Mesa, Arizona will be the latest location for an Apple, Inc. warehouse, and the company is likely to receive huge property, equipment, energy and payroll tax breaks and other incentives from the state. Apple purchased the failed First Solar plant for $113.6 million, and will employee 700 workers. The company has recently opened data and operation centers in Nevada, Texas, Oregon and North Carolina, and will receive as much as $196 million in tax breaks from those states.
According to the Phoenix Business Journal, Arizona and Mesa economic developers have a number of paths to get Apple commercial property and energy related tax breaks for the plant which will be powered by solar and renewable sources. It is not yet clear how much the incentives could total but they could be in the 8-digit range over a number of years. One thing is certain, it is very unlikely that Apple will pay Arizona’s high business property tax rate. In fact, the Mesa warehouse could be designated as a Foreign Trade Zone, in which case Apple’s commercial state property tax rate will be 5 percent as opposed to the 19.5 percent paid by most Arizona businesses, which is nearly a 75 percent savings.
For the full story from the Phoenix Business Journal, click here.