Bush signs business tax incentives for Gulf Coast

Apparently the federal government is taking steps to help businesses in the Gulf Coast stay in the Gulf Coast.

The tax legislation, which will cost the federal treasury an estimated $8.6 billion in revenue over 10 years, is aimed at encouraging existing companies in the Gulf hurricane zone to remain, while trying to induce new businesses to relocate there with the lure of tax breaks not available elsewhere in the United States.

Some of the provisions are designed to encourage businesses to open up their purse strings by giving tax breaks for purchases within the hurricane disaster regions of Louisiana and Mississippi for everything from real estate to computer software. Others reward companies that continued to pay employees despite being shut down or forced to curtail operations because of Hurricane Katrina or Hurricane Rita.

Well this is good news for businesses willing to stay in the Gulf Coast areas. I’m also happy to see that there will be provisions for employees.