Georgia Credits and Incentives

As we’ve mentioned before, our Georgia clients frequently ask us to investigate potential credits and incentives in other states where they have operations, potential acquisitions or strong relationships with customers or vendors. In addition, private equity groups ask us about potential $$ for their portfolio companies.  But of course they still want us to keep them up to date on Georgia credits and incentives!
Recently our Georgia state economic development professionals gave us some details (Georgia.org Competitive Advantages site click here).
For starters — Georgia has moderate corporate and personal income tax rates.  CNBC ranked Georgia #2 in their 2017 America’s Top States for Business survey.  Several other publications rank Georgia at or near the top for business.  Pretty good.
Credits and Incentives include:

 

Job Tax Credit — Qualifying industries can earn as much as $4,000 per year for each new job created for up to five years. Job credit $$ amount depends on how many jobs are created and location.

 

Retraining Tax Credit — For retraining employees to use new equipment and technologies or learn new skills. Credit equals 50 percent of direct training expenses, up to $500 credit per full-time employee per training program, up to $1,250 per trained employee per year.
Investment Tax Credit — Companies in manufacturing or telecommunications support that have operated in Georgia for at least three years are eligible to earn investment tax credits of 1 percent to 8 percent of qualified capital investments of $50,000 or more.

Research And Development Tax Credit — Qualified research spending in Georgia may qualify for an R&D tax credit equal to a percentage of that spending increase.

Georgia offers other tax credits for Quality Jobs, Port Usage Bonus, Film, Television, and Digital Entertainment, and Musical production.
Georgia also offers Inventory Tax Exemptions as well as Sales and Use Tax Exemptions for machinery, equipment, repairs, raw materials, packaging, computer hardware and software, energy used in manufacturing, and several others.
Compared to other states, Georgia has:
  • Mid-range corporate (6%) and personal (6%) income tax rates
  • A wider range of incentives applying to a far wider range of firms
  • Pre-approval NOT required for most Georgia incentives
To summarize, Georgia is a great place to start and grow a business, whether it’s a start-up, a small to medium sized enterprise, or a Fortune 500 global leader.
So come get some of those Georgia incentives, y’all! 

DaleSig