Gov. C.L. “Butch” Otter has vetoed legislation to repeal income tax credits for research activity. Having just signed the personal property tax relief bill into law, “it would be inconsistent and unwise to then approve legislation eliminating tax relief for some of those businesses as well as some of Idaho’s larger employers,” Otter wrote in a letter to Speaker of the House Lawerence Denney.
Eliminating the tax credit would put Idaho at a competitive disadvantage with surrounding states that offer research and development credits, Otter wrote.
The research tax credit was one of three tax incentives the Legislature voted to repeal during the last session.
8 Comments
Bravo, Mr. Governor.
Like it or not, Idaho is competing for businesses to locate (and stay) here. The same is true of R&D dollars which, by the way, are spent in all segments of the Idaho economy (i.e., not just technology).
R&D dollars result in jobs, sustainable growth, and opportunities to apply new technologies and research to all businesses in all industries.
Governor Otter, your Veto of the legislatures attempt to hamper Idaho's economic development will pay huge dividends for Idaho.
Thank you.
Comment By Jefferson Jewell Tuesday, April 15, 2008 @ 9:07 AM
I second Jefferson. I can think of numerous credits, exemptions, and deductions that the legislature should get rid of, but this one is not one of them. Good job, Butch.
Comment By Chris Blanchard Tuesday, April 15, 2008 @ 10:32 AM
I add my support for the Governor's veto. It sends a positive message the the State really is interested in attracting and keeping research orientated businesses. Thank you Governor.
Comment By Patrick Tuesday, April 15, 2008 @ 12:33 PM
Ditto Jefferson, Chris & Patrick!
Comment By Leo A. Geis Tuesday, April 15, 2008 @ 1:34 PM
Me..five?
This has both substantive and symbolic value!
(and I get to echo some of my favorite people, too!)
Comment By Norris Krueger Tuesday, April 15, 2008 @ 3:49 PM
You guys try not to grovel so much; any other state with half the "tech economy" Idaho claims to have... would be sending a lynch mob down to see Rep. Dennis Lake.
Comment By Bill Sellers Idaho Falls Tuesday, April 15, 2008 @ 3:57 PM
Ah, another of my favorite people!
But, you're right - Rep. Lake controls a most powerful committee and he genuinely sees a very different future for Idaho.
Why IS that?
And what can we do about it?
Comment By Norris Krueger Tuesday, April 15, 2008 @ 7:26 PM
Way to go, Governor Otter!
Given the hotly competitive market in which our tech businesses from ag to electronics operate, governments do have a role to play to support research and to make investments in research economically viable. Research leads to jobs!
Comment By Emile Loza Thursday, April 17, 2008 @ 12:58 PM
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