Business Tax and Creating Jobs

The article entitled, "Snyder: Simpler Biz Tax Already Creating Jobs," talks about how Governor Snyder has defended his decision for the new business tax code by saying that it is already creating jobs. He spoke at a "Michigan Emerging" event in Detroit and discussed the negative impact that past tax credits have had on the state's substantial debt. The Governor said, "Our state budget is now $500 million in the hole because of tax credits we've given," and presented his "five keys to a reinvented Michigan," which requires focus to be placed on technology, talent, capital, infrastructure, and culture. The new state business tax, which goes into effect on January 1, 2012, is intended to replace two much more complicated business tax systems implemented by other administrations. It is a flat six percent tax on profits that Governor Snyder says, "will take time. We will see early results but the inflection point will take time." We have heard over and over that there is no short-term solution, so hopefully this simple approach proves effective.

http://detroit.cbslocal.com/2011/11/14/snyder-simpler-biz-tax-already-creating-jobs/