WASHINGTON -
D.C.-based LivingSocial received good news from the D.C. Council on Tuesday. City leaders voted unanimously in favor of a package that would give LivingSocial major tax incentives.
In exchange, LivingSocial would agree to keep its headquarters in D.C. and will hire D.C. residents.
Some council members expressed concerns about losing LivingSocial to nearby Virginia or Maryland.
Some worry the deal is too sweet. The DC Fiscal Policy Institute is pushing for an addition to the current legislation that would force LivingSocial to pay back incentives if the company does not live up to its end of the bargain or decides to move out of the District.
A final vote on the incentive deal is expected next month.
LivingSocial is expanding its operations worldwide, but has not seen much profit. Last year, the company reported a loss of more than $500 million.
