Incentives

 

Brownfield / Grayfield Tax Credit Program

 The Brownfield/Grayfield Tax Credit Program offers qualifying projects tax credits of up to 24% for qualifying costs of a Brownfield project and 30% if the project meets green building requirements. “Grayfield” is also included in the tax credit program. A Grayfield project (see administrative rules for specific definition) can receive tax credits of up to 12% of qualifying costs and 15% if the project meets green building requirements. Tax credits are available on a first come first served basis, with a maximum tax credit per project of $500,000 and a $5,000,000 maximum for each fiscal year. An audit of qualifying expenses from an independent Iowa certified public accountant is required prior to issuance of all tax credit certificates. 

http://www.iowaeconomicdevelopment.com/business/brownfield_grayfield.aspx


High Quality Jobs Program

 This program is designed to promote the creation or retention of quality jobs by assisting businesses locating, expanding or modernizing their facilities in Iowa through a package of tax credits, exemptions, and/or refunds to approved businesses. 

http://www.iowaeconomicdevelopment.com/business/highquality_jobs.aspx

businessfinance@iowa.gov


High Quality New Jobs Program

 The High Quality New Jobs Program provides a series of investment tax credits, sales tax refunds, research and development credits and property tax abatements based on a graduated scale of capital investment and job creation. Qualifying jobs must provide combined compensation and benefits equal to or greater than 130% of the county average wage.

 

Iowa New Jobs Training Program & Job Training Programs

 The Iowa New Jobs Training Program provides customized classroom instruction, on-the-job training and other training activities for employees in newly created jobs. The program includes:

  • Screening, skills assessment and testing
  • Travel for new employees to training anywhere in the world
  • On-the-job training reimbursement of 50 percent of the new employees’ wages and fringe benefits during the training period
  • In-plant instruction by company instructors
  • Costs of training facilities, equipment, materials and supplies
  • The amount per employee varies depending on the wage to be paid. Traditionally, the amount is approximately $2,000 - $2,500 per job

  Iowa's unique job-training programs can provide any training services required by a business for new employees. The Iowa New Jobs Training program provides funds for:

  • Screening, skills assessment and testing.
  • Travel for new employees to training, anywhere in the world.
  • On-the-job training reimbursement of 50% of the new employees' wages and fringe benefits during the training period.
  • In-plant instruction by company instructors.
  • Costs of training facilities, equipment, materials and supplies.

The Iowa New Jobs Training Program provides customized classroom instruction, on-the-job training and other training activities for employees in newly created jobs. All training is tailored to the company's special needs. The amount per employee varies depending on the wage to be paid. Traditionally the amount is approximately $2,000 - $2,500 per job.


Tax Increment Financing (TIF)

 City councils or boards of supervisors may use the property taxes resulting from the increase in taxable valuation caused by the construction of new industrial or commercial facilities to provide economic development incentives to a business  

http://www.iowaeconomicdevelopment.com/business/tif.aspx

 

Targeted Jobs Withholding Tax Credit Program (within Council Bluffs city limits)

 THE GOAL: To create economic incentives that can be directed toward the growth and expansion of targeted businesses located within the targeted jobs city.

Enacted in 2006, this program allows Council Bluffs, a designated “targeted
jobs city,” to match employee personal income tax withholding funds paid
by an employer.

Council Bluffs and other approved targeted jobs cities may enter into a withholding agreement with:

  • An out-of-state business that is locating to and creating targeted jobs within a targeted jobs city
  • An existing Iowa business that is creating 10 new targeted jobs or makes a qualifying investment of $500,000 within the community
  • For purposes of this program, a targeted job is defined as a job with a business that is or will be located in a targeted jobs project city that pays a minimum wage equal to the county-wide average wage. A targeted jobs city is required to provide a $1 match for every withholding dollar received. This match can be:
  • Provided by a private donor, the targeted jobs city, the employer or a combination of all three
  • In the form of cash or in-kind contributions to be used for the project

The withholding agreement allows an amount of up to 3 percent of the gross wages paid by the business to be directed to the targeted jobs city on a quarterly basis. All designated withholding funds and those pledged by the targeted city are required to be used for a project related to the employer pursuant to the terms of the withholding agreement.

  • A targeted jobs city must obtain approval of the project from the Iowa Economic Development Authority prior to the execution of any withholding agreement
  • The withholding agreement may have a term of up to 10 years