G/SCM/N/372/USA  
 
14 July 2021  
(21-5585) Page: 1/218 
Committee on Subsidies and Countervailing Measures  Original: English  
 
SUBSIDIES  
NEW AND FULL NOTIFICATION PURSUANT TO ARTICLE XVI:1 OF THE  
GATT 1994 AND ARTICLE 25 OF THE AGREEMENT ON  
SUBSIDIES AND COUNTERVAILING MEASURES  
UNITED STATES 
The following communication , dated  and received on 30 June 2021 , is being circulated at the request 
of the delegation of the United States.  
 
_______________  
 
 
Enclosed please find the new and full notification from the United States, pursuant to Article  XVI:1 
of the GATT 1994 and Article 25 of the Agreement on Subsidi es and Countervailing Measures for the 
2019 and 20 20 fiscal years (1  October  2018 through 30  September  2020). Information on programs 
granted or maintained at sub -federal levels in the United States is included in Attachment  1. 
As noted in previous notific ations from the United States, insofar as the notification obligation is a 
transparency -oriented provision that, pursuant to Article 25.7 of the Subsidies Agreement, carries 
no legal weight as to the actual identification or measurement of a subsidy, its s tatus as an actionable 
subsidy, or its trade effects, the United States has included certain activities in this notification which 
arguably are not (or are not always) "specific subsidies" within the meaning of the Agreement . 
  G/SCM/N/372/USA  
 
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Table of Contents  
 AGRICULTURE  ................................ ................................ ................................ ............  4 
 Agriculture Income Support and Marketing Assistance for Covered Commodities  ................  4 
 Other Agricultural Programmes  ................................ ................................ ..................  10 
1.2.1    Expensing of Multi -Period Livestock and Crop Production Costs  ................................ .... 10 
1.2.2    Treatment of Loans Forgiven Solvent Farmers as if Insolvent  ................................ ...... 11 
1.2.3    Capital Gains Trea tment of Certain Agricultural Income  ................................ ..............  11 
2 ENERGY AND FUELS (ENERGY DEVELOPMENT, STORAGE AND  
TRANSPORTATION, AND OTHER RELATED SECTORS)  ................................ ....................  12 
 Advanced Research Projects A gency – Energy: Projects ................................ .................  12 
 Cybersecurity for Energy Delivery Systems  ................................ ................................ .. 13 
 Resilient Distribution Systems  ................................ ................................ ....................  14 
2.3.1    Transmission Reliability and Resilience  ................................ ................................ ..... 15 
2.3.2    Transformer Resilience and Advanced Components  ................................ ....................  16 
 Small Modular Reactor (SMR) Licensing Technical Support  ................................ .............  17 
 Fuel Cycle Research & Development - Nuclear Energy  ................................ ...................  18 
 Nuclear Energy Enabling Technologies – Nuclear Energy  ................................ ................  18 
 Reactor Concepts Research, Development and Demonstration – Nuclear Energy  ..............  19 
 Renewable Energy Resources  ................................ ................................ .....................  20 
 Energy Conservation Programs – Transportatio n Sector  ................................ ................  22 
 Energy Conservation Programs - Building Technologies  ................................ ...............  23 
 Energy Conservation – Advanced Manufacturing  ................................ .........................  24 
 Fossil Energy Research and Development  ................................ ................................ .. 25 
 Title 17 Innovative Technology Loan Guarantee Program  ................................ .............  26 
 Advanced Technology Vehicles Manufacturing Loan Program (ATVM)  .............................  27 
 Tribal Energy Loan Guarantee Program (TELGP)  ................................ .........................  28 
 OTHER ENERGY AND FUELS  ................................ ................................ ......................  29 
 Expensing of Exploration and Development (E&D) Costs for Oil,  
Gas and other Fuels  ................................ ................................ ................................ .........  29 
 Excess of Percentage over Cost Depletion for Oil, Gas and Other Fuels  ............................  30 
 Capital Gains Treatment of Royalties on Coal  ................................ ...............................  31 
 Second Generation Biofuel Credit  ................................ ................................ ...............  31 
 Biodiesel and Renewable Diesel Credit ................................ ................................ .........  32 
 Alternative Fuel Mixture Credit  ................................ ................................ ...................  33 
 Credits for Investment in Advanced Coal Facilities and Advanced  
Gasification Facilities  ................................ ................................ ................................ ........  34 
 Advanced Energy Property Credit  ................................ ................................ ...............  35 
 Two-year Amortization of Geological and Geophysical Expenditures  ................................  36 
 Energy Production Credit  ................................ ................................ .........................  36 
 Energy Investment Credit  ................................ ................................ ........................  37 
 Energy Grant in Lieu of the Energy Production Credit or the Energy  
Investment Credit  ................................ ................................ ................................ ............  38 G/SCM/N/372/USA  
 
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 Credit for Holding New Clean Renewable Energy Bonds  ................................ ...............  39 
 Credit for Holding Qualified Energy Conservation Bonds  ................................ ...............  39 
 Carbon Oxide Sequestration Credit  ................................ ................................ ...........  40 
 Enhanced Oil Recovery (EOR) Credit  ................................ ................................ .........  41 
 Deduction for Tertiary Injectants  ................................ ................................ ..............  42 
 FISHERIES  ................................ ................................ ................................ ...............  43 
 Columbia River Fishery Development Program (Mitchell Act)  ................................ ..........  43 
 Fisheries Finance Program (FFP)  ................................ ................................ .................  44 
 Saltonstall -Kennedy (S -K) Research and Development Pro gram  
Annual Grant Competition: Fisheries Research And Development  ................................ ...........  45 
 Capital Construction Fund (CCF)  ................................ ................................ .................  46 
 Bycatch Reduction Engineering Program (BREP)  ................................ ...........................  47 
 The Vessel Monitoring System (VMS) Reimbursement Program  ................................ ...... 48 
 Fishing Capacity Reduction Loan Program  ................................ ................................ .... 49 
 Fishery Disaster Assistance Program  ................................ ................................ ...........  50 
 LUMBER AND TIMBER  ................................ ................................ ...............................  51 
 Capital Gains Treatment of Certain Timber Income  ................................ .......................  51 
 Expensing of Multi -Period Timber Growing Costs  ................................ ..........................  52 
 Expensing and Seven -Year Amortization fo r Reforestation Expenditures  ..........................  53 
 MEDICAL  ................................ ................................ ................................ ..................  53 
 The Office of Nuclear Physics, Isotope Development and Production  
for Research and Applications Program  ................................ ................................ ...............  53 
 Orphan Drug Tax Credit  ................................ ................................ ............................  54 
 METALS, MINERALS AND EXTRACTION (NON -FUEL)  ................................ .................  55 
 Excess of Percentage Over Cost Depletion for Non -Fuel Minerals  ................................ .... 55 
 Expensing of Exploration  and Development Costs for Non -Fuel Minerals  ..........................  56 
 SHIPYARDS  ................................ ................................ ................................ ..............  57 
 Assistance to Small Shipyards Grant Program  ................................ ..............................  57 
 REGIONAL PROGRAMS  ................................ ................................ .............................  58 
 Empowerment Zones  ................................ ................................ ................................  58 
 New Markets Tax Credit  ................................ ................................ ............................  59 
 Opportunity Zones  ................................ ................................ ................................ .... 60 
 
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AGRICULTURE  
Agriculture Income Support and Marketing Assistance for Covered Commodities  
 Period covered by notification  
The period covered is fiscal  years 2019 -2020.  
 Policy objective and/or purpose  
The policy objectives are to: (1) stabilize, support, and protect farm income and prices; (2)  help 
ensure adequate supplies of quality food, feed, and fiber; and (3) assist in the orderly m arketing of 
farm commodities.  
 Background and authority  
Income support and marketing assistance programs were authorized by the Commodity Credit 
Corporation (CCC) Charter Act, the Agriculture Adjustment Act of 1938, as amended, the 
Agricultural  Act of 1949, as amended, and the Agriculture Improvement Act of 2018 (P.L.115 -334) 
(2018 Farm Act), enacted 20 December 2018, which supersedes the Agricultural Act of 2014 as the 
authorizing legislation for most commodity and standing disaster programs beginning in FY 2019.  
 To whom and how is assistance provided  
(a) Price Loss Coverage (PLC)  
The 2018 Farm Act reauthorized the Price Loss Coverage ( PLC) program , which  provides payments 
on a share of historical base acres and yields when the national price as defined in legislation is less 
than the statutory effective reference price for that commodity. Payments are tied to historical base 
acres and historical yields without any requirement to produce. Payments are triggered by current 
prices but decoupled from production . Payments, if triggered, are made on 85 % of base acres 
multiplied by payment yields of the covered commodity. The c overed commodity base includes 
wheat, feed grains, soybeans, peanuts, other oilseeds, rice, seed cotton, and pulses. PLC payments 
are made n o earlier than 1 October after the end of the applicable marketing year for the covered 
commodity.  As in the 2014 Act, producers elect to participate in either PLC or ARC, but the 
2018 Farm Act allows them to change their program elections annually beginni ng in crop year 2021.  
Total expenditures by fiscal year:  
FY 2019 – $1.9 billion  
FY 2020 – $1.9 billion  
(b) Agriculture Risk Coverage (ARC)  
The 2018 Farm Act reauthorized the Agricultural Risk Coverage (ARC) program, which consists of 
County Agriculture Risk Co verage (ARC -CO) and Individual Agriculture Risk Coverage (ARC -IC). No 
production is required to receive an ARC -CO payment, and payments are tied to historical base 
acres. ARC -CO provides payments when county -level revenue is less than the guarantee, which is 
86% of the benchmark revenue for the covered commodity. Benchmark revenue is calculated as the 
5-year Olympic average price multiplied by the 5 -year Olympic average yield. Payments, if triggered, 
are made on 85 % of base acres of the covered commodity. I f a producer elected ARC -IC, such 
election automatically covered all base acres on the farm. ARC -IC provides payments when a farm's 
total revenue for all covered commodities on the farm is less than that farm's revenue guarantee, 
which is 86 % of the benchmark revenue. The ARC -IC benchmark is the weighted 5 -year average of 
the revenues for all covered commodities planted on the farm. If a payment is triggered, it is made 
on 65 % of the farm's total base acres. Covered commodities include wheat, feed grains, soybeans, 
peanuts, other oilseeds, rice, seed cotton, and pulses. ARC payments are made no earlier than 
1 October after the end of the applicable marketing year for the covered commodity. As described 
above, producers elect to participate in e ither ARC or PLC, but the 2018 Act allows them to change 
their program elections annually beginning in crop year 2021.  G/SCM/N/372/USA  
 
