The City of Perry is pleased to announce it is implementing a new state program that could help you reduce your business’ state income tax liability if you meet eligibility requirements.
The Georgia Department of Community Affairs, or DCA, has awarded downtown Perry a five-year designation as a Rural Zone, which features a job tax credit, investment credit and rehabilitation credit. The zone’s boundaries roughly correspond with those of the downtown development district.
Rural Zone incentives can be layered with the Perry Downtown Development Authority’s locally-funded revolving loan fund, revolving loan funds offered through DCA and the Georgia Cities Foundation, and several other state and federal programs.
Participation in the Rural Zone could make you ineligible to participate in some other programs, such as the state historic tax credit program. We can assist you in coordinating with the relevant state agencies to confirm your eligibility for the various programs in which you might be interested.
- A job tax credit of $2,000 per year per full-time equivalent (FTE) job created within the zone for five years. At least two net, new full-time equivalent jobs must be created and maintained to qualify for the job credits or any additional Rural Zone credits.
- A credit up to $125,000 for investing in the zone. This credit is capped at 25 percent of the total investment cost, not to exceed $25,000 in credits claimed annually over five years.
- A credit up to $150,000 for rehabilitating structures in the zone. This credit is capped at 30 percent of the total investment cost, not to exceed $50,000 in credits claimed annually over three years.
The tax credits are applied against any income tax liability on the Georgia Corporate Income Tax Return.
Click here for a summary of the Rural Zone program. Click here for the Rural Zone Building Rehabilitation Standards.
For more information or to confirm whether a property is in the designated Rural Zone, contact Robert Smith.