Massachusetts state records indicate that Boston Scientific didn't create the 331 jobs the medical devicemaker promised four years ago in return for tax incentives. In fact, BS has actually cut 100 jobs in that time and revealed it will eliminate an addtional 1,300 positions as part of a company-wide restructuring. The company hasn't said yet how many, if any, jobs will be cut in the state.
Several years ago, BS said it would increase its headcount at its Marlborough site from 669 to about 1,000 jobs by this year. In return, the state agreed to waive local property tax for 20 years and made the company eligible for up to 5 percent in state tax credits. So far, BS has saved about $689,907 in property taxes and about $2.4 million in state taxes as a result of the tax breaks--and there's not much Massachusetts can do to to recoup the lost revenue aside from canceling the incentives earlier than planned. That hasn't happened yet.
State Senator James Eldridge says the situation with Boston Scientific highlights Massachusetts' need for stronger laws for tax incentives. "You are dealing with public dollars,'' Eldridge tells the Boston Globe. "If the state is giving companies public dollars to create jobs, and that promise is broken, then the state should have the power to take back the tax break.'' The devicemaker says it has no plans to return the money.
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