West Virginia 2022 Regular Session

West Virginia House Bill HB4546

Introduced
2/3/22  

Caption

To provide a tax credit to companies who relocate their corporate headquarters to West Virginia

Impact

If enacted, HB4546 would directly amend the state tax code by introducing these tax incentives, thereby potentially altering the state's business landscape. The hope is that by offering significant tax relief to relocating companies, West Virginia can compete more effectively with other states for corporate headquarters and related facilities. This shift could result in increased job creation and economic activity within the state, addressing longstanding employment challenges.

Summary

House Bill 4546 aims to incentivize businesses to relocate their corporate headquarters to West Virginia by introducing a Headquarters Relocation Tax Credit. The bill establishes a tax credit equal to 50% of the costs incurred during the relocation process. To be eligible, a company must maintain a minimum annual revenue of $50 million and must employ at least 75 individuals in the state upon relocation. This legislation is designed to stimulate economic growth and attract corporate investments into West Virginia.

Sentiment

The sentiment surrounding the bill appears to be cautiously optimistic among supporters, who argue that it will bolster job growth and improve the state's economic competitiveness. However, there are voices of concern regarding the fiscal implications of providing such tax credits. Critics suggest that while attracting businesses can offer short-term benefits, it may undermine state revenue in the long run if not properly structured. The debates reflect a broader discussion on balancing economic incentives with responsible fiscal management.

Contention

A notable point of contention is the requirement that companies must generate significant revenues and maintain a substantial workforce for eligibility. While supporters argue this ensures only well-established companies benefit from the tax credits, opponents express concerns that this may leave smaller, local businesses at a disadvantage, thereby limiting the intended benefits of the bill to larger corporations. This debate highlights the ongoing tension between economic development strategies and equitable support for local businesses.

Companion Bills

No companion bills found.

Previously Filed As

WV HB1922

To Amend The Consolidated Incentive Act Of 2003; To Create An Income Tax Credit For Relocating Corporate Headquarters To This State; And To Encourage Corporations To Relocate To Arkansas.

WV HB4654

To provide for downstream tax credits for companies who manufacture steel and steel products in West Virginia

WV HB4472

Provide a tax credit to distribution centers who build away from interstates and in more rural areas of West Virginia.

WV HB2063

Provide a tax credit to distribution centers who build away from interstates and in more rural areas of West Virginia.

WV HB4552

The West Virginia Build Back Businesses Tax Credit, companies employing 50 or fewer people are eligible to receive $500 per individual hired

WV HB937

Creates the Corporate Headquarters Relocation Program which authorizes a rebate for certain costs related to the relocation of certain corporate headquarter projects (EN DECREASE GF RV See Note)

WV HB3209

Providing tax credits to incentivize investments and improvements in blighted properties in West Virginia

WV HB3227

Providing a tax credit against the state corporate net income tax to for-profit corporations or a tax credit against payroll withholdings for nonprofit corporations for expenditures related to the establishment and operation of employer-provided child-care facilities

WV HB3093

Creating a tax credit against the corporate net income tax for companies paying moving expenses of employees to West Virginia

WV SB424

Authorizing refundable tax credit applied against personal income tax or corporation net income tax

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US HB5676

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Strategic Withdrawal of Agencies for Meaningful Placement Act or the SWAMP ActThis bill prohibits new construction, major renovation, leasing, or renewing a lease of certain executive agency headquarters in the District of Columbia metropolitan area and establishes a competitive bidding process for the relocation of such headquarters.The General Services Administration (GSA) must (1) establish a process to allow an executive agency to request the GSA to issue a solicitation for the relocation of its headquarters or allow the GSA to issue such a solicitation without a request, if necessary; (2) allow any state or political subdivision of a state to respond to a solicitation with a proposal for the relocation of the agency's headquarters; and (3) in consultation with the executive agency, select a state or political subdivision of a state for the relocation of the agency's headquarters using a competitive bidding procedure based on certain considerations.