A local lawmaker has sponsored a bill that would exempt new businesses and workers from taxes in an effort to jump-start Rhode Island's free-falling economy.
The "START-UP Rhode Island Tax-Free Zone Program" would allow the state to set up tax-free zones near education institutions. Businesses chosen for those zones would not have to pay state income, business, corporate, local, or franchise taxes and fees for up to 10 years. Employees would also not have to pay income tax.
"The state’s economy needs a defibrillator," said State Rep. Gregory Costantino, a Democrat whose district includes Johnston and Smithfield. "Tax-free zones are a big draw to outside businesses, and it will provide us with the jumpstart we need to induce growth."