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Total expenditures by fiscal year:  
FY 2019 – $1.1 billion  
FY 2020 – $0.7 billion  
(c) Dairy Margin Coverage (DMC)  
The 2018 Farm Act replaced t he Margin Protection Program for Dairy Producers (MPP) with a similar 
program, Dairy Margin Coverage (DMC), effective through 2023. Like MPP, DMC is a risk 
management program that provides payments to participating dairy producers on enrolled average 
historical production when the difference (margin) between the U.S. all -milk price and the national 
average feed cost (as calculated by a statutory formula) falls below a certain dollar amount selected 
by the producer. Catastrophic coverage is available at the cost of an annual $100 administrative fee 
and provides payments when the margin is less than $4.00 per hundredweight (cwt). Producers may 
also purchase buy -up coverage, ranging from $4.00 to $9.50 per cwt (Tier 1 for enrolled historical 
production up to 5, 000 hundredweight) and $4.00 to $8.00 per cwt (Tier 2 for enrolled historical 
production above 5,000 hundredweight), at premium rates that vary with the level of coverage. 
Under DMC, an operation that enrols in the program must remain in the program throug h 2023, 
although there is annual flexibility to modify coverage levels. The FY 2019 net expenditures includes 
MPP premium refunds provided for by the 2018 Farm Act.  
Net expenditures by fiscal year:  
FY 2019: $348.8 million  
FY 2020: $ 208.5 million  
(d) The Milk D onation Reimbursement Program (MDRP)  
The 2018 Farm Act authorized the Milk Donation Reimbursement Program (MDRP), which reimburses 
fluid milk processors for costs incurred in donating fluid beverage milk to low income groups. Eligible 
dairy organizations m ust partner with an eligible non -profit distributing organization to participate 
in the programme . 
Total expenditures by fiscal year:  
FY 2019 – $0 million  
FY 2020 – $0 million  
(e) Non-recourse Marketing Assistance Loans and Loan Deficiency Payments (LDPs) for Wheat, 
Feed Grains, Upland Cotton, ELS Cotton (recourse only), Rice, Peanuts, Oilseeds, Wool, 
Mohair, Honey, and Pulses.  
The 2018 Farm Act reauthorize d Non -recourse Marketing Assistance Loans and Loan Deficiency 
Payments (LDP) with no changes ex cept for an increase in the loan rates for most covered 
commodities (the exceptions are peanuts, other oilseeds, wool, mohair, and honey) and an 
adjustment in the loan rate for upland cotton. The upland cotton loan rate has been updated by 
adjusting the lo wer bound rate so that it cannot fall below 98 % of the preceding year 's loan rate for 
the base quality of upland cotton.  
The program provides commodity -secured loan funds to producers for a specified period of time 
(typically 9 months), after which produce rs may either repay the loan and accrued interest or 
transfer ownership of the commodity amount pledged as collateral to the Commodity Credit 
Corporation (CCC) as full settlement of the loan, without penalty. Loans can also be repaid at a rate 
less than th e sum of original loan rate plus accrued interest when market prices are below commodity 
loan rates (marketing loan gain). Producers who choose not to take out a loan can receive a loan 
deficiency payment equivalent to the value of a marketing loan gain. L oan rates are fixed in the 
legislation.  G/SCM/N/372/USA  
 
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Total expenditures by fiscal year (combined marketing loan gains, loan deficiency payments, and 
certificate exchange gains):  
FY 2019 – $1 million  
FY 2020 – $197 million  
Price Support for Sugar  
(f) Sugar  
The 2018 Farm Act  reauthorized the non -recourse marketing loan program for sugar with a minor 
adjustment to loan rates. Loans are taken for a maximum term of 9 months and must be liquidated 
along with interest charges by the end of the fiscal year in which the loan was mad e or ownership 
of the commodity amount pledged as collateral is transferred to the Commodity Credit 
Corporation  (CCC).  
The national loan rate for raw cane sugar is: 19.75 cents/pound. The national loan rate for refined 
beet sugar is: 25.37  cents/pound.  
Total net expenditures by fiscal year:  
FY 2019 – $0 million  
FY 2020 – $0 million  
Other Commodity Products  
(g) Special Competitiveness Program for Extra -Long Staple (ELS) Cotton  
The 2018 Farm Act reauthorized the Special Competitiveness Program fo r ELS Cotton, which makes 
payments to domestic users and exporters when the world market price is below the U.S. price for 
four consecutive weeks and the lowest -priced competing ELS cotton is less than 113 % of ELS loan 
rate. 
Total expenditures by fiscal ye ar: 
FY 2019 – $0 million  
FY 2020 – $11 million  
(h) Economic Adjustment Assistance for Textile Mills  
The 2018 Farm Act reauthorized economic adjustment assistance payments to domestic users of 
upland cotton (formerly known as Economic Adjustment Assistance for Users of Upland Cotton) for 
all documented uses of upland cotton on a monthly basis, regardless of the origin of the upland 
cotton. The payments are set at $0.03 per pound.  
Total expenditures by fiscal year:  
FY 2019 – $49 million  
FY 2020 – $29 million  
Disaster, Emergency, and Risk Management Assistance for Agricultural Producers  
(i) Standing disaster ass istance programs  
The 2018 Farm Act reauthorized the standing disaster assistance programs  for livestock and nursery 
sectors . The programs provide disaster assistance payments to producers of eligible commodities in 
counties declared by the Secretary of Agr iculture to be "disaster counties", including counties 
contiguous to disaster counties and any farms with losses in normal production of more than 50 % 
in a calendar year. The programs cover losses incurred as result of a disaster, adverse weather, or 
other  environmental conditions.  G/SCM/N/372/USA  
 
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The Livestock Indemnity Program (LIP) provides payments to eligible producers for livestock death 
losses in excess of normal mortality due to adverse weather, attack by protected predators, and 
certain diseases, and for livestock  sold at a reduced price because of injury from an eligible loss 
condition. Indemnity payment rate is 75 % of market value of applicable livestock, as determined by 
the Secretary of Agriculture.  
Total expenditures by fiscal year:  
FY 2019 – $50 million  
FY 20 20 – $62 million  
Livestock Forage Disaster Program (LFP) payments are available to eligible producers of covered 
livestock for grazing losses due to drought. Producers who face reduced grazing on federally 
managed land as a result of fire are also eligible  for assistance. Payment rates are based on monthly 
feed costs.  
Total expenditures by fiscal year:  
FY 2019 – $288 million  
FY 2020 – $157 millio n 
The Emergency Assistance Program for Livestock, Honey Bees, and Farm -Raised Fish (ELAP) 
provides emergency reli ef to eligible producers of livestock, honey bees, and farm -raised fish for 
losses due to disease, adverse weather, or other conditions not covered by the Livestock Indemnity 
Program or by the Livestock Forage Disaster Program.  
Total expenditures by fiscal year:  
FY 2019 – $46 million  
FY 2020 – $60 million  
The Tree Assistance Program (TAP) provides assistance to  eligible orchardists and nursery tree 
growers to replant or rehabilitate eligible trees, bushes, and vines lost by natural disasters. 
Assistance includes reimbursement of 65 % of the cost of replanting trees that have suffered more 
than a 15 % mortality los s and reimbursement of 50 % of the cost of salvaging damaged trees and 
preparing land to replant trees. The 2018 Farm Act increased the reimbursement rate to 75 % for 
beginning or veteran farmers or ranchers.  
Total expenditures by fiscal year:  
FY 2019 – $15 million  
FY 2020 – $11 million  
(j) Risk management programs  
Non-insured Crop Disaster Assistance Program (NAP)  
The 2018 Farm Act reauthorized the Non -insured Crop Disaster Assistance Program (NAP), which 
provides coverage to producers of crops not currently ins urable. The program covers losses above 
50%, paid at 55 % of market price. Eligible producers pay an administrative fee to participate. Eligible 
producers also have the option of buying higher coverage for a premium, up to 65 % of losses and 
100% of market p rice. 
Total expenditures by fiscal year:  
FY 2019 – $153 million  
FY 2020 – $131 million  G/SCM/N/372/USA  
 
