&gt; The Federal government does the same and much of it is for similar reasons, should it be prevented from doing so?<p>Yes, a hundred times yes.  This is one of the biggest problems with our tax law and allows politicians, under the guise of promoting businesses and jobs, of bribing people and companies.  One law for all.<p>Competing can be done without alterations in tax law to bribe companies.  Its a straight up cash bribe and nothing more honorable.  All of these deals are made with other people&#x27;s money.  Its bad enough we have status seeking politicians trying to attract sports teams.  I look at the absolute bull that FX companies deal with and see all the problems of allowing government bribes.