New Tax Law Would Kill Tax Exempt Municipal Bonds, Killing Thousands of Jobs and Economic Development Projects
H.J. Sims knows, because he has financed economic development projects throughout the nation. Municipal Bonds were created as tax-free interest investments to encourage local towns and counties -- public entities -- to be able to finance and find investors to make their convention centers, libraries, hospitals, airports, prisons and schools, possible, because there are investors for tax exempt securities. THE NEW TAX LAW TAKES THIS AWAY. Keep reading see details:
WHAT DOES THIS MEAN?
HJ Sims, who has helped orchestrate billions of dollars in municipal bond programs that have created huge economic development programs for nursing homes, veterans rehabilitation centers, hospitals, prisons and projects that have created hundreds of thousands of jobs, says that the new tax reform act could eliminate billions of dollars available for cities, states and counties in economic development programs.
He has legitimate concerns with two sections that we view as harmful to our communities and to our clients who are not represented by high-priced lobbyists. These provisions affect a good percentage of total municipal bond issuance and are likely to produce some unexpected volatility in the municipal market in the coming weeks: The proposed elimination of private activity bonds and of advance refundings. This may mean the elimination of hundreds, perhaps thousands of economic development projects across the USA.
"TIRED OF BE TRICKLED UPON" says Peter DeBenedittis, Ph.d.
Finally, we have observed a politician with new ideas. Peter DeBenedittis, running for governor of New Mexico, actually has some creative and new ideas (unusual for politicians these days), and we suggest that you check out the detailed ideals he has on job creation, economic development and increased new ways to help his state to grow and prosper. New Mexico has been behind the curve in the USA in economic growth. Take a look, but be sure and click down to the details, not just the general headings. I believe he is worth listening to and is another person who recognizes that the new tax code as written hurts more people than it helps. For example, trying to limit the interest deduction on mortgage loans is counter productive. The mortgage deduction was intended to encourage every person in America to be able to own a home and to stimulate economic development through new home construction. The limitation of this does huge harm to job creation throughout the nation. There are many others, but please look at Peter DeBenedittis. His is a political genius out of the box that has things to say.
Peter DeBenedittis (see the details at this link) is one of the few politicians we have seen that actually has new creative ideas. Look at his links especially on creation of new jobs and industry for his state, New Mexico. They are progressive and make economic sense. They also show how the new IRS tax code, as recommended in Washington D.C., can be a disaster for states, counties and towns across the nation, by billions of dollars.
Click on the following link: Peter DeBeneddis for Governor, New Mexico