Florida consistently ranks among the best states for businesses and entrepreneurs because of its pro-business tax policies and competitive cost of doing business. Your company can also benefit from inducements to mitigate risks and provide speed-to-market value through a variety of programs offered in Northwest Florida.
State Incentives | Training Incentives | Special Incentives | Rural Incentives | Local Incentives
Florida offers a host of tax advantages to businesses.
A $1.5 billion competitive economic development fund.
|High Impact Performance Incentive||Cash Grant||50 new FT jobs, $50 million capital investment in 3 years|
|Capital Investment Tax Credit (CITC)||Annual credit against state corporate income tax for 20 years equal of 5% of eligible capital costs||$25 million minimum capital investment|
|Research and Development Tax Credit||10% of excess qualified research expenses over company’s base||Qualified expenses allowable under U.S. Code Title 26 §41. Base amount equal to qualified expenses for 4 prior taxable years|
|Manufacturing Machinery and Equipment Sales Tax Exemption||Up to 100% on Sales and Use Taxes||Purchase of manufacturing equipment|
|Electricity Sales Tax Exemption||50-100% Sales and use tax exemption on electricity||Amount of exemption dependent on consumption|
|Boiler Fuels Sales Tax Exemption||Sales tax exemption on combustible fuel in the manufacturing process||Fuel source is a clean natural resource|
|Repair and Labor Charges Tax Exemption||Sales tax exemption||Qualified expenses are on repair and labor charges and parts and materials for repairs to industrial machinery|
|Quick Response Training (QRT)||Assistance developing a training program that is customized, flexible, and responsive to individual company needs|
|Incumbent Worker Training (IWT)||Established companies in Florida can receive assistance for skills upgrade training for existing employees.|
|Veterans Florida Workforce Training Grant||Grant funding for customized, skills-based curriculum development and training for the military veteran population|
Companies with aviation, aerospace or space applications may be eligible to pursue tools as part of Space Florida’s unique financial structure.
|Conduit Financing||A way to get quick funding to pay for property or infrastructure that is repaid as a long-term loan or lease. This allows a company to access cash quickly and defer payment while using existing capital more strategically.|
|Synthetic Lease||An operating lease structured in such a way that it’s not recorded as an asset or liability on a balance sheet. Instead, it’s an expense. The biggest benefit to a synthetic lease is it enables businesses to defer large expenditures or spread them out over multiple years.|
|Real Estate||The ability to secure property and rights to infrastructure from federal, state and local governments for commercial use on behalf of the business. Space Florida can conduct business-to-business deals for property on commercial terms, freeing businesses from the usual insurance, safety and labor constraints associated with the use of government facilities, in addition to offsetting real and personal property taxes.|
As a result of a settlement from the 2010 BP/Deepwater Horizon oil spill, $1.5 billion has been directed to eight coastal counties in Northwest Florida to aid in economic diversification.
Special incentives are provided to companies that locate/expand in a Rural Area of Opportunity (RAO).
|Rural Jobs Tax Credit||A tax credit of $1,000 for every new job, good for a two-year period, plus a 5-year carry-forward period. Applies to the Florida Corporate Income Tax or Sales and Use Tax owed by the company to the State.|
|Rural Infrastructure Fund||Facilitates the planning, preparing, and financing of traditional economic development or nature-based tourism infrastructure projects that encourage job creation and capital investment in rural communities.|
Local cities and counties can provide additional incentives to help offset business costs to ensure your company is successful in their community. A few examples of what communities can offer include:
|Economic Development Ad Valorem Tax Exemption (EDATE)||Full or partial exemption of real estate and personal property (equipment) taxes for up to ten years by the county and/or city.|
|Flexible Workforce Training Grants||Regional Workforce Boards offer programs such as On-the-Job Training, which can pay up to half an employee’s wages for up to six months while they learn their job. Other free services include recruiting, job postings, pre-employment screening or testing, and training. Additionally, state colleges can provide customized programs tailored to meet your needs.|
|Property Discounts||Communities may consider offering discounted land for sale or lease and reduced leases on existing buildings. In some cases, free land is offered. Price reductions are dependent upon new job creation, average wages, capital investment or other factors.|
|Office Space||Temporary office space can be provided during the duration of the construction of the facility.|
|Expedited Permitting||Many local communities offer streamlined permitting for economic development projects. In some cases building permits can be issued upon 30-60 days after submission of a complete set of plans.|
Florida’s Great Northwest is here to provide you the practical, on-the-ground resources and support you need for your business location/expansion project. From incentives to site selection to workforce development, we’ve got the expertise and connections to help your business be even more competitive with a Northwest Florida location.
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