Treat businesses fairly

Charleston (W.Va.) Daily Mail: Blue states have a tendency to pass taxes that deter investment, then grant exceptions — but only to some businesses — when great big businesses squawk.

It happened recently in Illinois, and the same embarrassing inconsistency recently drew notice in West Virginia as well.

As stateline.org recounted, Illinois needed revenue really badly a year ago. So Illinois lawmakers hiked corporate income taxes by 46 percent and personal income taxes by 67 percent.

That didn’t sit well with Sears Holding Co. and the CME Group, which operates the Chicago Mercantile Exchange and the Chicago Board of Trade. Indiana, Ohio and other states competed to win their affection.

Both companies have done business in Illinois for more than a century, but both publicly threatened to move to other states unless Illinois gave them a financial reason to stay.

West Virginia’s power brokers are in a similar jam. They want very much to attract a $2 billion investment in an ethane cracker, but under West Virginia law investors would face personal property taxes. In Pennsylvania and Ohio they wouldn’t.

So state leaders are talking about tax breaks — but only for companies that invest $2 billion. Until quite recently, West Virginia was ecstatic about $20 million investments. If by fixing uncompetitive tax policy, it could attract 10 $200 million buy-ins.

Well, gee, West Virginians wouldn’t be 49th in per capita income for long, now would they?