COMMUNITY BENEFITS
A community can assist local companies to become more competitive by offering an incentive to expand or modernize. A community can become more competitive in attracting new industry. A community can target the type of business it wants to attract. Attracting new business investment can increase local tax revenues and employment opportunities. Existing property remains fully taxable (note - large manufacturing facilities and brownfield exception).
BUSINESS BENEFITS Tax incentives help offset the high costs of business start-up activities. Enterprise Zone incentives help provide a competitive advantage for Ohio sites. Businesses can reinvest in their facilities and equipment, helping them grow and remain competitive in the long term. Additional corporate franchise tax benefits may be available for specific projects if certain conditions are met. Tax incentives provide a basis for a long-term relationship between the community and business.
ELIGIBLE BUSINESSES Only those businesses that are qualified by financial responsibility and business experience to create and preserve jobs within the zone may apply for the local tax incentives. Local officials may limit the type of businesses and projects, which are eligible through policy guidelines. A business must make a substantial investment in either real or personal property. Establishing a new business is defined as making a significant investment in land, buildings, machinery, or equipment. Expansion projects must make investments that equal at least 10% of the value of the existing facility. In addition, the law permits incentives for a business to renovate an existing facility if the renovations exceed 50% of the facility's value. A business willing to occupy a vacant facility and invest at least 20% of the facility's value to alter or repair the facility is considered eligible for tax incentives. Please note that retail operations are not eligible for tax exemptions except in those urban areas which have been designated as impacted cities. Please visit: http://development.ohio.gov/edd/ez/  or review Ohio Revised Code Sections 5709.61-.69 at http://codes.ohio.gov/ for more information.