Zone Tax Credit program is available to businesses located within a
designated Enterprise Zone Area.
The purpose of the tax credit is to encourage investment in rural Utah
businesses and to create jobs.
Prior to starting this
application, please confirm that your business is eligible to apply for the tax
credit with your county or tribal economic development office to confirm your
business is located in a designated Enterprise Zone Area.
This application covers
the Capital Investment Tax Credit only. For the Employee Tax Credit Application
please submit an application here. Businesses in the
designated Enterprise Zone Area are eligible to submit both applications. If an
award is made for each application they will be combined into one tax credit.
The Enterprise Zone application for tax year 2018 will be available in early 2019.
ENTERPRISE ZONE TAX
The following tax credits may
be claimed by eligible businesses located or expanding within an Enterprise Zone Area.
Investment Tax Credit
1. A tax credit of 25% of the first $200,000 spent
on rehabilitating a building in the enterprise zone that has been vacant for
two years or more; and/or
2. An annual investment tax credit of 10% of the
first $250,000 in investment, and 5% of the next $1,000,000 qualifying
investment in plant, equipment, or other depreciable property.
Before filing an Investment & Building Rehabilitation Tax Credit application you will need the following documents:
• Enterprise Zone Building Rehabilitation Template
• Enterprise Zone Investment Credit Template
• City Occupancy Permit
• Notarized Vacancy Letter
• Backup documentation demonstrating investment
Signed letter of certification
We require one piece of primary documentation (proof of purchase i.e. invoice, bill of sale, contract of sale, receipt, property tax notice) and for purchases over $10,000 we require a piece of secondary documentation (proof of payment i.e. bank statement, check, financing agreement). Please attach all documentation that substantiates qualifying investments.
For Investment in a Building Rehabilitation:
• Documentation includes documents showing current owner
such as deed or mortgage documents
• Notarized vacancy letter
• Current occupancy permit or certificate
• Backup documentation for all rehabilitation
expenses totaling the amount the tax credit is calculated
For more information
refer to Enterprise Zone statute and Enterprise Zone rules.
Tax Credit Process:
1. Fill out the
A. Carefully reading each question and provide accurate answers.
B. Your application must be accompanied by documentation that supports your submission.
C. Each Enterprise Zone applicant is required to sign a letter of certification which has been approved by the state (as described in 63N-2-243). Please print attachment, complete form, sign, and submit with requested documentation.
2. Eligibility will be
confirmed and reviewed.
3. You will receive a
tax credit certificate for qualifying expenditures. The Enterprise Zone Tax
Credit is filed with your Utah State Income Tax.
4. If the amount of a
tax credit under this section exceeds a business entity's tax liability under
this chapter for a taxable year, the business entity may carry forward the
amount of the tax credit exceeding the liability for a period that does not
exceed three taxable years.
Please contact Jim
Grover, firstname.lastname@example.org, with any questions or
concerns regarding the Enterprise Zone program. Please contact Jaron
Janson, email@example.com, for technical assistance
with this portal.