Judges Say Manufacturing Tax Credit Is Unconstitutional
8 September 2004 - 2:00pm
A manufacturing tax credit that Ohio used in 1998 to help convince Daimler Chrysler to build its new Jeep assembly plant in Toledo is unconstitutional
A federal appeals court said "the tax credit violates the U.S. Constitution's prohibition against interfering with interstate commerce." The court determined that the credit rewards firms that make significant investments in Ohio while offering no break if the same company makes the same investment elsewhere. This ruling could endanger similar tax credits in some 40 states
Full Story:
US court overturns Jeep plant tax credit
Source:
Toldeo Blade, September 3, 2004
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At a much larger economic scale, however, one mustn’t avoid calculating the tremendous and exceptional externalities of automobile dependency.
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