Boeing: Back to the public well

This story in The Seattle Times outlines plans by Washington State legislators to pony up new tax breaks for Boeing for the 737 replacement.

The information came out of the new Aerospace Futures Alliance, which media revealed previously is about 50% funded by Boeing.

Our regular readers know that Washington State tax breaks are one of the key objections in the EU complaint filed with the World Trade Organization over Boeing’s “illegal” subsidies for the 787 program. Our regular readers also know that we don’t like tax breaks of any kind to any corporation, and we especially don’t like Washington State tax breaks because we live in this State and residents have to assume the tax burdens of tax breaks granted to corporations.

If this were Christmas, we’d say, “Bah humbug.”

7 Comments on “Boeing: Back to the public well

  1. So if this is true:

    “we don’t like tax breaks of any kind to any corporation”

    I would love to hear your any comment about the renewal of the French system of direct public aid (cash) and tax breaks (€160m) called competitive clusters – there are several involved in Aerospace and the most well-known is called “Aerospace Valley”? Not to mention the different tax breaks granted by local, counties (départements), and regional direct financial help and tax breaks.

    Interesting how they want to be able to do it, yet they want to keep the state of Washington for doing the same thing.

    What is good for the goose….

  2. Someone correct me if I’m wrong but aren’t the previous tax breaks available to even Airbus/Sukhoi/Embraer/Cessna, etc? In reality, they’re not going to move their businesses to Washington to take advantage of the breaks, but they are available to them if they so choose. And let me add, I, too, am opposed to business tax breaks of this sort.

  3. Legally, the Washington tax breaks are indeed available to any aerospace company; if they weren’t, they would violate the Washington State Constitution. But Gov. Christine Gregoire vowed that Washington would never give Airbus (EADS) tax breaks when EADS was soliciting bids for the KC-X assembly plant (for which Alabama provided tax breaks, the irony of which does not escape us). And for what it’s worth, Airbus’ John Leahy said it was a fat chance (our word) that Airbus (EADS) would locate the assembly site in Washington State.

  4. I have never heard Gov. Gregoire publicly oppose Airbus tax breaks. Is there a source for this quote? Airbus might want to consider moving to Washington. We know how to build airplanes.

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