As of July 1, 2014, the Idaho State Tax Commission put in place temporary administrative rules, creating a refundable tax credit for qualified businesses entities that create a certain minimum number of qualified new jobs and generate certain new revenue in Idaho. Continue reading “Idaho Boosts Incentives for Job Creation through the Idaho Reimbursement Incentive Act”
The New Jersey Economic Opportunity Act of 2013 was signed into law on September 18, 2013. The Act streamlines New Jersey’s 5 existing economic development incentive programs into 2. The Grow Now New Jersey Assistance (Grow NJ) Program will be the main job creation and retention incentive program. Grow NJ is for businesses creating or retaining jobs and making a capital investment in a Qualified Incentive Area and that meet or exceed minimum employment and capital investment requirements. Businesses may apply for grants of corporate business and insurance premiums tax credits for job creation/retention. Continue reading “NJ EDA Now Accepting Applications for Incentive Programs Expanded under the New Jersey Economic Opportunity Act of 2013”
Effective May 14, 2014, The Colorado Job Creation and Main Street Revitalization Act provides an income tax credit for costs incurred in connection with the preservation of historic structures.
On Monday, April 14, 2014, Governor Deal signed into law a 2 year extension of state income tax credits for video game companies. The 2 year extension provides for up to $25 million in tax credits for video game developers. The Georgia Industry Investment Act was established in 2008 to support Georgia companies developing games and digital media. The purpose of the incentives is to support the growth of Georgia game developers and assist in the development of a skilled workforce unique to the gaming community.
Film and television companies may receive a tax credit of up to 30% of expenditures on production and post-production of feature films, television series, music videos and commercials, and interactive games and animation, either in a single production or on multiple projects with a minimum spending amount of $500,000. The tax credits are transferable. The newly signed bill will take effect January 1, 2013, and will cap the 30% credit at $25 million for the game industry, while limiting individual video game companies to $5 million.
Premier Tax Incentive Consultant Strengthens National Practice with Industry Expert
Ocean, NJ February 17, 2014 — Walton, one of the longest-tenured independent tax and non-tax incentives consulting firm in the U.S., announced today the splitting of the President and CEO position, previously held by Fred Stiftel, and the appointment of Phil Ownbey as president. Mr. Ownbey brings extensive and relevant experience to Walton, having held strategic executive positions at tax credit and incentive firms. Fred Stiftel will retain the title of CEO. Continue reading “Walton Appoints Phil Ownbey as President”
Walton’s own Marty Reid — Managing Director, Incentive Consulting Services (ICS) Division — has been critical in evaluation and capturing lucrative tax credits and incentives for many businesses for over 20 years. Mr. Reid was quoted in a recent Triangle Business Journal article for his assessment of state tax credit programs explaining that “[states] are aggressive in adding them as a way to attract and maintain jobs.” He went on to say, “Some companies may never use that credit, or it may expire before you can use it.” Continue reading “State Tax Credits & Incentives Keep Increasing”
Happy New Year!
And, cheers to a successful 2014! We’re very exited for the coming year and we look forward to serving all of your tax credit and incentive needs. So read on, pass it along, and stay subscribed. Every opportunity counts! Continue reading “2014 Newsletter — Walton”
Beginning January 1, 2014 Maryland provides a refundable tax credit equal to 33% of an eligible investment to Qualified Maryland Cybersecurity Companies (QMCCs) that seek and secure investment from an in-state or out-of-state investor.
The program appropriations for FY 2014 are $3 million, with a minimum appropriation per year through July 1, 2019 of $2 million. The maximum allowable credit is $250,000 per QMCC and cannot equate to more than 15% of the total program appropriation in a single fiscal year.
The Texas Tax Credit for Clean Energy provides a franchise tax credit for up to 3 clean energy products. The credit cannot be issued before the later of September 1, 2018 or the expiration of an agreement under Chapter 313 of the Texas Economic Development Act regarding the clean energy project for which the credit is issued.
A Maryland health enterprise zone practitioner may claim a hiring tax credit against the 2013 income tax equal to the number of qualified employees certified by the Maryland Department of Health and Mental Hygiene multiplied by $5,000. The credit is available only with an electronically filed return for those practitioners located within a health enterprise zone (Form 500CR section of the return must be completed) along with the certification.
Oregon is among 20 states in the United States that offers a state tax credit for dependent care assistance provided to employees. Oregon’s dependent care tax credit is taken against the company’s state tax liability and permits an employer to offset 50% of its child care expenditures against its state tax liability. The credit allows an annual limit of $2,500 per employee.
The state tax credit for child care applies costs associate with:
- contracting with a 3rd party child care provider
- purchasing employee’s child care though payments to a 3rd party child care provider
- providing direct subsidies or vouchers to employees
- contracting for child care resource and referral services
Mississippi allows an income tax credit for employers providing dependent care for its employees during the employee’s working hours. The credit allowed is 50% of qualified expenses, such as the next cost of any contract executed by the employer for a 3rd party to provide dependent care, expenses or, if an employee elects to provide dependent care directly, then the qualified expenses are expenses for staff, learning, and recreational materials and equipment, and cost associated with the construction and maintenance of a facility. This credit can offset up to 1005 of the income tax due from the entity. Any excess credit will not be refunded, but can be carried forward for up to 5 years.
An employer must have its child care program certified by the Department of Health for programs serving children 12 years of age and younger and for programs serving elderly adults. The State Tax Commission certifies programs serving dependents older than 12 years of age. To qualify, the facility must have an average daily enrollment for the taxable year.
Don’t forget about the federal tax credit for employer provided child care.
In June 2001, as part of the Economic Growth and Tax Relief Reconciliation Act, Congress enacted into law the first federal employer tax credit for child care. Beginning in tax year 2002, the law allows employers a 25% credit for the costs of acquiring, constructing, rehabilitating, or expanding a child care facility, the costs of operating a child care facility, or the costs of contracting with a 3rd party child care provider. In addition, the law gives employers a 10% credit for the costs of providing child care resources and referral services to employees. The total credit has an annual limit of $150,000 in tax assistance per employer. The employer-provided child care credit is made a part of, and subject to, the limitation and carryover provisions of the general business credit. The credit is permanent with no expiration date.