Leveraging Grants and Tax Incentives
Businesses can capture major financial benefits in states and cities across the nation.
You just have to know what to look for.
WHAT ARE INCENTIVES?
The overall economic impact is to promote the creation of more higher-wage jobs and company capital investment in target areas.
That’s why nearly every state in the country is trying to attract companies with incentives, and why you should know how to leverage them.
Federal, state, and local government agencies offer grants and tax saving incentives to enhance the economy by fostering business growth.
ELIGIBLE BUSINESS PLANS
Capital Cash GrantsOne of the most popular incentives are direct or capital grants. These grants are awarded to companies to offset project costs associated with… New facility construction Infrastructure & facility improvements Substantial energy efficient equipment & installation Workforce development & more
Business Income Tax Credits & SavingsTax credits and other forms of tax savings can make a significant reduction in your companies overall income tax. States and cities across the United States have different programs focusing on reducing your business income tax in order to foster growth. The value of these programs is specific to location, capital investment, job retention, job creation, and timing.
Real & Personal Property Tax SavingsCompany plans that include building a new facility or making a capital improvement to an existing location (real property) or purchasing equipment (personal property), can trigger tax savings on these investments. Most of these incentives are referred to as property tax abatements that can cover up to 100% of tax incurred when investing in a facility. In some areas, property tax associated with leasing industrial or office space can provide a reduction in monthly rent through abatement credits.
Enterprise Zones & Distressed AreasAcross the US, distressed areas and Enterprise Zones can represent financial incentives from different government agencies if a business relocates or expands in these locations. Financial incentive benefits generally provide business income tax savings through new hires, property tax incentives for capital projects, and grants based on investment.
Energy Savings & DiscountsIn certain states, utilities and government agencies may offer grants, tax credits, and cost reduction incentives for investment in energy efficiency. Companies that plan to purchase and installing energy efficient equipment, scaling up energy use to demand high consumption, or need new service may be eligibile.
Workforce Development GrantsJob related incentives are offered by various government agencies when create new jobs, relocate existing jobs, or “train-up” a workforce. Grants are given as a reimbursement on eligible expenses to compensate on costs and possibily co-workers time spent on improving your workforce. These programs vary across the national, and are awarded for different eligible costs related to training.