State and Local Incentives

Economic Development for a Growing Economy (EDGE) Tax Credit

• Incentive to businesses to support jobs creation, capital investment, and improve the standard of living for Indiana residents
• Refundable corporate income tax credit calculated as percentage of expected increased tax withholdings generated from new jobs creation
• Phased in annually for up to 10 years, based on employment ramp-up

Hoosier Business Investment Tax Credit (HBITC)

• Non-refundable corporate income tax credits calculated as a percentage of the eligible capital investment to support the project
• Certified annually, based on phase-in of eligible capital investment, over period of two full years from commencement of project

Skills Enhancement Fund (SEF)

• To support training and upgrading skills of employees required to support new capital investment
• Reimburse a portion (typically ~50%) of eligible training costs over period of two full years from commencement of project

Headquarters Relocation Tax Credit

• For corporations that relocate their headquarters to Indiana
• Assessed against the corporation’s state tax liability

Research & Development Tax Credit

Two tax incentives

• Credit against their Indiana state income tax liability – calculated as percentage of qualified research expenses
• Refunded sales tax paid on purchases of qualified research and development equipment
• Overseen by Indiana Department of Revenue

Patent Income Exemption

• Certain income derived from qualified patents and earned by a taxpayer exempt from taxation
• Includes only utility patents and plant patents
• May not exceed $5 million