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Crop Insurance  
The Federal Crop Insurance Program (FCIP) indemnif ies producers against losses in yield, crop 
revenue, margin, whole farm revenue, and other types of loss es. FCIP is permanently authorized 
under the Agricultural Adjustment Act of 1938 (7 U.S.C. 1281) and the Federal Crop Insurance Act 
of 1980 (7 U.S.C. 1505). The 2018 Farm Act continues programs established in the 2014 Farm Act, 
including the Supplemental C overage Option (SCO) and Stacked Income Protection Plan (STAX) , 
and introduces limited changes to existing FCIP products and policies, primarily aimed at expanding 
coverage for existing and new insurance product offerings . 
The benefit amounts reported belo w are the premium subsidies on policies purchased by producers:  
FY 2019 – $6.45 billion  
FY 2020 – $6.47 billion  
(k) Ad hoc disaster assistance  
Wildfires and Hurricane s Indemnity Program (WHIP)  
Under the Bipartisan Budget Act of 2018, WHIP payments were provided to agricultural producers 
to offset losses from hurricanes and wildfires during 2017. Eligible wildfire losses included losses due 
to fire, mudslides, and heavy smoke. Hurricane losses, including losses from related conditions such 
as excessive ra in and flooding, were automatically eligible if they occurred in counties with qualifying 
Presidential Emergency Disaster Declaration or Secretarial Disaster designation.  Eligible 
commodities included crops, trees, bushes, and vines. Compensation was based  on individual losses 
and calculated based on the expected value of the lost crop, the value of the crop harvested, 
insurance coverage, and insurance payments received. Producers with crop insurance or non -insured 
crop disaster assistance program (NAP) cov erage were eligible for higher loss compensation than 
those who were uninsured. Producers receiving WHIP payments were required to purchase crop 
insurance, or NAP if crop insurance was not available, for the next two years after payments were 
received. Tot al compensation was not to exceed 85 % of the value of losses.  
In addition to WHIP, USDA provided a grant to the State of Florida to reimburse citrus producers for 
the cost of buying and planting replacement trees, including resetting and grove rehabilitati on, and 
for repair of damages to irrigation systems and for losses resulting from damage caused by the 
2017 hurricanes.  
In 2019, the Wildfires and Hurricanes Indemnity Program Plus (WHIP+) was developed to implement 
disaster provisions in the Additional Su pplemental Appropriations for Disaster Relief Act of 2019. 
WHIP+ provided payments to agricultural producers for crop, tree, bush, and vine losses related to 
the consequences of hurricanes, floods, tornados, typhoons, volcanic activity, snowstorms, extreme  
drought, excess moisture, and wildfires that occurred in 2018 and 2019. WHIP+ also provided 
assistance, including through State grants, to compensate producers for other production and 
storage losses in 2018 and 2019, as well as payments related to preven ted planting in 2019.  
Total expenditures by fiscal year:  
FY 2019 - $445 million  
FY 2020 - $353 million  
(l) Ad hoc emergency assistance programs  
Market Facilitation Program (MFP)  
Using Commodity Credit Corporation (CCC) Charter Act authorities, MFP provided direct payments 
in 2018 and 2019 to producers of commodities impacted by retaliatory tariffs resulting in the loss of 
traditional export markets. Commodities eligible for 2018 MFP were: almonds, fresh sweet cherries, 
corn, cotton, milk, hogs, soyb eans, sorghum, and wheat. Payments were made using 
commodity -specific payment rates that were paid on actual production. In the case of milk and hogs, 
payments were made on production (milk) or inventories (hogs) during a specified period.  G/SCM/N/372/USA  
 
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In 2019, MFP cov ered hogs and milk, specialty crops ( fresh sweet cherries, cranberries, table grapes, 
ginseng, and tree nuts) and non -specialty crops. MFP payments for non -specialty crops were made 
based on a county -level payment rate that applied to planted acres of all eligible non -specialty crops 
(alfalfa hay, barley, canola, corn, crambe, dried beans, dry peas, extra -long staple cotton, flaxseed, 
lentils, long grain and medium grain rice, millet, mustard seed, oats, peanuts, rapeseed, rye, 
safflower, sesame seed, small  and large chickpeas, sorghum, soybeans, sunflower seed, temperate 
japonica rice, triticale, upland cotton, and wheat). Tree nuts were included at a single rate for eligible 
tree nuts (almonds, hazelnuts, macadamia nuts, pecans, pistachios, and walnuts ). Total 
expenditures by fiscal year:  
FY 2019 – $13.7 billion  
FY 2020 – $9.1 billion  
Coronavirus Food Assistance Program (CFAP)  
CFAP provides financial assistance to producers of a broad range of agricultural products, including 
row and specialty crops, livest ock, poultry, dairy, aquaculture, and other commodities,  for which 
commodity prices and/or market supply chains were negatively impacted by the COVID -19 
pandemic. This program was authorized and funded by the Coronavirus Aid, Relief, and Economic 
Security Act (CARES) and Commodity Credit Corporation (CCC) Charter Act  authorities.  Payments 
were made on a percentage of total production, realized losses, sales, or crop or animal inventories, 
as specified in regulation.  
 FY 2019  - N/A 
 FY 2020 - $10.7 billion  
Other Programs Administered by the U.S. Department of Agriculture  
(m) Grazing Livestock on Federal Land  
Net budget outlays (minus producer fees) for livestock grazing on public range land in 16  Western 
States:  
FY 2019 – $61 million  
FY 2020 – $58 millio n 
(n) Reimbursement Transportation Cost Payment Program for Geographically Disadvantaged 
Farmers and Ranchers (RTCP)  
The 2018 Farm Act reauthorized the Reimbursement Transportation Cost Payment Program for 
Geographically Disadvantaged Farmers and Ranchers (RTC P) to reimburse geographically 
disadvantaged producers with grants for a portion of the cost to transport agricultural commodities 
or inputs used to produce an agricultural commodity.  
FY 2019 – $2 million  
FY 2020 – $0 million  
(o) Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Assistance Program  
The 2018 Farm Act reauthorized the Biorefinery, Renewable Chemical, and Biobased Product 
Manufacturing Assistance Program and expanded the definition of "eligible technologies " to include 
technologies that produce one or more or a combination of advanced biofuels, renewable chemicals, 
or biobased products.  The program assists in the development, construction, and retrofitting of new 
and emerging technologies for the development of Adv anced Biofuels, Renewable Chemicals, and 
Biobased Product Manufacturing by providing loan guarantees for up to $250 million.  
FY 2019 – $13 million  
FY 2020 – $9 million  G/SCM/N/372/USA  
 
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(p) Repowering Assistance Program  
The 2018 Farm Act repealed the Repowering Assistance Progr am. 
 Duration  
The policies described were generally in effect for fiscal  years  2019-2020. However, not all policies 
or programs were in effect, nor were payments necessarily made under the relevant policies or 
programs for both  years.  
 Trade effects  
It is di fficult to determine to what extent, if any, these programs have affected trade, given the 
existence of other policy instruments that affect agricultural trade.  
Other Agricultural Programmes1 
1.2.1   Expensing of Multi -Period Livestock and Crop Production Costs  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To ease record -keeping for small farm businesses.  
 Background and authority  
Section 263A of the Internal Revenue Code, enacted as part of the Tax Reform Act of 1986.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
The production of livestock and crops with a production period of two  years or less is exempted from 
the uniform capitalization rules. Farmers producing any good s for sale with a production period of 
two years or less may elect not to capitalize costs.  
 Amount  
The revenue loss was $ 250 million in fiscal year 201 9 and $ 560 million in fiscal year 20 20. 
 Duration  
Indefinite.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
 
1 All the programmes in this section are tax -related, authorized under the U .S. Internal Revenue Code.  G/SCM/N/372/USA  
 
