How these big companies moved to red Texas before the state had gone blue

Texas changes political direction

Gina Hinojosa, a state representative with little national profile, defeated Republican Gov. Greg Abbott, who was seeking a fourth term. State Representative James Talerico also defeated Republican Senate candidate and Attorney General Ken Paxton by more than a million votes.

Hinojosa and Talerico celebrated together at Whataburger on Tuesday night. Their victories raised questions for business leaders about the future of the incentives that helped draw companies to Texas.

Incentives helped attract companies

More than 200 companies moved to Texas during the past seven years, as Republican leaders promoted the state as business-friendly and offered lucrative corporate tax incentives. Texas does not levy income taxes on individuals or corporations.

The state does charge a franchise tax on companies with more than $1 million in revenue. Abbott signed bills that expanded exemptions from that tax.

Hinojosa targets data center breaks

The article does not specify which other incentives Hinojosa might seek to change. Business leaders are left weighing whether the policies that influenced companies’ moves will continue.