A new report suggests that Michigan's Economic Growth Authority tax credit program created at least 18,000 jobs across the state.
The Kalamazoo, Mich.-based Upjohn Institute paper was released Thursday. It says the net fiscal cost of the MEGA tax credit program between 1996 and 2007 averaged about $3,490 per job. The program was created in 1995 to provide refundable tax credits to businesses that expand or move to Michigan, or keep jobs in the state.
An earlier report by the Midland-based Mackinac Center for Public Policy found that from 1995 through 2004, less than one-third of jobs expected to be created by state tax incentives were actually created.
The state was embarrassed last month when it was discovered that convicted embezzler Richard Short had been awarded a $9.1 million tax credit from the program.