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1.2.2   Treatment of Loans Forgiven Solvent Farmers as if Insolvent  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To address certain consequences of farm credit crises.  
 Background and authority  
Sections 108 and 1017 of the Internal Revenue Code, enacted as part of the Tax Reform Act of  1986.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
Farmers a re granted special tax treatment by being forgiven the tax liability on certain forgiven debt. 
Normally, the amount of loan forgiveness is accounted for as a gain (income) of the debtor, who 
must either report the gain or reduce his recoverable basis in th e property to which the loan relates. 
If the debtor elects to reduce basis and the amount of forgiveness exceeds his basis on the property, 
the excess forgiveness is taxable. However, in the case of insolvent (bankrupt) debtors, the amount 
of loan forgiven ess never results in an income tax liability. Farmers with forgiven debt are considered 
insolvent for tax purposes, and thus qualify for income tax forgiveness. This relief applies only if at 
least 50 % of the taxpayer's gross receipts for the three tax  years preceding the tax year in which 
the discharge of indebtedness occurs is attributable to farming.  
 Amount  
The revenue loss was $ 50 million in fiscal year 201 9 and $ 50 million in fiscal year 20 20. 
 Duration  
Indefinite.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
1.2.3   Capital Gains Treatment of Certain Agricultural Income  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To ensure that when farmland is sold, any immature, unharvested crops growing on the land are 
treated for tax purposes as part of the land and not as personal property ready for sale to customers.  
 Background and authority  
Section 1231 of the Intern al Revenue Code.  G/SCM/N/372/USA  
 
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 Form 
Income tax concession.  
 To whom and how assistance is provided  
Certain agricultural income, which would normally be taxed as ordinary income, such as receipts 
from the sale of unharvested crops sold together with farmland, can be treat ed as capital gains , 
which are generally taxed at a lower rate . 
 Amount  
The revenue loss was $ 1,490  million in fiscal year 201 9 and $1 ,330 million in fiscal year 20 20. 
 Duration  
Indefinite; this has been a permanent provision since at least 1954.  
 Trade Effec ts 
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
ENERGY AND FUELS (ENERGY DEVELOPMENT, STORAGE AND TRANSPORTATION, AND 
OTHER RELATED SECTORS)2 
Advanced Research Projects Agency – Energy:  Projects  
 Period covered by the notification  
The period covered is fiscal  years 20 19 and 20 20. 
 Policy objective and/or purpose  
To advance high -potential, high -impact energy technologies that are too early for private -sector 
investment. ARPA -E awardees are unique because they are developing entirely new ways to 
generate, store, and use energy.  
 Background and authority  
This program is administered by the Department of Energy's (DOE) Advanced Research Projects 
Agency – Energy (ARPA -E). Legislative  authority is derived from:  
• P.L. 95 -91, "Department of Energy Organization Act " (1977)  
• P.L. 109 -58, "Energy Policy Act of 2005 " 
• P.L. 110 -69, "America COMPETES Act of 2007 " 
• P.L. 111 -358, "America COMPETES Reauthorization Act of 2010 " 
• P.L. 116 -260, Section 1 0001, "Consolidated Appropriations Act, 2021 " ARPA -E 
Amendments  
 
2 Programs at the Department of Energy (DOE) are primarily basic research and development of general 
applicability that ultimately benefit broad segments of the U.S. economy. Please note that some funding levels 
for DOE programs in subsidy notifications  (prior to 2015)  were overstated, as they often represented the total 
budget for the offices administering the programs, as shown in DOE’s fiscal year budget documents, and did not 
isolate the subsidy portion of program spending. The budget numbers for the DOE programs in this notification 
cover just those activities for which there is cost -sharing research with a private sector partner.  G/SCM/N/372/USA  
 
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 Form 
ARPA -E funding is awarded to private -sector recipients through competitive financial assistance 
opportunities. Private -sector recipients contribute matching funding at levels specified in  funding 
opportunity announcements (FOAs).  
 To whom and how assistance is provided  
Participation in the program is determined through various competitive procedures, which are open 
to all eligible private parties.  
 Amount  
Total ARPA -E funding obligated from the identified fiscal year 's appropriations, and during the 
identified fiscal year, was as follows (approximate dollars in  millions).  
 Duration  
ARPA -E Projects is not subject to any fixed completion date. Its continuation is contingent upon 
ongoing annual appropriations and authorizations by Congress.  
 Trade Effects  
In light of the scope and nature of the R&D activities being assisted, it is not possible to determine 
what, if any, trade effects may ever result f rom this program.  
Cybersecurity for Energy Delivery Systems3 
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To reduce the risk of energy disruptions due to cyber events by focusing on : (1) e nhancing the speed 
and effectiveness of threat and vulnerability information sharing, including bi -directional 
machine -to-machine information sharing ; and (2) a ccelerating game -changing R&D to mitigate 
cyber incidents in today 's systems a nd to develop next -generation resilient energy delivery systems . 
 Background and authority  
This program is administered by the Department of Energy's (DOE) Office of Cybersecurity, Energy 
Security, and Emergency Response (CESER). Legislative authority is de rived from:  
• P.L. 95 –91, "Department of Energy Organization Act ", 1977  
• P.L. 109 -58, "Energy Policy Act of 2005 " 
• P.L. 110 -140, "Energy Independence and Security Act, 2007 " 
• P.L. 114 -94, "Fixing America 's Surface Transportation Act ", 2015  
 
3 The Office of Cybersecurity, Energy Security, and Emergency Response (CESER) was established in 
FY 2019.   FY 2019  FY 2020  
ARPA -E $359.8  $332.5  G/SCM/N/372/USA  
 
- 14 - 
 
 Form 
CESER funding is awarded to private -sector recipients through competitive financial assistance 
opportunities. Private -sector recipients contribute matching funding at 20 -50%, or more, of the 
overall award.  
 To whom and how assistance is provided  
Participation in the program is determined through various competitive procedures, which are open 
to all eligible private parties.  
 Amount  
Total CESER funding obligated during the identified fiscal year was as follows (approximate dollars 
in millions for appropriation year only):  
 Duration  
The activity is of indefinite duration, contingent upon ongoing annual appropriations and 
authorizations by Congress.  
 Trade Effects  
In light of  the scope and nature of the R&D activities being assisted, it is not possible to determine 
what, if any, trade effects may ever result from this program.  
Resilient Distribution Systems  
 Period  covered by the notification  
The period covered is fiscal  years 2019 and 20 20. 
 Policy objective and/or purpose  
To address the challenges facing the electric power grid by developing the innovative technologies, 
tools, and techniques to modernize the distribution portion of the electric delivery system by 
pursuing strat egic investments to improve reliability, resiliency, faster outage recovery, and 
operational efficiency, building upon previous and ongoing grid modernization efforts.  
 Background and authority  
This program is administered by the Department of Energy's (DOE ) Office of Electricity (OE).  
Legislative authority is derived from:  
• P.L. 95 –91, "Department of Energy Organization Act ", 1977  
• P.L. 109 -58, "Energy Policy Act of 2005 " 
• P.L. 110 -140, "Energy Independence and Security Act, 2007 " 
• P.L. 114 -94, "Fixing America 's Surface Transportation Act ", 2015  
 Form 
OE funding is awarded to private -sector recipients through competitive financial assistance 
opportunities. Private -sector recipients contribute matching funding at 20 -50%, or more, of the 
overall award.   FY 2019  FY 2020  
Cybersecurity for Energy Delivery Systems  $2.58  $19.4  G/SCM/N/372/USA  
 
- 15 - 
 
 To whom and how assistance is provided  
Participation in the program is determined through various competitive procedures, which are open 
to all eligible private parties.  
 Amount  
Total OE funding obligated during the identified fiscal year was as follows (approx imate dollars 
in millions):  
 Duration  
The activity is of indefinite duration, contingent upon ongoing annual appropriations and 
authorizations by Congress.  
 Trade Effects  
In light of  the scope and nature of the R&D activities being assisted, it is not possible to determine 
what, if any, trade effects may ever result from this program.  
2.3.1   Transmission  Reliability and Resilience  
 Period  covered by the notification  
The period covered is fisc al years 2019 and 2020.  
 Policy objective and/or purpose  
Focus on ensuring the reliability and resilience of the U.S. electric grid through early -stage and 
foundational R&D on measurement and control of the electricity system, sensors and data analytics, 
and risk assessment to address challenges across integrated energy systems.  
 Background and authority  
This program is administered by the Department of Energy's (DOE) Office of Electricity (OE). 
Legislative authority is derived from:  
• P.L. 95 –91, "Department of Energy Organization Act ", 1977  
• P.L. 109 -58, "Energy Policy Act of 2005 " 
• P.L. 110 -140, "Energy Independence and Security Act, 2007 " 
• P.L. 114 -94, "Fixing America 's Surface Transportation Act ", 2015  
 Form 
OE funding is awarded to private -sector r ecipients through competitive financial assistance 
opportunities. Private -sector recipients contribute matching funding at 20 -50%, or more, of the 
overall award.  
 To whom and how assistance is provided  
Participation in the program is determined through vari ous competitive procedures, which are open 
to all eligible private parties.   FY 2019  FY 2020  
Resilient Distribution Systems  $0.4 $0 G/SCM/N/372/USA  
 
