From Business Insider · Truman Dickerson · · 1m 20s
Texas turned blue. Now companies regret the move.
More than 200 companies relocated to Texas for tax breaks under Republican leadership. Democrats just won the state, and the new governor wants to end corporate incentives.
In brief
More than 200 companies relocated to Texas for tax breaks under Republican leadership. Democrats just won the state, and the new governor wants to end corporate incentives. Texas elected Democrat Gina Hinojosa as governor, defeating Republican Greg Abbott. Hinojosa has signaled she will roll back corporate tax…
Over 200 companies moved to Texas
More than 200 companies relocated to Texas in the last seven years, drawn by Republican leadership advertising a business-friendly environment with lucrative corporate tax incentives.
Texas elected a Democrat governor
Democratic state representative Gina Hinojosa defeated Republican Governor Greg Abbott, who was running for a fourth term. The result was described as an unprecedented blue wave.
Democrats also won the Senate seat
State representative James Talerico defeated Republican Senate candidate and Attorney General Ken Paxton by more than a million votes in a stunning upset.
New governor opposes tax incentives
Hinojosa has signaled she favors rolling back corporate incentives. In an October interview with Kut News, she said: I do think we should wipe clean corporate welfare in this state.
“I do think we should wipe clean corporate welfare in this state.”
Business leaders face uncertain future
Companies including SpaceX, Tesla, Oracle and Samsung Electronics America relocated to Texas for tax breaks. CEOs must now consider whether those incentives will remain under Democratic leadership.
The key point
Texas elected Democrat Gina Hinojosa as governor, defeating Republican Greg Abbott. Hinojosa has signaled she will roll back corporate tax incentives that attracted over 200 companies to the state.
