Time for a Rum Revolt…

This just has me speechless… (or wordless…)

Under the agreement, London-based Diageo PLC will receive tax credits and other benefits worth $2.7 billion over 30 years, including the entire $165-million cost of building a state-of-the-art distillery on the island of St. Croix in the Virgin Islands, a U.S. territory.

“The U.S. taxpayer is basically being asked to line the pockets of the world’s largest liquor producer,” says Steve Ellis, the president of Taxpayers for Common Sense, a nonpartisan watchdog organization.

Some of the points Ed Morrissy is pointing out, which is the reason for my not thinking straight…

  • Puerto Rico will lose 300 jobs in this move
  • Puerto Rico uses 90% of its tax revenues from rum on public welfare. The loss of revenue will cut those funds just in time to have even more people unemployed.
  • Diageo produces about $103 million in tax receipts
  • I think if this is what passes for “smart leadership” in Washington, I’ll take the status-quo for $1000, Alex.

    Go read the whole thing for updates.

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