- 16 - 
 
 Amount  
Total OE funding obligated during the identified fiscal year was as follows (approximate dollars 
in millions):  
 Duration  
The activity is of indefinite duration, contingent upon ongoing annual appropriations and 
authorizations by Congress.  
8. Trade Effects  
In light of the scope and nature of the R&D activities being assisted, it is not possible to  determine 
what, if any, trade effects may ever result from this program.  
2.3.2   Transformer  Resilience and Advanced Components  
 Period  covered by the notification  
The period covered is fiscal  years 2019 and 2020.  
 Policy objective and/or purpose  
Ensure the electric grid remains reliable and resilient through development of next -generation 
transmission and distribution hardware and components that can withstand physical and 
cyber -threats, facilitate rapid recovery and restoration, and provide new capabilities  that meet future 
grid requirements.  Focus on improvements in materials, new designs, and embedded intelligence to 
enhance equipment performance, including reliability and resilience.  
 Background and authority  
This program is administered by the Department of Energy's (DOE) Office of Electricity (OE). 
Legislative authority is derived from:  
• P.L. 95 –91, "Department of Energy Organization Act ", 1977  
• P.L. 109 -58, "Energy Policy Act of 2005 " 
• P.L. 110 -140, "Energy Independence and Security Act, 2007 " 
• P.L. 114 -94, "Fixing America 's Surface Transportation Act ", 2015  
 Form 
OE funding is awarded to private -sector recipients through competitive financial assistance 
opportunities. Private -sector recipients contribute matching funding at 20 -50%, or more, of the 
overall awa rd. 
 To whom and how assistance is provided  
Participation in the program is determined through various competitive procedures, which are open 
to all eligible private parties.  
 Amount  
Total OE funding obligated during the identified fiscal year was as follows  (approximate dollars 
in millions):   FY 2019  FY 2020  
Transmission Reliability and Resilience  $3.2 $0 
 FY 2019  FY 2020  
Transformer Resilience and Advanced Components  $3.6 $0 G/SCM/N/372/USA  
 
- 17 - 
 
 Duration  
The activity is of indefinite duration, contingent upon ongoing annual appropriations and 
authorizations by Congress.  
 Trade Effects  
In light of the scope and nature of the R&D activities being assisted, it is not possible to determine 
what, if any, trade effects may ever result from this program.  
Small Modular Reactor (SMR) Licensing Technical Support  
 Period  covered by the noti fication  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
The development of safe, clean, affordable nuclear power options is a key element of the Department 
of Energy 's Office of Nuclear Energy (DOE -NE) Nuclear Energy Research and Development Roadmap. 
As a part of this strategy, accelerating the timelines for the commercialization and deployment of 
small modular reactor (SMR) technologies through the SMR Licensing Technical Support (LTS) 
program has been a high p riority of the Department.  
 Background and authority  
This program is administered by the Department of Energy's (DOE) Office of Nuclear Energy (NE). 
Legislative authority is derived from:  
• P.L. 115-31, Consolidated Appropriations Act, 2017  
• P.L. 115 -141, Cons olidated Appropriations Act, 2018  
• P.L. 116 -6, Consolidated Appropriations Act, 2019  
• P.L. 116 -94 Further Consolidated Appropriations Act, 2020  
 Form 
NE funding is awarded to private -sector recipients through competitive financial assistance 
opportunities. Pr ivate-sector recipients contribute matching funding at 20 -50%, or greater, of the 
NE funding levels.  
 To whom and how assistance is provided  
Participation in the program is determined through various competitive procedures, which are open 
to all eligible pr ivate parties.  
 Amount  
Total NE funding obligated from the identified fiscal year's appropriations, and during the  identified 
fiscal year, was as follows (approximate dollars in  millions):  
 Duration  
The SMR Licensing Technical Support program was completed at the end of fiscal year 2017.  
 Trade Effects  
In light of  the scope and nature of the R&D activities being assisted, it is not possible to determine 
what, if any, trade effects may ever result from this program.   FY 2019  FY 2020  
SMR Licensing Technical Support  $0 $0.7 G/SCM/N/372/USA  
 
- 18 - 
 
Fuel Cycle Research & Development - Nuclear Energy  
 Period  covered by the notification  
The period cove red is fiscal  years 20 19 and 20 20. 
 Policy objective and/or purpose  
The Fuel Cycle Research and Development (FCR&D) program conducts R&D on advanced sustainable 
fuel cycle technologies that have the potential to improve resource utilization and energy gener ation, 
reduce waste generation, enhance safety, and limit proliferation risk. The program employs a long -
term, science -based approach to foster innovative, transformational technology solutions to achieve 
this mission. Advancements in fuel cycle technologi es and solutions support the enhanced 
availability, affordability, safety, and security of nuclear -generated electricity in the U nited States.  
 Background and authority  
This program is administered by the Department of Energy's (DOE) Office of Nuclear Energ y (NE). 
Legislative authority is derived from:  
• P.L. 115-31, Consolidated Appropriations Act, 2017  
• P.L. 115 -141, Consolidated Appropriations Act, 2018  
• P.L. 116 -6, Consolidated Appropriations Act, 2019  
• P.L. 116 -94, Further Consolidation Appropriations Act, 2 020 
 Form 
NE funding is awarded to private -sector recipients through competitive financial assistance 
opportunities. Private -sector recipients contribute matching funding at 20 -50%, or greater, of the 
NE funding levels.  
 To whom and how assistance is provided  
Participation in the program is determined through various competitive procedures, which are open 
to all eligible private parties.  
 Amount  
Total NE funding obligated from the identified fiscal year 's appropriations, and during the identified 
fiscal year, was as follows (approximate dollars in  millions):  
 Duration  
The Fuel Cycle R&D program is not subject to any fixed completion date. Its continuation is 
contingent upon ongoing annual appropriations and authorizations by Congress.  
 Trade Effects  
In light of the scope and nature of the R&D activities being assisted, it is not possible to determine 
what, if any, trade effects may ever result from this program.  
Nuclear Energy Enabling Techn ologies – Nuclear Energy  
 Period  covered by the notification  
The period covered is fiscal  years 201 9 and 20 20.  FY 2019  FY 2020  
Fuel Cycle R&D  $80.7  $84.9  G/SCM/N/372/USA  
 
- 19 - 
 
 Policy objective and/or purpose  
The Nuclear Energy Enabling Technologies (NEET) program sponsors research and development 
(R&D) and strategic infr astructure investments to develop innovative and crosscutting nuclear 
energy technologies. This program also makes a strong investment in modelling and simulation 
efforts to bring 30 years of improved computational and material science to reactor and fuel system 
simulation. The results provide researchers, designers, and operators with advanced tools to better 
understand the behaviour of nuclear energy systems , thereby improving safety, economics, and 
efficiency.  
 Background and authority  
This program is adm inistered by the Department of Energy's (DOE) Office of Nuclear Energy (NE). 
Legislative authority is derived from:  
• P.L. 115-31, Consolidated Appropriations Act, 2017  
• P.L. 115 -141, Consolidated Appropriations Act, 2018  
• P.L. 116 -6, Consolidated Appropriatio ns Act, 2019  
• P.L. 116 -94, Further Consolidation Appropriations Act, 2020  
 Form 
NE funding is awarded to private -sector recipients through competitive financial assistance 
opportunities. This does not include NE funding awarded to DOE laboratories, other gov ernment 
agencies, universities, non -profit organizations, support contractors, or management and operations 
contractors. Private -sector recipients contribute matching funding at 20 -50%, or greater, of the 
NE funding levels. The private -sector matching fund s are not included below.  
 To whom and how assistance is provided  
Participation in the program is determined through various competitive procedures, which are open 
to all eligible private parties.  
 Amount  
Total NE funding obligated from the identified fiscal  year's appropriations, and during the identified 
fiscal year, was as follows (approximate dollars in  millions):  
 Duration  
The Nuclear Energy Enabling Technologies subprograms are not subject to any fixed completion 
date. Their continuation is contingent upon ongoing annual appropriations and authorizations by 
Congress.  
 Trade Effects  
In light of the scope and nature of the R&D  activities being assisted, it is not possible to determine 
what, if any, trade effects may ever result from this program.  
Reactor Concepts Research, Development and Demonstration – Nuclear Energy  
 Period  covered by the notification  
The period covered is fi scal years 201 9 and 20 20.  FY 2019  FY 2020  
Nuclear Energy Enabling Technologies  $53.9  $93.9  G/SCM/N/372/USA  
 
- 20 - 
 
 Policy objective and/or purpose  
The Advanced Reactor Technologies (ART) subprogram supports the development of innovative 
reactor technologies that may offer improved safety, functionality and economics, and build upon 
existing nu clear technology and operating experience. The ART subprogram supports efforts to 
reduce long -term technical barriers for advanced nuclear energy systems across reactor technology 
concepts. In addition, the subprogram supports the resolution of regulatory questions for advanced 
reactors through direct engagement with the Nuclear Regulatory Commission (NRC) and industry.  
 Background and authority  
This program is administered by the Department of Energy's (DOE) Office of Nuclear Energy (NE). 
Legislative author ity is derived from:  
• P.L. 115-31, Consolidated Appropriations Act, 2017  
• P.L. 115 -141, Consolidated Appropriations Act, 2018  
• P.L. 116 -6, Consolidated Appropriations Act, 2019  
• P.L. 116 -94, Further Consolidation Appropriations Act, 2020  
 Form 
NE funding is awarded to private -sector recipients through competitive financial assistance 
opportunities. Private -sector recipients contribute matching funding at 20 -50%, or greater, of the 
NE funding levels.  
 To whom and how assistance is provided  
Partici pation in the program is determined through various competitive procedures, which are open 
to all eligible private parties.  
 Amount  
Total NE funding obligated from the identified fiscal year 's appropriations, and during the identified 
fiscal year, was as fo llows (approximate dollars in  millions):  
 Duration  
The Reactor Concepts Research, Development and Demonstration subprograms are not subject to 
any fixed completion date. Their continuation is contingent upon ongoing annual appropriations and 
authorizations by Congress.  
 Trade Effects  
In light of the scope a nd nature of the R&D activities being assisted, it is not possible to determine 
what, if any, trade effects may ever result from th ese program s. 
Renewable Energy Resources  
 Period  covered by the notification  
The period covered is fiscal  years 201 9 and 20 20.  FY 2019  FY 2020  
Reactor Concepts Research, Development and Demonstration  $14.4  $7.0 G/SCM/N/372/USA  
 
