To keep college graduates around, offer local tax breaks

As a student at the University of South Alabama, that I will have no option but to relocate after graduation is troubling, says David Loeser for Yahoo! News. According to the Alabama Department of Revenue, the state has an income tax rate of 5 percent and a sales tax rate of 10 percent, with an average income of $36,000. It is very difficult for any graduating student who financed their education using loans to build financial momentum. There is a simple, long-term solution benefiting graduates, all local government organizations, and local communities in Mobile: All graduating students in the state of Alabama should be issued a minimal five-year income tax exemption, and any student who graduates with a 3.5 GPA or greater can earn a 10-year exemption. Even better, the state of Alabama should match the amount of savings up to $10,000 per year for the entire length of exemption. The exemption should be issued in reimbursement twice per year. Everyone benefits from this solution. Students will pay off loans, purchase property and settle themselves into their profession in Mobile and Alabama. The state would benefit from property tax, possible business tax and future income tax…

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