taxes

Taxes & Incentives

Tax Abatement
A tool that provides tax savings on both real and personal property by providing the “phasing in” of these taxes over a period of up to 10 years.

Tax Increment Financing (TIF)
A method of facilitating development or redevelopment for a business by utilizing future tax revenues to pay for necessary improvements. This technique is often used for financing a capital project or infrastructure from the stream of revenue that will ultimately be generated by the project, to promote business development and job creation.

Lake County Incentives

Revolving Loan Fund
The primary function is to provide short term construction or (5-year Machinery & Equipment) financing to establish or expand eligible industrial or commercial businesses. The maximum loan amount is $2,000,000 and the minimum is $100,000. More information: http://www.lakecountyin.com/ Funds from the Lake County Revolving Loan Fund must be used for:

  • Acquisition of building(s)
  • Acquisition of machinery/equipment
  • Acquisition of land only if a structure will be erected
  • Leasehold improvements
  • New building construction
  • Energy Conservation
  • Pollution control
  • On-site infrastructure

State Grants & Incentives (Indiana)

21st Century Research and Technology Fund
The fund stimulates the process of diversifying the state’s economy by developing and commercializing advanced technologies in Indiana, and it emphasizes the creation of academic-sector/commercial-sector partnerships. More information: www.21fund.org

Certified Technology Park Program
The Certified Technology Parks program was created as a tool to support the attraction and growth of high-technology business in Indiana and promote technology transfer opportunities. Designation as a Certified Tech Park allows for the local recapture of certain state and local tax revenue which can be invested in the development of the park. More information: http://iedc.in.gov/entrepreneurship/indiana-certified-technology-parks

Clean Energy
Tax credit program to support Indiana’s advanced agricultural industry and provide an incentive for development of renewable energy. More information: www.in.gov/idem/4134.htm

Economic Development for a Growing Economy (EDGE)
Economic Development for a Growing Economy (EDGE) is a refundable tax credit that can be offered in situations where Indiana is competing against another state or country for a company’s site location investment. EDGE credits are calculated as a percentage of payroll tax withholding for net new Indiana jobs. The company must commit to maintaining operations in Indiana for at least two years beyond the term of its EDGE award. More information: http://iedc.in.gov/tax-credits-exemptions/tax-credits/economic-development-for-a-growing-economy-tax-credit

Hoosier Business Investment Tax Credit (HBITC)
The Hoosier Business Hoosier Business Investment Tax Credit (HBITC) program encourages capital investment in Indiana by providing a credit against a company’s Indiana tax liability. The credit amount is based on a company’s qualified capital investment with the final credit amount determined by the Indiana Economic Development Corporation (IEDC), based on an analysis of the economic benefits of the proposed investment. More information: http://iedc.in.gov/tax-credits-exemptions/tax-credits/hoosier-business-investment-tax-credit

Industrial Development Grant Fund
The Industrial Development Grant provides money to local governments for off-site infrastructure projects associated with an expansion of an existing Indiana company or the location of a new facility in Indiana. State funding through the IDGF program must be matched by a combination of local government and company financial support. More information: http://iedc.in.gov/programs-initiatives/industrial-development-grant-fund

Industrial Recovery Tax Credit (Dinosaur Building)
The Industrial Recovery Tax Credit provides an incentive for companies to invest in facilities requiring significant rehabilitation or remodeling expense. After a building has been designated as an industrial recovery site, companies may be eligible for a tax credit calculated as a percentage of qualified rehabilitation expense. More information: http://iedc.in.gov/tax-credits-exemptions/tax-credits/industrial-recovery-tax-credit

Training – Skills Enhancement Fund
The Skills Enhancement Fund (SEF) provides financial assistance to businesses committed to training their workforce. Trainees must be Indiana residents. SEF reimburses eligible training expenses over a two-year term. Companies may reapply for additional SEF funds after their initial two-year term. IEDC typically does not provide reimbursement for training that is required by law. More information: http://iedc.in.gov/programs-initiatives/skills-enhancement-fund

Technology Enhancement Certification for Hoosiers Fund (Tech Fund)
The Indiana Department of Commerce, in partnership with the Indiana Department of Workforce Development, created the Technology Enhancement Certifications for Hoosiers (TECH) Fund to help Indiana businesses train their existing information technology professionals. The training must result in a fun-time employee receiving a portable certification in systems administration, systems engineering or software development; a professional certification; or other certification is advanced e-business enabling applications. More information: www.indiana.org.tw/downdata/TECH.pdf

Venture Capital Tax Credit
The Venture Capital Investment Tax Credit improves access to capital to fast growing Indiana companies by providing individual and corporate investors an additional incentive to invest in early stage firms. Investors who provide qualified debt or equity capital to Indiana companies receive a credit against their Indiana income tax liability. More information: http://iedc.in.gov/entrepreneurship/venture-capital-investment-tax-credit; additional information can be found at: http://iedc.in.gov/