enterprise zone 40

In . The . Zone

Where your business needs to be!

WHO QUALIFIES?

  • Firms establishing a new business within the enterprise zone
  • Existing businesses relocating to facilities within the zone
  • Existing businesses already within the zone intending to expand

WHAT ARE THE INCENTIVES?

Whether your business is large or small, expanding, looking for the right location or just an idea, locating in an Enterprise Zone can make you eligible for valuable incentives. Incentives that can help increase your bottom line. The Stanislaus Enterprise Zone is a joint commitment by Stanislaus County, Ceres, Hughson, Modesto, Oakdale, Patterson, Riverbank, and Turlock to encourage economic and community development, and maintain a business-friendly climate.

Hiring Tax Credits

Zone businesses can earn up to $35,100 in State tax credits over a five year period for each vouchered employee hired. There is specific eligibility criteria for determining whether an employee qualifies for this credit.

Sales and Use Tax Credit

Zone companies may receive a sales or use tax credit for purchase of manufacturing or processing machinery, data processing and equipment central to production and postproduction that is used in the zone. Individuals, partnerships, subchapter S corporations, and limited liability companies can claim a credit on the first $1,000,000 of qualifying purchases per year, while corporations can claim credit on the first $20,000,000 of purchases per year.

Business Expense Deduction

Up front expensing of certain depreciable property can be claimed by enterprise zone business.

Preference Points

Enterprise zone companies can earn preference points on state contracts.

Operating Loss Carryover

Up to 100% of the NOL may be carried forward for up to 15 years by zone businesses,

Net Interest Deduction

Lenders to zone businesses may receive a net interest deduction.

Unused Tax Credits

Unused tax credits can be applied to reduce future tax liability.

Enterprise Zone Map (.pdf, 132Kb)

Frequently Asked Questions

California Housing & Community Development

For more information or an assessment of potential benefits regarding the Stanislaus Enterprise Zone, contact the Alliance at (209)567-4985 or fill out the contact form.