Biden’s tax breaks for local media are effort to turn them into ‘left-wing versions of NPR or PBS’, critic says

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President Biden is proposing major tax relief for local media as part of the $ 1.85 trillion reconciliation being considered by Congress.

The tax break would allow eligible local media outlets, including newspapers, digital news websites and television stations to receive a tax credit of $ 25,000 per journalist they employ, and $ 15,000. for the next four years. Tax relief can be claimed for up to 1,500 journalists.

A group of alternative bidders is emerging for newspaper chain Tribune Publishing, which had agreed to a $ 630 million acquisition by hedge fund Alden Global Capital. (AP Photo / Kiichiro Sato, file)

While the measure is intended to help small local media outlets, large media outlets like Gannett will benefit from the tax break and could receive up to $ 127.5 million over the next five years.

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Sierra Vista, Ariz.-Based community newspaper chain Wick Communications will get an estimated $ 2 million in funding through the tax break.

Minority House Whip Steve Scalise called the Journalist Tax Credit a “scam”.

“It’s Biden and Dems in Congress helping pay the salaries of reporters who cover them,” the Louisiana Republican tweeted.

Scalise is not the only one to criticize.

Dan Gainor, vice president for free speech for America and business at the Media Research Center, told FOX Business the plan was “madness.”

President Joe Biden holds his face mask and waves his hand as he exits Air Force One at the Capital Region International Airport on Tuesday, October 5, 2021, in Lansing, Michigan (AP Photo / Evan Vucci / AP Newsroom)

“This is madness. I understand why some on the right are arguing this. The decline in local journalism can hurt communities. But putting it on the federal payroll will only make it worse. ‘they write stories that appeal to these politicians,’ Gainor said.

Gainor also said the measure must be opposed.

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“The left has made it clear that its goal is to turn local journalism into versions of left-wing NPR or PBS. It must be opposed,” he said.

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While some agree they are skeptical about providing funds by the government to help local news agencies, they note that there aren’t many other options.

Stacks of newspapers on a sidewalk.

“This is just a reluctant response to this fear of the collapse of local news and their business models,” said Steven Waldman, president and co-founder of Report for America. “Most journalists start off with a healthy skepticism about government involvement and support for journalism. And that’s appropriate.”

The Associated Press contributed to this report.

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