PASADENA ENTERPRISE ZONE
State Enterprise Zone Tax Credits
Hiring Credit Program
This five year state tax credit, potentially up to $37,000 per qualified employee, for full-time or part-time employees that meet one of the twelve qualifying criteria under the Hiring Credit Program. Potential criteria includes but not limited to: previously laid off due to plant closure or downsizing, military veteran, public assistance recipient, and resident of a targeted employment area. Enterprise Zone business must obtain a Hiring Credit Voucher from the Pasadena Enterprise Zone Office.
Sales and Use Tax Credit
Allows Enterprise Zone businesses to claim a state tax credit equal to the sales and use tax paid on the purchase of qualified equipment. Qualified equipment includes assets such as manufacturing, data processing, office, audio/video, and computer equipment.
Business Expense Deduction
Enterprise Zone businesses may deduct up to 40% of the cost of qualified property purchased for exclusive use in an Enterprise Zone during the first year itís placed in service.
Net Operating Loss
Enterprise Zone businesses may elect to carry forward 100% of their net operating loss for 15 years.
Net Interest Deduction for Lenders
Lenders can earn a deduction from income on the amount of
net interest earned on loans made to Enterprise Zone businesses.
Businesses looking for an edge in applying for a loan should bring this
credit up with your lender.
For additional information, click on Franchise Tax Board 1158 Publication or download the Pasadena Enterprise Zone Information Packet.
Information & Documents...
DISCLAIMER: Facts and circumstances vary from business to business. Please consult your tax professional about your particular situation.
Last Modified on 07/28/2011