Patching Up the Consolidated Incentives Act: HB1490 Would Make Numerous Revisions to Arkansas Incentives

While much of the Arkansas tax news is focusing on the highway bill, a significant economic development bill, HB1490, was introduced yesterday. HB1490 fixes a number of flaws in the CIA—the Consolidated Incentives Act of 2003—which governs most state-level general business incentives: Advantage Arkansas, Create Rebate, Tax Back, ArkPlus, R&D credits, etc. The changes are incremental and do not address some of the more fundamental issues with the incentives. But the numerous changes are a general improvement and should give the Arkansas Economic Development Commission more flexibility in structuring inducements to bring jobs and investment to Arkansas. [More]