Joint Detroit-Windsor #AmazonHQ2 bid includes $136 million incentive package

windsor

A joint Amazon HQ2 bid with Detroit and Windsor reveals extensive tax breaks, according to a report from Crain’s.

The Detroit publication obtained the nine-page executive summary and 242-page spiral-bound book that outlined the two cities’ proposal. Detroit’s bid includes allowing Amazon to operate for 30 years without paying real estate and personal property taxes, the city of Detroit’s two percent corporate income tax, or the city’s utility users tax under the state’s Renaissance Zone Program.

Windsor is offering Amazon an incentive package valued at $136 million CAD through property tax increment financing, grant funding, and corporate income tax credits, plus “prime real estate at a nominal cost.” Windsor’s offer is based on Amazon housing 5,000 employees in a 500,000-square-feet of office.

The total value of taxpayer subsidies and incentives offered to Amazon aren’t available as the two cities wait for Amazon to make its decision. The proposals were led by Detroit businessman and real estate developer Dan Gilbert.

The proposal also says Amazon could qualify for Canadian corporate tax credits for research and development and innovation tax credits of between 25 percent and 30 percent of expenses if keeps its R&D work in Ontario.

Photo via City of Windsor