Community Development Zone Tax Credits
The Wisconsin Development Zone program can help you if you plan to expand your business, start a new one, or relocate your current business to Wisconsin. The program is a tax benefit initiative designed to encourage private investment and to improve both the quality and quantity of employment opportunities.
This program is availiable for employers expanding or locating within Grant and Lafayette Counties, Wisconsin, which are subject to a Wisconsin income tax liability.
On December 1, 1996 the Grant-Lafayette Community Development Zone was formally designated by the Wisconsin Department of Commerce. A total of $1,000,000 in Wisconsin income tax credits has been allocated to the Grant-Lafayette Development Zone, which encompasses all of Grant and Lafayette Counties.
Purposes of the Program
- To stimulate economic development in areas suffering from economic hardship.
- To improve both the quantity and quality of employment opportunities available to persons who are unemployed and who may face barriers to employment.
- To encourage the private sector to invest and create jobs in distressed areas.
Program Credits
The tax credit is a dollar-for-dollar reduction in the Wisconsin income tax liability, with a carry-forward provision of up to fifteen years. For businesses which become certified as a Agriculture Development Zone Employer, the following tax credits are available:
- A "jobs credit" of up to $8,000 for hiring persons who fall into within one of the eleven targeted worker categories;
- A "jobs credit" of up to $6,000 for hiring any Wisconsin resident for the first two years of employment;
- An "environmental remediation credit" for undertaking qualified expenditures for environmental improvements as part of a job creating project.
Notes:
- Businesses must be certified by the Department of Commerce before they can undertake expenses or hire workers or make capital investments for which they expect to receive tax benefits.
- The amount if tax credits approved for a firm will depend upon the level of wages and employee benefits paid to new employees they are committing to hire. NOTE: Minimum Qualifying Wage is $10.00 per hour plus benefits.
- Businesses must make sincere efforts to hire some targeted workers, and should work closely with local Job Centers when recruiting.
Who Should Apply?
The development zone program has something to offer firms of all sizes in a wide variety of industries including retail and services. Any firm planning an improvement or expansion in the Development Zone may be eligible.
What to do:
Contact the Development Zone Manager (see below) to discuss your proposed project. An information packet and a six page application form will be sent to you.
The application process:
The Development Zone Manager will evaluate the proposed economic activity and assist the business in making and application for certification to the Wisconsin Department of Commerce. The application process is easy.
A Grant-Lafayette Development Zone Advisory Council oversees the program locally and has established guidelines for recommending an appropriate level of tax benefits to the Department of Commerce.
The Wisconsin Department of Commerce has the responsibility of monitoring the program and will verify any information presented by businesses in support of their tax benefits.
For additional information contact:
- Ron Brisbois, Executive Director
- Grant County Economic Development Corporation,
- Bronson Boulevard, Fennimore, WI 53809
- Phone: (608) 822-3501
- Fax: (608) 822-6019
- E-Mail: gcedc@grantcounty.org
- In Lafayette County:
- JoAnne Ehasz
- Lafayette County Economic Development
- Darlington, WI 53530
- Phone: (608) 776-8080
