Rural county and Community Empowerment Zone (CEZ) new jobs

From the 2024 DOR Tax Exemption Study

82.62.030; 82.62.045 - Rural county and Community Empowerment Zone (CEZ) new jobs Description A B&O tax credit is available for each new employment position created by a business located in a rural county engaged in the following activities: - Manufacturing. - Computer-related programming and services performed by a manufacturer. - Research and development. - Commercial testing laboratories. A rural county has an average population density of fewer than 100 persons per square mile or is smaller than 225 square miles. The credit is equal to: - $2,000 for each new qualified employment position with wages and benefits below $40,000. - $4,000 for each new qualified employment position with wages and benefits above $40,000. The total statewide credit cap is $7.5 million per fiscal year. Purpose Encourages businesses to expand in rural counties. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $0.170 $0.130 $0.100 $0.070 Local Taxes $0.000 $0.000 $0.000 $0.000 Repeal of Repealing this credit would increase revenues. exemption Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $0.120 $0.100 $0.070 Local