The Madison County IDA provides benefits to qualified companies in four primary ways:
· Taxable and tax-exempt Industrial Revenue Bonds
· PILOT (Payment in Lieu Of Taxes)
· Sales tax exemptions for equipment and material used in the construction of new or expanded plant / facilities
· Mortgage recording tax exemption (3/4 of 1% in Madison County)
Economic Development Incentives available to companies located in, or relocating to Madison County:
New York offers a variety of incentives to companies expanding or relocating in the Empire State. These include:
- Investment Tax Credit (ITC). Businesses that create new jobs and make new investments in production property and equipment may qualify for tax credits of up to 10% of their eligible investment. New businesses may elect to receive a refund of certain credits, and all unused credits can be carried forward for 15 years.
- Research and Development Tax Credit. Investments in research and development facilities are eligible for a 9% corporate tax credit. Additional credits are available to encourage the creation and expansion of emerging technology businesses, including a three-year job creation credit of $1,000 per employee and a capital credit for investments in emerging technologies.
- Sales Tax Exemptions. New York State offers exemptions for purchases of production machinery and equipment, research and development property, and fuels/utilities used in manufacturing and R&D
- Real Property Tax Abatement. To encourage development, expansion, and improvement of commercial property, a 10-year property tax abatement is available to offset increased assessments due to improvements to business and commercial property.
- No Personal Property Tax. Unlike many other states, which tax both real property and personal property, property taxes in New York State are imposed on real property only. Personal property, whether tangible or intangible, is exempt from state and local taxes.
(source: http://www.empire.state.ny.us/Tax_and_Financial_Incentives/Taxes_and_Incentives/default.asp)
The Excelsior Jobs Program will provide job creation and investment incentives to firms in such targeted industries as biotechnology, pharmaceutical, high-tech, clean-technology, green technology, financial services, agriculture and manufacturing. Firms in these strategic industries that create and maintain new jobs or make significant financial investment will be eligible for up to four new tax credits. The Program will encourage businesses to expand in and relocate to New York while maintaining strict accountability standards to guarantee that businesses deliver on job and investment commitments. Program costs are capped at $250 million annually to maintain fiscal affordability and ensure that New Yorkers realize a positive return on their investment. Tax Credits
Firms in the Excelsior Jobs Program may qualify for up to four new, fully refundable tax credits. Businesses claim the credits over a five-year period. To earn any of the following credits, firms must first meet and maintain the established job and investment thresholds outlined in Program Eligibility below:
The Excelsior Jobs Tax Credit: A credit of between $2,500 and $5,000 per new job to cover a portion of the associated payroll cost.
The Excelsior Investment Tax Credit: Valued at two percent of qualified investments.
The Excelsior Research and Development Tax Credit: A ten percent credit for new expenditures based on the Federal Research and Development credit.
The Excelsior Real Property Tax Credit: Available to firms locating in certain distressed areas and to firms in targeted industries that meet higher employment and investment thresholds.
County Loan Incentives
Madison County offers lending programs designed to promote job growth for companies located within the county or contemplating relocation into the county. These lending programs are primarily targeted towards manufacturing firms, however consideration for loans to non-manufacturing firms will be reviewed on a case by case basis.
- The Revolving Loan Fund provides fixed rate loans up to $100,000 based on a company's job creation projections. The loan fund provides capital for real estate, machinery, or equipment acquisition.
- The Micro Enterprise Loan Fund provides fixed rate loans up to $25,000 for small business to help increase job creation or to provide assistance to a new start up business. This loan fund also provides capital for real estate, machinery, equipment and other working capital needs that result in job creation.
The City of Oneida offers a loan program for companies located inside the city boundaries. This program provides fixed rate loans up to $35,000. Proceeds can be used for most business related capital investment projects. Eligibility is based on a case by case review of the project.
Additionally, The Linked Deposit Program Provides:
- The ability for eligible businesses to obtain loans from commercial banks, savings banks, savings and loan associations, farm credit institutions and the New York Business Development Corporation.
- A two to three percentage points savings on the prevailing interest rate for "Linked Loans," to make borrowing less expensive.
- A maximum loan amount of $500,000 for four years.
(source: http://www.empire.state.ny.us/Small_and_Growing_Businesses/loan_discounts.asp)
