Los Angeles City Council on Friday a series of initiatives aimed at empowering the city stagnant economy by providing a tax break for it, big business and new measures to a Chinese automaker and a planned museum of billionaire Eli Broad Attract.
In the hope that more of her constituted back to work, the Council voted 10-0 to remove the business tax for three years for companies to move, get in the city and more than $ 500,000 in annual gross revenue.
The Council also has “extended an existing tax benefits for IT, new business and Small Batch 31 December 2012.
proposal’s supporters, including Mayor Antonio Villaraigosa said the changes are EL create up to 55,000 jobs and new businesses from preventDefault choice of other cities in Southern California Los Angeles
“We are in a difficult environment comp things with our neighbors -. 90 or so jurisdictions that surround us, of which pay most of the notes would a gross receipts tax, “said consultant Richard Alarcon.
In a separate action, to which Council agreed to spend $ 2,000,000 to BYD, an electric car manufacturer in China to convince them to open an office on Figueroa Street, south of 10 highway. And in a third vote, the Council unanimously adopted a broad-line financial hearings support for a new museum for the Grand Avenue corridor, on road from Walt Disney Concert Hall, 2 . allowed to bring.
as part of this implication will be the city agency rizhvillim up to $ 30,000,000 used for a new car park of the museum. The deal still needs the approval of the municipal Board of Supervisors.
With three votes, the only serious debate concentrated on the business tax break because the city “Currently, recipients $ 411,000,000 from the gross receipts tax on their this year. – about 10% of total turnover – some council members wanted assurances this is the new tax break not the city’s budget deeper in the hole Come in a written report to city officials, said Professor Karl Swenson USC Marshall School of Business of the measure could generate an increase in “small” in income, while the city has about 55,000 jobs.
However consultant Paul Koretz law had doubts about the thoroughness of the study, said that he eventually EL business in the city move without regard for the ITS tax policy.
“There is no doubt we help you sell an image that is the city rate started to make more business,” he said. “But I’m not so sure we can say with certainty that we end up with more revenue as a result.”
I Koretz for anyway. apply new tax breaks would be noted, companies that are already in Los Angeles, the $ 1.01 to $ 5.07 for each $ 1,000 of gross income, depending on the category of companies that belong to which they pay. http://articles.ex-youtube.com/2010/08/los-angeles-approves-business-tax/
