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Google This: Incentives PDF Print
Written by NCNN   
Thursday, 13 January 2011 06:09

The state’s highest court will now decide whether to strike down energy tax breaks for Google with their facility in Lenoir. The North Carolina Supreme Court heard oral arguments on a lawsuit challenging incentives offered to lure new Internet data centers. Former state Supreme Court justice Bob Orr argues the law violates the state Constitution.

"I think that's one of the purposes of the uniformity provision in the constitution so that government has to operate with at least some degree of an even hand in exercising the power of taxation," said Orr. Google attorney Burley Mitchell said court rulings have repeatedly upheld the Legislature’s authority to exempt certain groups, if it is for a public purpose.  "It's very narrowly identical to dozens of others that the tax code already gives, so it just seems to me to be a dislike for incentives by the plaintiffs rather than any real serious challenge to the tax exemptions," said Mitchell. Google will receive an exemption on sales and use tax for its Caldwell County facility, worth an estimated $90 million over 30 years. Other companies like Apple and Facebook have also built data centers in North Carolina.


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