- 21 - 
 
 Policy objective and/or purpose  
To increase the generation of electric power from renewable resources through cost reduction and 
performance improvement, technology validation and risk reduction, and reduction of technology 
market barriers.  
 Background and  authority  
This program is administered by the Department of Energy's (DOE) Office of Energy Efficiency and 
Renewable Energy (EERE). Legislative authority is derived from:  
• P.L. 93 -409, "Solar Heating and Cooling Demonstration Act of 1974"  
• P.L. 93 -410, "Geo thermal Energy Research, Development and Demonstration Act of 1974"  
• P.L. 94 -163, "Energy Policy and Conservation Act" (EPCA) (1975)  
• P.L. 94 -385, "Energy Conservation and Product Act" (ECPA) (1976)  
• P.L. 95 -91, "Department of Energy Organization Act" (1977)  
• P.L. 95 -590, "Solar Photovoltaic Energy Research, Development, and Demonstration Act of 
1978"  
• P.L. 95 -618, "Energy Tax Act of 1978"  
• P.L. 95 -619, "National Energy Conservation Policy Act" (NECPA) (1978)  
• P.L. 95 -620, "Power Plant and Industrial Fuel Use Act of 1978"  
• P.L. 100 -12, "National Appliance Energy Conservation Act of 1987"  
• P.L. 100 -615, "Federal Energy Management Improvement Act of 1988"  
• P.L. 101 -218, "Renewable Energy and Energy Efficiency Technology Competitiveness Act 
of 1989"  
• P.L. 101 -549, "Clean Air Act Amendments of 1990"  
• P.L. 101 -575, "Solar, Wind, Waste, and Geothermal Power Production Incentives Act 
of 1990"  
• P.L. 102 -486, "Energy Policy Act of 1992"  
• P.L. 104 -271, "Hydrogen Future Act of 1996"  
• P.L. 106 -224, "Biomass Research and Development Act of 2000"  
• P.L. 109 -58, "Energy Policy Act of 2005"  
• P.L. 110 -140, "Energy Independence and Security Act of 2007"  
• P.L. 110 -234, "The Food, Conservation, and Energy Act of 2008"  
 Form 
EERE funding is awarded to private -sector recipients through competitive financial assistance 
opportunities. Private -sector recipients contribute matching funding at 20 -50%, or greater, of the 
EERE funding levels.  
 To whom and how assistance is provided  
Participation in the program is determined through various compe titive procedures, which are open 
to all eligible private parties.  
 Amount  
Total EERE funding obligated from the identified fiscal year 's appropriations, and during the identified 
fiscal year, was as follows (approximate dollars in  millions):  
 FY 2019  FY 20 20 
Solar Energy  $8.6 $3.5 
Wind Energy  $0 $6.2 
Geothermal Technologies  $31.8  $44.0  
Water Power  $5.1 $27.9  G/SCM/N/372/USA  
 
- 22 - 
 
 Duration  
The renewable energy resources program is not subject to any fixed completion date. Its 
continuation is contingent upon ongoing annual appropriations and authorizations by Congress.  
 Trade Effects  
In light of the scope and nature of the R&D activities being assisted, it is not possible to determine 
what, if any, trade effects may ever result from this program.  
Energy Conservation Programs – Transportation Sector  
 Period  covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To accelerate the development and adoption of sustainable transportation technologies through  cost 
reduction and performance improvement, technology validation and risk reduction, and reduction of 
technology market barriers.  
 Background and authority  
This program is administered by the Department of Energy 's (DOE) Office of Energy Efficiency and 
Renewable Energy (EERE). Legislative authority is derived from:  
• P.L. 95 -91, "U.S. Department of Energy Organization Act" (1977)  
• P.L. 102 -486, "Energy Policy Act of 1992"  
• P.L. 109 -58, "Energy Policy Act of 2005"  
• P.L. 110 -140, "Energy Independence and Security  Act of 2007"  
 Form 
EERE funding awarded to private -sector recipients through competitive financial assistance 
opportunities. Private -sector recipients contribute matching funding at 20 -50%, or greater, of the 
EERE funding levels.  
 To whom and how assistance is provided  
Participation in the program is determined through various competitive procedures, which are open 
to all eligible private parties.  
 Amount  
Total EERE funding obligated from the identified fiscal year 's appropriations, and during the identified 
fiscal year, was as follows (approximate dollars in  millions):  
 FY 2019  FY 2020  
Vehicle Technologies  $128.9  $155.3  
Hydrogen and Fuel Cell Technologies  $52.5  $57.5  
Bioenergy Technologies  $9.2 $75.8  
 Duration  
The transportation sector program is not subject to any fixed completion date. Its continuation is 
contingent upon ongoing annual appropriations and authorizations by Congress.  G/SCM/N/372/USA  
 
- 23 - 
 
 Trade Effects  
In light of the scope and natur e of the R&D activities being assisted, it is not possible to determine 
what, if any, trade effects may ever result from this program.  
Energy Conservation Programs - Building Technologies  
 Period  covered by the notification  
The period covered is fiscal years 201 9 and 20 20. 
 Policy objective and/or purpose  
To improve the energy efficiency of homes, buildings, and industries through cost reduction and 
performance improvement, technology validation and risk reduction, and reduction of technology 
marke t barriers.  
 Background and authority  
This program is administered by the Department of Energy's (DOE) Office of Energy Efficiency and 
Renewable Energy (EERE). Legislative authority is derived from:  
• P.L. 94 -163, "Energy Policy and Conservation Act" (EPCA) ( 1975)  
• P.L. 94 -385, "Energy Conservation and Production Act" (EPCA) (1976)  
• P.L. 95 -91, "Department of Energy Organization Act" (1977)  
• P.L. 95 -619, "National Energy Conservation Policy Act" (NECPA) (1978)  
• P.L. 95 -620, "Power Plant and Industrial Fuel Use Act  of 1978"  
• P.L. 96 -294, "Energy Security Act" (1980)  
• P.L. 100 -12, "National Appliance Energy Conservation Act of 1987"  
• P.L. 100 -357, National Appliance Energy Conservation Amendments of 1988"  
• P.L. 100 -615, "Federal Energy Management Improvement Act of 1988"  
• P.L. 102 -486, "Energy Policy Act of 1992"  
• P.L. 109 -58, "Energy Policy Act of 2005"  
• P.L. 110 -140, "Energy Independence and Security Act of 2007"  
 Form 
EERE funding is awarded to private -sector recipients through competitive financial assistance 
opportunities. Private -sector recipients contribute matching funding at 20 -50%, or greater, of the 
EERE funding levels.  
 To whom and how assistance is provided  
Participation in the program is determined through various competitive procedures, which are open  
to all eligible parties.  
 Amount  
Total EERE funding obligated from the identified fiscal year 's appropriations, and during the identified 
fiscal year, was as follows (approximate dollars in  millions):  
 FY 2019  FY 2020  
Building Technologies  $0.7 $0.6 
 Duration  
The building technologies program is not subject to any fixed completion date. Its continuation is 
contingent upon ongoing annual appropriations and authorizations by Congress.  G/SCM/N/372/USA  
 
