South Carolina rejects Amazon

Discussion in 'Politics, Religion, Social Issues' started by SwiftLives, May 4, 2011.

  1. SwiftLives macrumors 65816


    Dec 7, 2001
    Charleston, SC
    The stupid liberal Democrats who govern South Carolina refused to give Amazon a 5 year reprieve from collecting sales tax on SC purchases. As a consequence, Amazon has scrapped plans to build a distribution center in Columbia that would have employed about 1300 people. Furthermore, another company has abandoned plans to locate in the area and a homebuilder has scrapped plans to build 100 new houses because of the Amazon pullout.

    This is so typical of the shortsightedness of the Democrat/Socialists who run this state. They are costing the SC citizens jobs by not supporting the companies that want to locate here and....

    Wait...What's that you say?

    Republicans control the South Carolina government? There are no Democrats at all elected to statewide office? I'm utterly confused.

    In all seriousness, how bad must our state economy be for the Republican-controlled legislature to refuse tax breaks? I actually really applaud the Republicans on this one. On one hand, it would have resulted in substantial employment - well above 2,000 total. On the other hand, it would have come as the cost of a lot of potential tax revenue. And we'd need that tax revenue to support the additional infrastructure required to sustain these jobs.
  2. leekohler macrumors G5


    Dec 22, 2004
    Chicago, Illinois
    Hey- it must be so bad that even the Republicans know they can't do it anymore. We can't keep doing these huge tax giveaways- no one can. It's ridiculous.
  3. Hastings101 macrumors 68020


    Jun 22, 2010
    They probably would have just picked up and left after that five year reprieve. That has happened multiple times where I live - the factories come for tenish years, their tax exemption ends, and they leave. Then the massive local unemployment starts again
  4. SwiftLives thread starter macrumors 65816


    Dec 7, 2001
    Charleston, SC
    Apparently, a coalition of state retailers weighed in and convinced the legislature that not having to collect taxes would give Amazon an unfair sales advantage.
  5. Ugg macrumors 68000


    Apr 7, 2003
    Good for them. Amazon is going to have to play by the same rules as everyone else.

    The bigger issue though is whether tax breaks do any good. There's some evidence that companies search out the best deals and then jump ship when they find better ones.

    VW and the state of Saxony in Germany are a good example of a long-term and mutually beneficial public/private relationship.

    Why give a break if the company only has low wage, low benefit jobs? Wouldn't it be better to help provide financing and long term staying power if the company makes use of the graduates from your schools?

    The short term mentality of so many American capitalists makes for a lot of wealthy gamblers but does nothing for the long term stability of American society.
  6. Rodimus Prime macrumors G4

    Rodimus Prime

    Oct 9, 2006
    not surprised in the least. I think states should put other requirements on if they leave after there tax exemption with in X number of years they are required to pay all taxes during the exemption as well basically lose tax exempt status.

    Honestly I am glad seeing more and more states stand up to like this. SC is just another state and Amazon is going to quickly run out places to go and more or less be forced to play hard ball. If anything I believe a national law should be passed.
  7. likemyorbs macrumors 68000


    Jul 20, 2008
    Good. Pay your taxes amazon. Why should they not have to? If there were a federal law in place they would have no other options. No more tax breaks for corporations.
  8. Rt&Dzine macrumors 6502a


    Oct 8, 2008
    Walmart and others are the biggies behind this. I'm not saying it's a bad thing, but it's all about their profits.
  9. LethalWolfe macrumors G3


    Jan 11, 2002
    Los Angeles
    Don't you mean pay your taxes Amazon customers? The reprieve was on people living in SC not having to pay sales tax on things they buy via Amazon.

  10. SwiftLives thread starter macrumors 65816


    Dec 7, 2001
    Charleston, SC

    The SC house just reversed course and approved the tax-collection exemption for Amazon.


    It's expected to pass the Senate, and the governor has said she will not veto it.

    I suppose the upside to this is that the state will actually be getting some new (and much needed) tax revenue in 5 years.
  11. mcrain macrumors 68000


    Feb 8, 2002
    At the expense of a ton of sales tax revenue that won't otherwise be paid by consumers in S.C. They should give them the exemption, then change the law 30 days after the center opens. Oops, sorry, the law changed.

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