Sears Coming to Ohio? (Columbus, Cincinnati: home, buyers, closing)

[Locutus of Board]

Meanwhile, the cost of services to support 20,000 or so new residents plus the facilities that would ultimately be abated would cost OH millions.

The employees wouldn't be getting a tax break, genius. They would pay income taxes and property taxes like everyone else to support themselves.

We never learned what the exact details were from the package, so it's idiotic to say that "the workers need to pay XYZ in taxes for Ohio to break even on the taxes". My guess is that much of the "up to" "$400 million" "incentive", was actually things like differences between Ohio and Illinois corporate income tax structure, as well as tax rebates that Sears itself would get upon meeting certain benchmarks (i.e. invest so much money in Ohio, employ so many people for so many years, etc.), which wouldn't really cost Ohio anything, because Sears HQ does not exist in Ohio presently and is not paying taxes in Ohio presently.

Even if Sears eventually went bankrupt some day, with a well crafted deal, in the end it should still not cost Ohio anything.

The fact that Sears stayed in IL (a state with a high cost of business -- much higher than OH), for roughly 1/3 of OH's supposed incentives is a solid indicator of that.

Of course their incentive package for staying in IL was much smaller. If they move from IL to OH, there are huge costs associated with that. Ignoring taxes, the cheapest thing hands down is for them to stay put wherever they are, because it costs a lot of money to uproot a whole company.

[jbcmh81]

Originally Posted by Locutus of Board

The employees wouldn't be getting a tax break, genius. They would pay income taxes and property taxes like everyone else to support themselves.

We never learned what the exact details were from the package, so it's idiotic to say that "the workers need to pay XYZ in taxes for Ohio to break even on the taxes". My guess is that much of the "up to" "$400 million" "incentive", was actually things like differences between Ohio and Illinois corporate income tax structure, as well as tax rebates that Sears itself would get upon meeting certain benchmarks (i.e. invest so much money in Ohio, employ so many people for so many years, etc.), which wouldn't really cost Ohio anything, because Sears HQ does not exist in Ohio presently and is not paying taxes in Ohio presently.

Even if Sears eventually went bankrupt some day, with a well crafted deal, in the end it should still not cost Ohio anything.



Of course their incentive package for staying in IL was much smaller. If they move from IL to OH, there are huge costs associated with that. Ignoring taxes, the cheapest thing hands down is for them to stay put wherever they are, because it costs a lot of money to uproot a whole company.

I'm glad I'm not the only one who didn't believe this was some kind of handout to the company and employees. Ohio would've been just fine, as would have the taxpayers.

I dislike Kasich, but I'm glad the state made the offer. Ohio needs to play the game to be in the game as far as attracting and growing new business.

[unusualfire]

The topic should be closed. It's not moving. No more talk should be about what if's. It's over for at least 10 years. lol

[Traveler87]

Originally Posted by unusualfire

The topic should be closed. It's not moving. No more talk should be about what if's. It's over for at least 10 years. lol

And thank the lord it is not coming to Ohio.

[funkenstein91]

Originally Posted by motorman

I think the least that Governor Kasich could do to soothe our hurt feelings down here in the Queen City is to up his $400 million "play money" to $1 billion, then pursue Target in Minneapolis--but this time make sure his visitors possess the right Ohio road map --the one that features our biggest metro and the city best equipped to welcome another large and successful retailer...

It makes way more sense to bring large corporations to Cleveland and Columbus because all of the taxpayer money will state in-state. I don't want for our state's decisions to benefit Kentucky.

[Cleveland_Collector]

^Or Indiana.

[Cleveland_Collector]

Originally Posted by Locutus of Board

The employees wouldn't be getting a tax break, genius. They would pay income taxes and property taxes like everyone else to support themselves.

No s**t, Einstein. What part of $6500 annually per person didn't you understand? Or, do you really believe that the average pay for each of those people would have been in the 6 figure range?

We never learned what the exact details were from the package, so it's idiotic to say that "the workers need to pay XYZ in taxes for Ohio to break even on the taxes". My guess is that much of the "up to" "$400 million" "incentive", was actually things like differences between Ohio and Illinois corporate income tax structure, as well as tax rebates that Sears itself would get upon meeting certain benchmarks (i.e. invest so much money in Ohio, employ so many people for so many years, etc.), which wouldn't really cost Ohio anything, because Sears HQ does not exist in Ohio presently and is not paying taxes in Ohio presently.

What's idiotic is to assume so much.

Even if Sears eventually went bankrupt some day, with a well crafted deal, in the end it should still not cost Ohio anything.

Well crafted... you mean like SB 5?

Of course their incentive package for staying in IL was much smaller. If they move from IL to OH, there are huge costs associated with that. Ignoring taxes, the cheapest thing hands down is for them to stay put wherever they are, because it costs a lot of money to uproot a whole company.

It wouldn't have cost them $250 million to move and when does anyone "ignore" taxes? Bottom line, it was all smoke. It sounded good to the average slag, so they went with it. Anything to get them a bounce in the slackjaw demographic...

[unusualfire]

Originally Posted by funkenstein91

It makes way more sense to bring large corporations to Cleveland and Columbus because all of the taxpayer money will state in-state. I don't want for our state's decisions to benefit Kentucky.

Exactly how would it benefit KY if the jobs were to be in Ohio?

[motorman]

Originally Posted by unusualfire

Exactly how would it benefit KY if the jobs were to be in Ohio?

Perhaps they're afraid that people from outside Ohio (but within the Cincinnati metro area) would share in some of the new jobs--and they're probably right... However, they're also fearful that the OKI region will become even more successful. (can't allow that to happen!)

[unusualfire]

Well OUCH. Ohio would have been a fool to have had gotten them.

Sears to close 100 to 120 Kmart, Sears stores - FOX19 News and Weather - Greater Cincinnati Area