Over the last year, both behind the scenes and in public, the City of Kyle, the Greater San Marcos Partnership, and Hays County have been lobbying Hays CISD (HCISD) to pass a specific inventory tax exemption that will help attract certain kinds of manufacturing and distribution companies to our area. It’s called the Triple Freeport exemption, and could be a game-changer for the city of Kyle. But it doesn’t work without the support of HCISD.
What is Triple Freeport?
Triple Freeport exempts specific kinds of manufacturing and distribution companies from being taxed on inventory in their facilities that are shipped outside of the state in 175 days or fewer. In 1989 the State of Texas permanently exempted all companies from freeport taxes but left an option for local entities to bypass the measure. At the time, most entities kept the tax in place. In recent years, however, with competition to land large employers increasing, Triple Freeport exemptions are passing all over the state. Among those to now offer the exemption are San Marcos, New Braunfels, Dripping Springs, Cedar Park, and Pflugerville. Continue reading “The Freeport Opportunity”