Google’s N.C. expansion faces legal challenge – East Bay Business Times: “A former state Supreme Court justice is leading a legal challenge to hefty tax breaks that Google Inc. has been offered to open operations in North Carolina’s Caldwell County, according to reports Tuesday.
Associated Press said the N.C. Institute for Constitutional Law has authorized the challenge under the guidance of Republican gubernatorial candidate Bob Orr, who is executive director of the group and a critic of such business incentives.
By the end of the month, a lawsuit will likely be filed challenging the constitutionality of an exemption that permits Mountain View-based Google (NASDAQ: GOOG) to avoid sales taxes on electricity and equipment, AP reported.
The provision could save Google up to $90 million over about 30 years.
Orr has said the provision is illegal because it give one company special treatment.
Orr indicated he does not plan to challenge local incentives. Those, in combination with state tax breaks, could save Google $260 million over the same period.”