- 24 - 
 
 Trade Effects  
In light of the scope and nature of the R&D activities b eing assisted, it is not possible to determine 
what, if any, trade effects may ever result from this program.  
Energy Conservation – Advanced Manufacturing  
 Period  covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
Stimulate the growth of a thriving domestic clean energy manufacturing industry through cost 
reduction and performance improvement, technology validation and risk reduction, and reduction of 
technology market barriers.  
 Background a nd authority  
This program is administered by the Department of Energy 's (DOE) Office of Energy Efficiency and 
Renewable Energy (EERE). Legislative authority is derived from:  
• P.L. 94 -163, "Energy Policy and Conservation Act" (EPCA) (1975)  
• P.L. 94-385, "Energy Conservation and Production Act" (ECPA) (1976)  
• P.L. 95 -91, "Department of Energy Organization Act" (1977)  
• P.L. 95 -619, "National Energy Conservation Policy Act" (NECPA) (1978)  
• P.L. 95 -620, "Power Plants and Industrial Fuel Use Act of 1978"  
• P.L. 96 -294, "Energy Security Act" (1980)  
• P.L. 101 -218, "Renewable Energy and Energy Efficiency Technology Competitiveness Act 
of 1989"  
• P.L. 102 -486, "Energy Policy Act of 1992"  
• P.L. 109 -58, "Energy Policy Act of 2005"  
• P.L. 110 -140, "Energy Independence a nd Security Act of 2007"  
• P.L. 112 -210, "American Energy Manufacturing Technical Corrections Act" (2012)  
 Form 
EERE funding is awarded to private -sector recipients through competitive financial assistance 
opportunities. This does not include EERE funding awa rded to DOE laboratories, other government 
agencies, universities, non -profit organizations, support contractors, or management and operations 
contractors. Private -sector recipients contribute matching funding at 20 -50%, or greater, of the 
EERE funding lev els. The private -sector matching funds are not included below.  
 To whom and how assistance is provided  
Participation in the program is determined through various competitive procedures, which are open 
to all eligible private parties.  
 Amount  
Total EERE fundi ng obligated from the identified fiscal year 's appropriations, and during the identified 
fiscal year, was as follows (approximate dollars in  millions):  
 FY 2019  FY 2020  
Advanced Manufacturing  $25.7  $43.5  
 Duration  
The advanced manufacturing program is not subject to any fixed completion date. Its continuation 
is contingent upon ongoing annual appropriations and authorizations by Congress.  G/SCM/N/372/USA  
 
- 25 - 
 
 Trade Effects  
In light of the scope and nature of the R&D activities being assisted, it is not possible to determine  
what, if any, trade effects may ever result from this program.  
Fossil Energy Research and Development  
 Period  covered by the notification  
The period covered is fiscal years 201 9 and 20 20. 
 Policy objective and/or purpose  
The Fossil Energy Research and Devel opment (FER&D) program offices advance transformative 
science and innovative technologies that enable the reliable, efficient, affordable, and 
environmentally sound use of fossil fuels. Fossil energy sources constitute over 77 % of the country 's 
total energy use, and are critical to the nation 's security, economic prosperity and growth. FER&D 
conducts R&D on advanced fossil energy systems, crosscutting fossil energy research, and Carbon 
Capture Utilization and Storage (CCUS) technologies. FER&D also con ducts research related to the 
prudent and sustainable development of domestic oil and gas resources, with a focus on natural gas 
technologies and unconventional resources. Finally, FER&D includes funding for the research, 
operations, and infrastructure of the National Energy Technology Laboratory (NETL).  
 Background and authority  
This program is administered by the Department of Energy 's (DOE) Office of Fossil Energy. 
Legislative authority is derived from:  
Coal Carbon Capture and Sequestration (CSS) and Powe r Systems:  
• P.L. 95-91, "Department of Energy Organization Act ", 1977  
Natural Gas Technologies:  
• P.L. 91 -91, "Department of Energy Organization Act ", 1977  
• P.L.109 -58, "Energy Policy Act of 2005 " 
Unconventional Fossil Energy Technologies:  
• P.L.95 -91, "Department of Energy Organization Act ", 1977  
• P.L. 109 -58, "Energy Policy Act of 2005 " 
National Energy Technology Laboratory (NETL) Infrastructure and Operations/Plant and Capital 
Equipment (formerly Plant and Capital Equipment)  
• P.L. 95 -91, "Department of Energy Organization Act ", 1977  
• P.L. 108 -153, "21st Century Nanotechnology Research and Development Act 2003 " 
• P.L. 109 -58, "Energy Policy Act of 2005 " 
• P.L. 110 -69, "America COMPETES Act of 2007 " 
• P.L. 110 -140, "Energy Independence and Security Act 2007 " 
• P.L. 111 -358, "America COMPETES Act of 2010 " 
NETL Infrastructure and Operations /  Environmental Restoration (formerly Environmental 
Restoration)  
• P.L. 95 -91," Department of Energy Organization Act ", 1977  
• P.L. 108 -153, "21st Century Nanote chnology Research and Development Act 2003 " 
• P.L. 109 -58, "Energy Policy Act of 2005 " 
• P.L. 110 -69, "America COMPETES Act of 2007 " 
• P.L. 111 -358, "America COMPETES Act of 2010 " G/SCM/N/372/USA  
 
- 26 - 
 
Special Recruitment Programs:  
• Public Law 95 -91," Department of Energy Organization Act ", 1977  
• Public Law 108 -153, "21st Century Nanotechnology Research and Development Act 2003 " 
• Public Law 109 -58, "Energy Policy Act of 2005 " 
• Public Law 110 -69, "America COMPETES Act of 2007 " 
• Public Law 111 -358, "America COMPETES Act of 2010 " 
 Form 
Fossil energy funding awarded to private -sector recipients through competitive financial assistance 
opportunities. Private -sector recipients contribute matching funding at 20 -50%, or greater, of the 
Fossil Energy funding levels.  
 To whom and how assistance is provided  
Participation in the program is determined through various competitive procedures, which are open 
to all eligible parties.  
 Amount  
Fiscal  years 201 9 and 20 20 appropriations (approximate dollars in  millions) are as follows:  
 FY 201 9 FY 20 20 
Carbon Capture, Utilization, Storage  & Advanced Energy Systems  $117.6  $ 32.9 
Natural Gas Technologies  $2.5 $2.2 
Unconventional Fossil Energy Technologies  $7.3 $8.0 
 Duration  
The fossil energy research and development program is not subject to any fixed completion date. 
Its continuation is contingent upon ongoing annual appropriations and authorizations by Congress.  
 Trade Effects  
In light of the scope and nature of the R&D acti vities being assisted, it is not possible to determine 
what, if any, trade effects may ever result from this program.  
Title 17 Innovative Technology Loan Guarantee Program  
 Period  covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To further U.S. energy innovation by encouraging early commercial use of new or significantly 
improved technologies in energy projects. Projects supported by loan guarantees will help increase 
affordable, reliable, secure, and cleaner sources of energy for the United States.  
 Background and authority  
The 1703 Loan Guarantee Program is authorized under Title XVII of the Energy Policy Act of  2005 
(Pub L. 109 -58). See the statute codified at 42 USC § 16511 -16516.  
 Form 
Loan guarantees.  G/SCM/N/372/USA  
 
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 To whom and how assistance is provided  
Section 1703 of Title XVII of the Energy Policy Act of  2005 (as amended, the "Act") authorizes DOE 
to provide loan guarantees for renewable energy systems, advanced nuclear facilities, advanced 
fossil technologies, efficient end use energy technologies, and other specified types of projects that 
use advanced technologies in commercial -scale projects that avoid, reduce,  or sequester air 
pollutants or anthropogenic emissions of greenhouse gases.  
 Amount  
Fiscal  years 201 9 and 20 20 appropriations (approximate dollars in  millions) are as follows:  
 FY 20 19 FY 20 20 
Title 17 Innovative Technology Loan Guarantee Program    
 - Administrative Expenses  $32.0   $32.0  
 - Offsetting Collections4 $-21.0 $-3.0 
Actual Loans Obligated  $0 $0 
Actual Appropriated Credit Subsidy Obligated5 $34.0  $0 
Under published regulations for section  1703, DOE may issue guarantees for up to 100 % of the 
amount of a loan, subject to the Act's limitation that DOE may not guarantee a debt instrument for 
more than 80 % of the total cost of an eligible project. Under section  1702 of the Act, as amended, 
the "credit subsidy cost" (a United States government accounting concept) of a guaranteed loan 
may be paid with a combination of appropriated funds (if available) and borrower payments. The 
"credit subsidy costs" of all other section  1703 loan guarantees are e xpected to be paid by the 
borrowers.  
 Duration  
The 1703 Loan Guarantee Program  is not subje ct to any fixed completion date . 
 Trade Effects  
Given that this is a relatively new program and in light of  the activities being assisted, it is not 
possible to determine what, if any, trade effects may ever result from this program.  
Advanced Technology Vehicles Manufacturing Loan Program (ATVM)  
 Period  covered by the notification  
The period covered is fiscal  years 20 19 and 20 20. 
 Policy objective and/or purpose  
The ATVM loan program provides loans to automobile and automobile parts manufacturers for the 
cost of reequipping, expanding, or establishing manufacturing facilities in the United States to 
produce advanc ed technology vehicles or qualified components, and for associated engineering 
integration costs.  
 Background and authority  
The ATVM loan program was established by section  136 of the Energy Independence and Security 
Act of 2007 (Pub L. 110 -140). See the st atute codified at 42 USC § 17013.  
 
