Enterprise Zone

EZ & Economic Development


Serving properties in Carroll & Whiteside Counties
Visit them at: www.whiteside.org/departments/economic-development.html

ENTERPRISE ZONE #8 TAX INCENTIVES Information Sheet

Thomson Enterprise Zone Map

 

If your business or Industry is located in designed areas of Whiteside or Carroll County, you may be eligible for Whiteside Carroll County Enterprize Zone Tax Incentives described below.

If you are unsure if your business is in the Enterprise Zone or uncertain that you qualify for the Tax Incentives, please contact the Enterprise Zone Administrator for more information.


 

Local Incentives

Sales Tax Deduction on Building Materials used for incorporation into projects in the Enterprise Zone are exempt from sales tax with a certificate issues from the Illinois Department of Revenue (IDOR).

Certificates may only be applied for through the Enterprise Zone Administrator of the zone where the building materials will be incorporated. A project application must be approved by the zone administrator and a separate sales tax exemption form completed by each contractor and/or owner prior to the submission of sales tax exemption request to the IDOR. Forms are available from the Enterprise Zone Office.

There is a 0.5% fee on the total of building materials cost for renovation and new construction not to exceed $50,000.

Samples of Sales Tax Savings:

$50,000     Materials
X 6.25%     Sales Tax
= $3,125     Estimated Savings

$500,000     Materials
X 6.25%      Sales Tax
= $31,250     Estimated Savings

Sales tax in some communities may be higher than 6.25%

Please note that you must have a certified and approved project application by the Enterprise Zone Administrator.


 

Investment Tax Credit

In Illinois the Income Tax Act allows a .5 percent credit against the state income tax for investments in qualified property, which is placed in service in an enterprise zone. This credit is in addition to any other investment tax credit allowed under Illinois statute (consult your tax consultant).

Utility Tax Exemption, Machinery, and Equipment Deduction

Businesses which make an investment in an Enterprise Zone may be eligible for tax exemption on utilities. DCEO must certify that the business makes an investment of at least $5 million in an Enterprise Zone and has created a minimum of 200 full-time equivalent jobs in Illinois or makes an investment of at least $175 million in an enterprise zone and has created a minimum of 150 full-time equivalent jobs in Illinois or makes an investment of at least $20 million in an Enterprise zone and has retained a minimum of 1,000 full-time jobs in Illinois for the production of goods.

New Reporting Requirements

Public Act 98-0109 made changes to the business incentives reporting requirements originally outlined in Public Act 97-905.
Informational Bulletin FY 2014-11

  • Holders of sales tax exemption certificates from IDOR issued for the period beginning July 1, 2013, must file a report.
  • Enterprise Zone and River Edge Redevelopment.
  • Deadline to file reports is May 31st of each year at http://www.revenue.state.il.us/Businesses/Incentives/