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(1) ENTERPRISE ZONE INVESTMENT TAX CREDIT A credit against income tax is available for businesses investing in equipment used only in an enterprise zone. The credit is equal to 3% of the investment amount. Excess credits may be carried back 3 years and forward 12 years. In-state relocations purchasing equipment may be qualified.
(2) ENTERPRISE ZONE JOB TAX CREDIT A new business facility within an enterprise zone may claim an income tax credit of $500 for each newly hired employee. An expansion of an existing facility may be eligible for the credit. Excess credits may be carried forward 5 years.
(3) ENHANCED RURAL EZ JOBS CREDIT A new business facility located in a designated Enhanced Rural Enterprise Zone may qualify for an additional credit of $2,000 per new job. (4) DOUBLE JOB TAX CREDIT Businesses which are involved in agricultural manufacturing or processing which add value to agricultural commodities may qualify for a $500 credit for each employee hired for a new business facility. (5) ENHANCED RURAL AG PROCESSING EZ JOBS CREDIT New business facilities within an Enhanced Rural Enterprise Zone may receive a $500 per new agricultural processing job. (6) JOB TAX CREDIT FOR EMPLOYER HEALTH INSURANCE A qualifying new business facility which offers an employer-sponsored health insurance plan is allowed a 2 year $200 tax credit for each newly hired, insured, business facility employee. (7) R&D TAX CREDIT Businesses in an enterprise zone which invest in research and experimental activities may qualify for an income tax credit equal to 3% of the average increase in R&D costs for the current year compared to the average for the previous two years. (8) REHABILITATION OF VACANT BUILDINGS CREDIT A credit of 25% of the rehabilitation costs is available to the owner or tenants of rehabilitated commercial buildings within an enterprise zone which meet certain pre-renovation criteria. (9) CONTRIBUTIONS TO EZ DEVELOPMENT PROJECTS Businesses who contribute to certain eligible enterprise zone development projects may claim a credit of 25% of the contribution up to $100,000 (12.5% for in-kind contributions up to $50,000 in credit). Eligible enterprise zone development projects include business assistance, job training, economic development marketing, community development and homeless organizations within enterprise zones. (10) 10% JOB TRAINING CREDIT There is an income tax credit of 10% of eligible training costs incurred in developing and delivering a qualified job training program. (11) ENHANCED SALES AND USE TAX EXEMPTION The exemption of sales and use tax exemption for manufacturing equipment as described under the Sales and Use Tax Exemptions section is enhanced when used solely within an enterprise zone to include mining equipment and materials used to make eligible machinery. (12) LOCAL PROPERTY & SALES TAX INCENTIVES Qualifying new business facilities within an enterprise zone may be able to negotiate an additional property tax credit or incentive payment at the local level, as well as a local sales tax refund on equipment, machinery, machine tools, or supplies used in the new business facility. An expansion of an existing facility may qualify as a new business facility. |
