Tuesday, September 26, 2006

Second thoughts on Retroactive Tax abatement

The Oak Ridge Industrial Development Board may reconsider a tax break given to an existing business. There is so much insanity involved here that it is hard to know where to start. This is a business that has already opened its doors. Clearly, the IDB doesn't have to give away the taxpayers money as an incentive to open the business in OR...THEY ARE ALREADY OPEN!! Apparently the fitness business had been encouraged to apply for the $1 million tax break by the Chamber of Commerce but they didn't go to the trouble to apply before the deadline.

Why aren't competitive fitness centers raising holy heck about this?? Why aren't taxpayers raising holy heck about this?? Maybe they are, I certainly hope so.

This incident gives some insight into why Chambers of Commerce across the state have become enthusiastic cheerleaders for local tax increases of all sorts. Apparently, it is old fashioned to open a business with the expectation of profitability. Heck, when the taxpayers will subsidize your business you don't have to worry about making a profit.