FORT WAYNE, Ind. (WANE) – Amazon’s tax abatement or “tax phase in” proposal was struck down at Tuesday night’s City Council meeting.

After a long discussion, the proposal failed by a 3-5-1 vote.

The proposal would have had the company pay no property taxes at all on its distribution center on Flaugh Road for the first year, with gradually increasing rates the following nine years. By year 10, Amazon would have paid $1,052,103 in taxes.

The three councilmembers for the proposal argued that without this incentive, Amazon could choose to another location and the city could lose out on the jobs. Those against it say Amazon is large company made up of wealthy investors.

In March, City Council approved a tax abatement for Project Mastodon, which was for the real estate property. The difference between the two is that this ordinance was for personal property such as business equipment.