June 9, 2020
The EEZ is a discretionary program that offers state tax credits, accompanied by local real property tax abatement, to Enhanced Business Enterprises. Tax credits may be provided each year for up to five tax years after the project commences operations. To receive tax credits for any of the years, the facility must have created and maintained the minimum:
- New or expanded business facility – 2 new employees and $100,000 new investment;
- Replacement business facility – 2 new employees and $100,000 new investment
- Companies must offer health insurance at all times, of which at least 50 percent is paid by the employer, to all full-time employees in Missouri.
Eligible investment expenditures include the original cost of machinery, equipment, furniture, fixtures, land and building, and/or eight times the annual rental rate paid for the same. Inventory is not eligible.
This tax credit can be applied to:
- Ch. 143 – Income tax, excluding withholding tax
Reporting Requirements
The facility must file the Annual Application for Tax Credits and supporting documents each year for calculation of the facility’s state tax benefits. See page 10 of the application for a list of requirements. The deadline for submitting the Annual Application for Tax Credits is during the tax period immediately after the tax period for which the credits are being requested.
Tax credits can only be applied to tax liability for the year in which they were earned. The tax credits are refundable; or may be transferred, sold or assigned. The sale price cannot be less than 75 percent of the par value of such tax credits.
More information is available at enhanced-enterprise-zone
To apply fill out the Annual Application for Tax Credits and return to:
Travis L. Mathes, EEZ Administrator
111 E. Court Street, Suite 110
Kahoka, MO 63445
Phone: 660-341-2398
Email: tmathes@lewiscountyrec.coop
