Accountability for RI tax incentives questioned

PROVIDENCE—Rhode Island businesses received $87 million in tax breaks from the state over the past two years, but some are questioning what the state is getting in return.

Under a law approved in July 2008, companies can receive tax credits and other incentives to encourage development.

The law also required the state to provide an annual “accountability” report, demonstrating whether businesses that received the tax incentives actually followed through by expanding or creating new jobs.

The Providence Journal reported that the state Department of Revenue has filed two reports showing which companies received the tax breaks, but has yet to file an accountability report.

State Department of Administration Director Gary Sasse cited “a lack of accurate and reliable data.“