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Tax Breaks for a Switch

I watched Nevada Gov. Brian Sandoval’s (R&R-Advertising) State of the State speech at a public viewing in the headquarters of Switch Communications in Las Vegas Thursday night.

Everyone there was quite happy about the announcement that Switch bagged some pretty impressive tax breaks in order to expand its business in Nevada – a reduction in their sales tax rate to 2 percent and a 75 percent reduction in its property taxes for the next 15 years.


Personally, I’m pretty much happy whenever taxes are cut, but it was certainly more appropriate to reward Switch – which has already been operating here in Nevada for over a decade and slugged out the worst recession in our state’s history with the rest of us – than to give even BIGGER tax breaks to Tesla, which is a new kid on the block.

My only complaint is that ALL Nevada businesses aren’t getting some kind of tax relief like Switch and Tesla.  Instead, Sandoval is proposing to bend the rest of us over and give us all a collective high colonic.

Clearly generous tax breaks stimulate business expansion and new business development.  That creates jobs.  People with jobs buy stuff.  When people buy stuff, they pay taxes.  So the bigger and better the tax breaks for businesses, the better it is for generating more tax revenue.

So why is Sandoval RAISING taxes on just about every business in the state except Switch and Tesla instead of cutting taxes for every business in the state just like Switch and Tesla?

Inquiring minds wanna know.


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