City of Philadelphia to offer tax breaks to tech companies
Tech companies in Philadelphia might finally see some long-awaited light at the end of the tax tunnel.
Mayor Michael Nutter has announced tax breaks for technology, design and video game firms that would hopefully encourage more companies to set up shop in the city.
As the Metro reported this morning, under the new tax policy, tech sector businesses would not be taxed for services sold outside of Philadelphia, which could pave the way for tax overhauls for all city businesses. The news follows Nutter’s address to the Greater Philadelphia Chamber of Commerce last week outlining the need to experiment with the city’s tax structure.
Videogame Growth Initiative organizer Mike Worth, who’s helped lead a grass roots effort to lobby City Hall on tech tax issues, as we’ve reported, tells Metro that the incentives might help convince his game development studio Space Whale Studios to move downtown.
MVMNT_Mike on February 23rd, 2010
Good for companies already in town, but why would you still move into the city? Are the suburbs’ business taxes higher? There’s no incentive to do business with other companies within the city then.
Brian James Kirk on February 23rd, 2010
As an economist interviewed in Metro’s article says, it’s a good start. Many co’s have historically complained that the city had no concern for city biz.
Tim on February 23rd, 2010
Wow.. this is great news. Three Rings has set up shop in Philly… I think this will be great for all those “casual gaming” companies… of which now with all the “app stores” on all the platforms (wiiware, live, PSNetwork etc.) and iPhones, DSiware etc.
Chris Somers on February 24th, 2010
This is great news. Would also LOVE to see a reform with the BPT and NPT for self-employed folks and small business owners.