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Samsung seeking 100% rebate on property taxes with proposed Travis County chip facility

The company is seeking a 100% rebate on property taxes for 20 years in exchange for creating 1,800 six-figure jobs in the Austin area.

AUSTIN, Texas — The KVUE Defenders this week received documents filed with the State Comptroller's Office that show Samsung wants a 100% rebate on property taxes for 20 years in exchange for creating 1,800 six-figure jobs with a new proposed facility.

These types of incentive agreements are not unheard of. In fact, the City of Austin has nine active incentive agreements. Meanwhile, Travis County has eight.

Travis County issued a moratorium on these incentive agreements last year but recently opened up the application process for Samsung.

According to the documents, the Austin-based chipmaker is also considering Arizona, New York and Korea for this chip-making factory.

City records show Samsung's original incentive agreement from 2005 was similar. It amounts to $62,875,194 in tax rebates.

This wouldn't be the first large incentives deal for a major tech company local leaders have struck over the past year. In fact, the Greater Austin Chamber of Commerce was recently granted the Business Facilities Magazine "2020 Deal of the Year Gold Award" for its work on bringing Tesla to Travis County.

RELATED: Travis County votes to accept 'Silicon Silver' application under new incentives policy

In that deal, Travis County commissioners voted 4-0 to approve a tax incentives package to bring the carmaker to the Del Valle area. That package was worth, at a minimum, $14 million over 10 years. The new Tesla Gigafactory is expected to bring about 5,000 jobs.

The KVUE Defenders will have more on how all of these incentive agreements work, who's getting them and what it means for locals this Monday on KVUE News at 10 p.m.

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