Home Nigerian News Music Movies Confession Browse Profiles Park

Twitter bribed by payroll tax break to remain by the Bay
The San Francisco Board of Supervisors has voted to extend a new employee payroll tax holiday to Twitter, reports the Los Angeles Times. Twitter will benefit from a 1.5 percent payroll tax shield through the next six years. San Francisco Mayor Edwin Lee lauded the vote as an economic boon for the city, however critics on the city board see a negative precedent set by such a large city having to stoop to court a business with tax shelters. Article source - <a title="Twitter tax break leaves some scratching heads" href="http://personalmoneystore.com/moneyblog/2011/04/06/twitter-payroll-tax-holiday/ ">City of San Francisco grants Twitter a payroll tax break</a> by MoneyBlogNewz.



<p><strong>It is important to have Twitter around</strong></p>



Lee claims that keeping Twitter in San Francisco could only have occurred with the payroll tax break.



<blockquote>"This moment represents a real step forward in the effort to revitalize and transform the Central Market area," he said. "Central Market and the Tenderloin have been burdened with high vacancies and blight for decades."</blockquote>



While Twitter officials would not comment on the payroll tax exclusion Wednesday, Lee told the San Francisco Chronicle that he appreciated Twitter"s enthusiasm for helping revitalize those key business districts. The creation of jobs and services in sagging geographic areas would benefit San Francisco across the board.



<blockquote>"There is great synergy between Twitter and the arts organizations and small retail businesses who are looking to expand in the area,? said Lee. ?The city can work collaboratively with businesses, community-based organizations, property owners and area residents to catalyze meaningful change."</blockquote>



<p><strong>Tax holiday may not be such a fantastic thing</strong></p>



The Twitter payroll tax break should be able to save about $22 million in taxes for the company in just six years, according to the Chronicle. That"s $22 million that San Francisco needs, said city supervisor John Avalos.



<blockquote>"I don"t believe giving an exception to our payroll tax is the way to go," he said. "I believe that businesses in San Francisco and around the country should be socially responsible. ... If we allow a company to threaten to leave, then give them a tax break so they don"t, we"re setting a bad precedent.?</blockquote>



<p><strong>Articles cited</strong></p>



<p>Los Angeles Times</p>

<p>latimesblogs.latimes.com/technology/2011/04/twitter-gets-6-year-payroll-tax-break-from-san-francisco-board-of-supervisors.html</p>



<p>San Francisco Chronicles</p>

<p>sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/04/05/BA7R1IQM9D.DTL</p>



<p>San Francisco Mayor?s Office</p>

<p>sfmayor.org/index.aspx?page=330</p>



<p>Minnesota Gov. Tim Pawlenty on corporate tax holidays and offshoring</p>

<p>youtube.com/watch?v=MIRncAiu9Vw</p>


<< Back to Blogs | Post a comment