Tax Credits Available to Businesses That Expand & Create Jobs
The Governor's Office of Business and Economic Development (GO-Biz) is now accepting another round of applications for its California Competes Tax Credit Program, which makes available $75 million in tax credits to businesses that want to expand and create jobs in the state.
California Competes is available to businesses of any size, but twenty-five percent of the credits are reserved for small businesses with gross receipts less than $2 million. In addition to the tax credits for job creation, the new program offers sales tax relief on the purchase of qualified research and development equipment and manufacturing equipment.
The California Competes program was created through AB 93 and its companion bill SB 90, both adopted in 2013. Since the inception of the program, GO-Biz has awarded two companies from the 49th Assembly District over $1.5 million in total tax credits for their commitment to invest $61.5 million in California while creating 370 new jobs. While the next round of funds available is $75 million in tax credits, GO-Biz is authorized to award a total over $230 million for fiscal year 2017-18.
The California Competes application period is now open and will accept applications until Monday, August 21, 2017.