Ohio's tax reform earns high marks among site selection executives

Thursday, October 02, 2008

Cleveland, October 2, 2008 - Ohio's aggressive tax reform is one key reason the state has been selected by executives as the ideal location for capital investment for the past two years. The Greater Cleveland Partnership (GCP) and the Ohio Business Roundtable (OBR) were part of a public-private partnership that collaborated in 2005 to deliver the new tax code that eliminates taxes on capital investment, inventory, sales of goods and services to customers outside Ohio, as well as corporate income and franchise tax. The net impact is that Ohio's tax burden has been reduced by up to 63 percent in some cases, and Ohio now offers companies the lowest new capital investment tax structure in the Midwest.

As a result, for the past two years, Site Selection magazine has awarded Ohio the Governor's Cup for the most new and expanded large-scale capital projects-beating Illinois, Tennessee, North Carolina and Texas for the top spot. In 2007, Ohio recorded 399 new corporate facilities and expansions, over 30 more than Illinois, the second-place finisher. Among the most notable development projects were Amylin Pharmaceuticals' new manufacturing facility in West Chester and Goodyear Tire and Rubber's expansion in Akron.

Members of the GCP Board of Directors, including Alexander Cutler, chairman and CEO of Eaton Corporation; A. Malachi Mixon, chairman and CEO of Invacare Corporation; John Stropki, Chairman, president and CEO of Lincoln Electric; Andre Thornton, president and CEO of ASW Global; and Don Washkewicz, chairman and CEO of Parker Hannifin Corporation, are featured in the OBR brochure  that outlines the tax reform's positive results in the second year of the five-year rollout.

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