NSW to lure jobs, companies from other states with relocation tax breaks

NSW looks set to steal thousands of jobs from other states thanks to a tax cut program ­designed to lure interstate businesses.

NSW looks set to steal thousands of jobs from other states thanks to a tax cut program ­designed to lure interstate businesses looking for certainty in the COVID era.

Less than two months after the government’s relocation tax break program launched, 250 companies have expressed interest, with Premier Gladys Berejiklian crediting the state’s handling of the pandemic as a reason for the influx.

Premier Gladys Berejiklian credit’s NSW’s ability to deal with COVID with its ability to lure businesses to the state. Picture: NCA NewsWire/Joel Carrett

Some 13 companies are in the process of full consideration by NSW Treasury for ­relocation tax breaks, with ­investment proposals worth 2000 new direct jobs alone.

The companies so far under consideration hail from Queensland and South Australia, but the program is open to all states with an expectation it will grow.

Ms Berejiklian specifically cited NSW’s COVID management strategy when explaining the results.

“The feedback from businesses is they want as much certainty as possible during COVID and beyond. NSW has demonstrated during the pandemic we can deal with the economic consequences as well as keeping the virus at bay,” Ms Berejiklian said.

The plan was announced last November as part of the delayed State Budget, with a $250 million fighting fund to support companies who want to relocate their head offices to NSW or expand their jobs footprint in the state.

Treasurer Dominic Perrottet says the program is a “signal to the private sector” that NSW was open for business. Picture: NCA NewsWire / Flavio Brancaleone

The companies are offered payroll tax relief for up to four years for every new job cre­ated. They also get fast tracked planning approval pathways and subsidised training, as well as free government space and accommodation.

Under the terms of the project, the companies will not be publicly named by the government once they express interest in the project unless they elect to do it themselves.

“NSW has faced unprecedented challenges as a result of drought, bushfires and COVID-19, but this has demonstrated our strength and ­resilience and opportunities on creating jobs for the future,” Ms Berejiklian said.

“Our economy is the engine room of the nation and Jobs Plus is enticing top-performing companies from other states as well as across the globe.

“This cements this NSW as the best place to do business in Australia.”

Western Sydney airport, currently under construction, could be attractive for advanced manufacturing jobs. Picture: Toby Zerna

Announcing the program last year, Treasurer Dominic Perrottet said it was a “signal to the private sector” that NSW was the best place to do business.

The program will run until June 2022.

The government in particular is targeting advanced manufacturing jobs for the new aerotropolis but all proposals will be considered.