Net loss for Michigan: Corporations getting back more than they pay in taxes
The Detroit News reported yesterday that Michigan corporations will receive tax refunds that exceed corporate tax payments to the state. In other words, there will be a net loss. Corporations will get back more than they pay.
Two things are happening here. First, tax credits have increased as chiefly the auto companies are cashing in on those incentives. Secondly, tax revenues are down.
Rich Studley, the CEO of the Michigan Chamber of Commerce, joins Stateside to explain how this happened.