Corporate welfare

Corporate tax breaks…do you know what they cost you?

When a company comes to town and says they are going to build a plant that will employ x number of citizens, the proposal is couched in a way that focuses on the jobs and not the amount of money tax payers put out to subsidize the new plant. This is the first step in a targeted advertising campaign to play you for a fool.

Why so? Because it is easier to make you believe poor people are stealing all your taxes and not the business robbing you blind right in front of your nose.

Cities and states all across the nation supply tax relief to corporations courting governments for economic development projects. The cost of these tax breaks often goes unreported.  Tax payers are generally kept in the dark regarding any negative aspects and have no idea how their tax dollars are being spent.

Recently a new Federal law was passed that will make state governments report how much money they lose in these “job creating schemes.”  The reckoning won’t start until 2017 but by then maybe the painful reality of tax incentives, subsidies and tax breaks will finally hit home.

Economists Ljungqvist and Smolyansky at NYU claim that corporate tax breaks at the state level don’t help create jobs.

According to the Cato Institute $100 billion a year is lost to corporate welfare that gives money to companies that are already profitable.

Only 12% of Federal spending goes to families in need. Behind the scenes most taxpayers are blinded by how much tax it is costing them to create “jobs” that never materialize but make loads of money for the companies that take advantage of these incentives. Corporate welfare is alive and well and costing you more than you imagine those greedy welfare recipients are getting. When corporations get subsidies etc. it costs YOU the taxpayer. It is a gullible toxic mistake not to understand where the money is really going.

Corporations use all our tax payer infrastructure, avoid paying taxes, ship jobs overseas and get money from taxpayers. You complain and they are out the door going to the next sucker state.

“The reality is that these tax breaks, special deals and government programs that Republicans support cost well over a trillion dollars a year. So if you’re the kind of person that thinks people who support Bernie Sanders are idiots because “someone has to pay for that free college”, you need to recognize that someone also has to pay for the Republican backed socialist wealth redistribution that benefits rich individuals and corporations. The big difference here is, the average Joe might actually benefit from Sanders’ socialism.” Dale Hansen

Here is just one example of an embarrassing use of tax payer money in New York.

“New York Governor Andrew Cuomo launched a campaign in 2013 that took root in 2014. This program had 356 tax free zones developed to create jobs. It cost NY taxpayers over $47 million just to advertise and only generated 76 jobs. Over 30 companies took advantage of this tax holiday promising to invest $91 million over 5 years. In fact they only invested $1.7 million in the first year. New York spends $7 billion every year on subsidies to businesses, including tax exemptions, tax credits, grants, tax-exempt bonds, and discounted land…all in the name of job creation, economic growth and improved quality of life for all New Yorkers. In fact 33% of spending resulted in no job promises, no job creation, or a loss of jobs. In fact, with little accountability, businesses often take the money and run.” Dale Hansen

Take a little side trip and check out this site subsidytracker.org  and find out about the real welfare cheats.

At subsidy tracker i see that our own Ocwen Financial is number 30 on the list and has received $434,043,672 in grants and allocated tax credits from the Feds since 2000. The Megadeals by state and local governments just made my head spin when i read about #1Boeing who got an $8.7 billion package deal from the Washington State legislature in 2013. You will recognize most of the names on these lists and it is a travesty that more people aren’t aware of where the money is really going.

i just found this site and am even more alarmed at what is going on. So stop blaming poor people for taking your money…its not them… they are used to easily distract you from the real corporate welfare bloodsuckers.

See ya next week.