Tax Credit Programs
Keystone Opportunity Zones (KOZ)
Defined-parcel-specific areas with greatly reduced or no tax burden for property owners, residents, and businesses. KOZ’s have been designated by local communities and approved by the state. The Cumberland Valley Business Park in Chambersburg has several KOZ designated areas available for industrial development.
Local Economic Revitalization Tax Assistance Act (LERTA) NEW FOR 2013
Defined-parcel-specific areas with greatly reduced real estate tax burden for businesses undertaking facility improvements or new construction within the specified zone. LERTA zones have been designated by certain local municipalities and school districts each with their own abatement scales and time periods. The FCADC staff can provide information on specific zones…give us a call or drop us an e-mail for additional information.
Foreign Trade Zones (FTZ)
Foreign Trade Zones (FTZs) were created by the federal government in 1934 and are neutral, secured areas legally outside of U.S. Customs’ territory. Products in an FTZ are protected from taxation and duty charges. In an FTZ, your products and materials can be stored, manufactured, repackaged, or exhibited in a U.S. Customs Bonded Warehouse to qualify for a lower duty or upon re-export, to eliminate duty entirely. There are several locations in Franklin County with FTZ designations including small portions on the south end of Chambersburg, the portions of the Cumberland Valley Business Park, and United Business Park in Shippensburg.
Job Creation Tax Credit (JCTC)
Provides a $1,000 tax credit to approved businesses that agree to create new jobs in the Commonwealth. A business must agree to create a minimum of 25 new jobs or new jobs equaling at least 20% of its existing workforce within three years.
For a complete listing of potential economic development incentive programs, please visit www.newpa.com.
Note: Certain programs are subject to funding availability, approval, and job creation requirements. All programs require an application process to be completed in order to access funds.