EFFINGHAM ENTERPRISE ZONE
The Effingham Enterprise Zone was established in April, 1988, and has a life span of 30 years. Projects located within the zone boundaries are eligible for all zone benefits. There has been 343 projects to date with $446 million of investment in the enterprise zone. 2,854 jobs have been created and 1,971 jobs have been retained. Effingham's Enterprise Zone offers the following incentives.
- Property Tax Abatement - 100% abatement on the increase to the base amount. (3 years for commercial projects and ten years for industrial projects). This abatement period shall not extend beyond the "life" of the Enterprise Zone which expires in 2018.
- Sales Tax Exemption on Building Materials - Full exemption (6.5%) on building materials incorporated into real property.
- Building Permit Fees Waived - All building, electrical, and plumbing fees are waived for Enterprise Zone projects.
- Investment Tax Credit - .5% credit is available for qualified property.
- Jobs Tax Credit - $500 tax credit for each job created for which certified "economically disadvantaged" or "dislocated worker" is hired. A minimum of five workers must be hired to be eligible for credit.
- Interest Deduction - Financial institutions are not taxed on the interest received on loans for Enterprise Zone projects.
- Dividend Income Deduction - Individuals, corporations, trusts, and estates are not taxed on dividend income from companies doing substantially all their business within the Enterprise Zone.
- Machinery and Equipment Sales Tax Exemption, Pollution Control Equipment Sales Tax Exemption, and Utility Tax Exemption - These are state incentives structured for large projects of $5 million and 200 jobs created or $40 million and 2,000 jobs retained.
For more information on the Effingham Enterprise Zone, contact Todd Hull, Economic Development Director at (217) 342-5304.
Enterprise Zone Map
