State House votes for bill introduced to put brakes on tax credits
Tuesday, April 25th 2006, 5:10 AM CDT
OKLAHOMA CITY (AP) -- The Oklahoma House voted 100-to 0 for a bill that officials say would halt two venture capital tax credit programs.
Officials say the programs could cost the state treasury hundreds of millions of dollars.
The measure now returns to the state Senate. It was introduced by Sapulpa Democratic Senator Ted Fisher.
Fisher said Monday that the taxpayer-supported credit programs for small businesses are being abused.
He says investors are using complicated financial transactions to reap profits of 100 percent to 500 percent without any risk and without necessarily creating new jobs.
Under the programs, tax credits of 20 percent are allowed for projects in non-urban areas and credits of 30 percent are permitted for investments in rural businesses.