5 BIG REASONS WHY BUSINESSES PROSPER IN IDAHO! No.1: Idaho (the Gem State) offers an inspiring lifestyle. www.gemstatehomes.com www.idahohomesandliving.com No.2: Idaho extends financial incentives and tax credits.
THE IDAHO CORPORATE ADVANTAGE Large companies that relocate their headquarters or invest in a major administrative expansion in Idaho will benefit from this package. Qualifying companies receive a 6 percent tax credit up to $5 million in any one year and an enhanced new jobs tax credit starting at $1,500 and climbing to $3,000 per job depending on salary levels. A 10 percent real property improvement tax credit of up to $500,000 in any one year is also available along with temporary property tax rebate for new headquarters and administrative buildings of up to $2 million a year. Companies also qualify for a rebate of all sales taxes paid on materials used in the construction of new buildings. THE IDAHO BUSINESS ADVANTAGE Available for smaller businesses making a minimum $500,000 investment in new plant and facilities and creating at least 10 new jobs paying above $40,000 annually plus benefits. Qualifying companies receive an enhanced Investment Tax Credit of 3.75 percent up to $750,000 in any one year, a new jobs tax credit starting at $1,500 and climbing to $3,000 per job, a 2.5 percent real property improvement tax credit up to $125,000 in any one year along with a 25 percent rebate on sales tax paid on construction materials for the new plant. 3% BROADBAND TELECOM TAX CREDIT An additional 3 percent investment tax credit of up to $750,000 in any one year on Idaho state income tax is allowed for qualified broadband equipment used primarily to provide services to public subscribers in Idaho. The credit is transferable. 3% INVESTMENT TAX CREDIT This credit is available for qualifying new investments in Idaho. It can offset up to 50 percent of your state income tax liability and may be carried forward up to 14 years. In lieu of this income tax credit, a two-year exemption from property tax on qualified personal property is available to taxpayers whose taxable income was negative two years before the personal property was placed in service. UP TO $2000 NEW EMPLOYEE TRAINING REIMBURSEMENT Training costs are reimbursed for each new job paying $12 an hour or more plus benefits created by companies qualifying for Idaho’s Workforce Development Training Fund program. Up to $3000 reimbursement per new job is allowed in select rural counties. $1000 NEW JOBS INCOME TAX CREDIT This credit is available to any business adding new employees at $15.50 an hour or more and who are eligible to receive employer provided coverage under an accident or health plan. $500 NEW JOBS INCOME TAX CREDIT Businesses that produce, assemble, fabricate, manufacture or process natural resource products qualify but cannot combine this credit with the $1000 new jobs tax credit. 5% RESEARCH AND DEVELOPMENT INCOME TAX CREDIT The cost of basic and qualified research performed in Idaho qualifies for this credit, which is transferable. 100% PRODUCTION SALES TAX EXEMPTION Idaho sales and use tax exemptions are available for equipment and materials used directly in manufacturing, processing, mining, fabrication or logging operations; for clean rooms used in semiconductor and semiconductor equipment manufacturing, and any equipment or material used in research and development activities. NET OPERATING LOSS DEDUCTIONS Losses up to $100,000 per tax year can be carried back for two years. If not absorbed in two years, the remaining losses may be carried forward for up to 20 years. TAX CAP ON PROPERTY VALUES EXCEEDING $800 MILLION Companies with property in a single county valued over $800 million are exempt from paying property taxes on the
Tracy Brown
EMAIL
