Nevada Lures Tesla Plant With $1.3 Billion in Tax Breaks

Nevada offered Tesla Motors Inc. as much as $1.3 billion in tax incentives to build the world’s largest lithium-ion battery plant, a facility that officials said would boost the state’s economy by $100 billion over two decades.

Governor Brian Sandoval said the electric-car maker’s factory, with 6,500 jobs, would add 4 percent to the gross domestic product of Nevada, where unemployment is 7.7 percent, the nation’s third highest. Tesla would pay no sales taxes for 20 years and no property or business taxes for 10 years. It also would receive $195 million of tax credits over 20 years.