If you operate a business in the city of Indio, CA, you most likely have access to a wide variety of tax credits to California’s State Enterprise Zone legislation.  See below for a full list of tax credits, and contact us directly for assistance on how to take advantage of this program.

EMPLOYER HIRING CREDIT
Business may reduce State of California Income Tax for a portion of the wages paid to qualified employees. The savings cover a five year period and can add up to $27,000 per employee. If the employee lives in the Targeted Employment Area (TEA) qualification is automatic and requires only a single form.

NOT OPERATING LOSS CARRYOVER
Losses incurred by Enterprise Zone Business may be carried over to years in which taxable income is earned.

SALES AND USE TAX CREDIT
A sales tax credit for new machinery and parts purchased by a Zone business is available.

NET INTEREST DEDUCTION FOR LENDERS
Net interest earned on loans to businesses located in the Enterprise Zone is eligible for the credits on the California Tax Return.

BUSINESS EXPENSE DEDUCTION
Certain property purchased for use in the Enterprise Zone may be deducted as a business expense in the first year it is placed in service.

BIDDER’S PREFERENCE
Enterprise Zone Business can receive a Bidder’s Preference of 5% when bidding on State of California contracts.

MANUFACTURER’S INVESTMENT CREDIT
To encourage investment in manufacturing equipment, the State of California offers a tax credit to taxpayers operating in the following SIC codes: 2000-3999.

CHILD CARE AND RIDESHARE TAX CREDITS
The State of California allows tax credits for employers who participate in child care rideshare programs.

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This entry was posted on Wednesday, April 28th, 2010 at 4:55 am and is filed under Featured Zone. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.