PRESS RELEASE: January 28, 2011

PRESS RELEASE

FOR IMMEDIATE RELEASE

January 28, 2011

Iaquintos Economic Development Bill Receives Strong Bipartisan Support

RICHMOND, VA Localities will have a new tool to attract and nurture new businesses under a bill introduced by Delegate Sal Iaquinto (R-84). HB 1587 overwhelmingly passed the House of Delegates yesterday afternoon, 97-2.

This bill allows cities and counties to rebate or exempt the current BPOL (Business, Professional, and Occupational License) tax for new businesses during their first two years of operation in the locality. The BPOL tax is imposed on a companys gross receipts and can be a hefty burden on business owners just trying to get their operations off the ground.

This bill is an important part of our efforts to bring jobs to Virginia, remarked Delegate Iaquinto. It continues the time-honored, conservative Virginia tradition of creating an environment where businesses can succeed.

Another important principle advanced by this bill, explained Iaquinto, is allowing local governments to assess their own economic climate and determine for themselves whether the tax rebate would be beneficial. This bill puts more power in the hands of local business communities and their elected leaders,he said. Its an opportunity rather than a mandate.The bill has strong bi-partisan support in the legislature as well as the support of the Virginia Municipal League, Chamber of Commerce, Retail Merchant Alliance and local governments, including the cities of Virginia Beach and Chesapeake. It now moves to the Senate for consideration.

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