
Considering how much cash Apple has, why don't they just be a good citizen and pay the taxes? Yes they are bringing something in, but they don't need the tax break.
I don't think Apple did not want to pay, I think it probably have to do with cities competing to get Apple to expand there.