4 Offsetting collec tions from fees charged to applicants and borrow ers during the fiscal year. These 
collections are recorded as offsets to spending.  
5 Obligation for modification of a loan originally issued in FY  2011 under the temporary title 
1705 Innovative Technology Loan Guarantee Program.  G/SCM/N/372/USA  
 
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 Form 
Direct loans . 
 To whom and how assistance is provided  
Section 136 of the Energy Independence and Security Act of 2007 established an incentive 
program  – the Advanced Technology Vehicles Manufacturing Loan Program – consisting of direct 
loans to support the development of advanced technology vehicles and associated components in 
the United States. The ATVM loan program supports the President's goal to create green jobs in the 
automotive and component manufacturing indust ries and will help ensure that new advanced 
technology vehicles (ATVs) meet a higher standard (125 % of the 2005 base year CAFE fuel efficiency 
standards) than similarly classed conventional technology vehicles. In fiscal year 2010, section  136 
was amended to include ultra -efficient vehicles within the definition of advanced technology vehicles 
(Pub L. 111 -85). 
 Amount  
Fiscal  years 20 19 and 20 20 appropriations (approximate dollars in  millions) are as follows:  
 FY 201 9 FY 20 20 
Advanced Technology Vehicles Manufacturing Loan Program  – 
Administrative Expenses  $5 $5 
Actual Loans Obligated  $0 $0 
 Duration  
No specified sunset date.  
 Trade Effects  
Given that this is a relatively new program and in light of  the activities being assisted, it is not 
possible to determine what, if any, trade effects may ever result from this program.  
Tribal Energy Loan Guarantee Program (TELGP)  
 Period  covered by the notification  
The period covered is fiscal years 2019 and 2020.  
 Policy objective and/or purpose  
TELGP is a partial loan guarantee program that can guarantee up to $2 billion in loans to support 
economic opportunities to tribes through energy development projects and activities. DOE can 
guarantee up to 90 % of the unpai d principal and interest due on any loan made to a federally 
recognized Indian tribe, Alaska Native Corporation, or Tribal Energy Development Organizations for 
energy development.  
 Background and authority  
TELGP was established by the Energy Policy Act of 2 005 which added section 2602(c) to the 
Energy  Policy Act of 1992 (25 U.S.C. 3502(c)).  
 Form 
Partial loan guarantees.  G/SCM/N/372/USA  
 
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 To whom and how assistance is provided  
TELGP provides loan guarantees to eligible Indian tribes or entities, including Alaska Native village 
or regional corporations, or other financial institutions or tribes meeting certain criteria established 
by DOE. In addition, Tribal Energy Development Organizations that are majority -owned and 
controlled by one or more eligible tribes are also eli gible under TELGP.  
 Amount  
Fiscal years 2019 and 2020 appropriations (approximate dollars in millions) are as follows:  
 FY 201 9 FY 20 20 
Administrative Expenses  $1 $1 
Actual Loans Obligated  $0 $0 
Actual Appropriated Credit Subsidy Obligated  $0 $0 
OTHER ENERGY AND FUELS6 
Expensing of Exploration and Development (E&D) Costs for Oil, Gas and other Fuels  
 Period covered by the notification  
The period covered is fiscal  years 20 19 and 20 20. 
 Policy objective and/or purpose  
To encourage the development of domestic oil, natural gas , and coal resources.  
 Background and authority  
In the case of successful investments in domestic oil and gas wells, intangible drilling costs, such as 
wages, the costs of using machinery for grading and drilling , and the costs of u nsalvageable 
materials used in constructing wells, may be expensed for tax purposes rather than amortized over 
the productive life of the property. Integrated oil companies may currently deduct only 70 % of such 
costs and amortize the remaining 30 % over fiv e years. The same rule applies to the exploration and 
development costs of surface stripping and the construction of shafts and tunnels for other fuel 
minerals. The expensing provision is authorized under sections  263(c), 291, 616 -617, 57(2), and 
1254 of t he Internal Revenue Code of 1986. The expensing of intangible drilling costs was originally 
established in a 1916 Treasury regulation with the rationale that such costs were ordinary operating 
expenses. Limitations on expensing for integrated oil companies  were applied in 1976 and later  
years.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
Fuel mineral producers are permitted accelerated deductions from taxable income.  
 Amount  
The revenue loss was $ 930 million in fiscal year 20 19 and $ 40 million in fiscal year 20 20. 
 
6 The programmes in this section are tax -related, authorized under the U .S. Internal Revenue Code.  G/SCM/N/372/USA  
 
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 Duration  
Indefinite.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Excess of  Percentage over Cost Depletion for Oil, Gas and Other Fuels  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To stimulate the supply of oil and gas, compensate producers for the high risks of prospecting, and 
relieve the tax burdens of small -scale producers.  
 Background and authority  
Independent ( i.e. non-integrated) oil and gas producers and other fuel mineral producers and royalty 
owners are generally required to take  the higher of  percentage depletion deductions or cost depletion 
on limited quanti ties of output for tax purposes. Under cost depletion, outlays are deducted over the 
productive life of the property based on the fraction of the resource extracted. Under  percentage 
depletion , taxpayers deduct a  percentage of gross income from mineral pro duction at rates of 15 % 
for oil, gas , and oil shale, and 10 % for coal. The deduction is limited to 50 % of net income from the 
property, except for oil and gas , where the deduction can be 100 % of net property income.  
Additionally, the  percentage depletion d eduction for all oil and gas properties may not exceed 65 % 
of the taxpayer's overall income and is limited to 365,000  barrels per year per taxpayer. Production 
from geothermal deposits is eligible for  percentage depletion up to 65 % of net income, but with no 
limit on output and no limitation with respect to qualified producers. Unlike depreciation or cost 
depletion,  percentage depletion deductions can exceed the cost of the investment.  
Percentage depletion is authorized under sections 611 -613, 613A, and 291  of the Internal Revenue 
Code.  Percentage depletion for oil and gas goes back to 1918 or before and was extended to coal 
and most other minerals in 1932. The Tax Reduction Act of 1975 eliminated the  percentage depletion 
allowance for major oil and gas comp anies and reduced the rate for independents to 15 % for 1984 
and beyond.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
Independent fuel mineral producers and royalty owners are permitted deductions from taxable 
income for  percentage dep letion.  
 Amount  
The revenue loss was $ 670 million in fiscal year 20 19 and $ 590 million in  fiscal year 20 20. 
 Duration  
Indefinite.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  G/SCM/N/372/USA  
 
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Capital Gains Treatment of Royalties on Coal  
 Period covered by the notification  
The period covered is fiscal  years 20 19 and 20 20. 
 Policy objective and/or purpose  
To encourage the development of the domestic coal industry.  
 Background and authority  
The capit al gains tax treatment is authorized under sections 1231 and 631 of the Internal Revenue 
Code. When the capital gain rate is below the regular tax rate, the owner is not entitled to  percentage 
depletion provided in section 613 of the Internal Revenue Code.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
Sales of certain coal under royalty contracts can be treated as capital gains for tax purposes. Income 
tax rates for individuals on ordinary income ranged from 10 % to 39.6% in 2017 and from 10 % to 
37% in 2018.  Long-term capital gains are taxed at rates up to 20 %. Taxpayers with modified 
adjusted gross income above certain amounts are subject to an additional 3.8 % net investment 
income tax (NIIT) on capital gains.  
 Amount  
The rev enue loss was $1 50 million in fiscal year 201 9 and $ 100 million in fiscal year 20 20. 
 Duration  
Indefinite.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Second Generation Biofuel Credit  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To encourage the substitution of second -generation fuels produced from renewable sources for 
gasoline.  
 Background and authority  
The tax cred it for alcohol used as a fuel expired 31 December 2011 with the exception of the credit 
for cellulosic biofuel production. The credit was enacted as part of the Food, Conservation, and 
Energy Act of 2008. The named credit was scheduled for termination on 3 1 December 2012. When 
established, the credit was coordinated with the alcohol fuel credit in section 6426(b). The credit 
was extended through calendar year 2013 by the American Taxpayer Relief Act of 2012. This Act 
also changed "cellulosic" to "second gen eration" and added algae -based fuels to the qualifying 
second -generation fuels. The Tax Increase Prevention Act of 2014 retroactively extended the credits G/SCM/N/372/USA  
 
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for calendar year 2014.  This credit was again extended through 31 December 2016, by section 184 
of P.L. 114 -113, and retroactively extended through 31 December 2017 by section 40406 of the 
Bipartisan Budget Act of 2018. It was extended through 31 December 2020 by the 
Further  Consolidated Appropriations Act of 2020, and through 31 December 2021 by the 
Consolidated Appropriations Act of 2021.  
The second -generation biofuel credit is authorized by section 40 of the Internal Revenue Code. This 
non-refundable income  tax credit is equal to $1.01 for each gallon of qualified second -generation 
biofuel produced in a  taxable year. The credit is included in a taxpayer's income. Second generation 
biofuel includes any liquid fuel that (1) is produced in the United States and used as a fuel in the 
United States, (2) is derived from fibre -based sources (lignocellulosic or hemicellulosic matter) 
available on a renewable or recurring basis or from cultivated algae or related microorganisms, and 
(3) meets the registration requirements for fuels and fuel additives established by the Environmental 
Protection Agency under section  211 of the Clean Air Act . 
 Form 
Income tax concession.  
 To whom and how assistance is provided  
The credit reduces the income tax liability of qualifying producers.  
 Amount  
The revenue loss in fiscal  years 201 9 and 20 20 is unknown because detailed income tax data are 
not yet available. Production estimates from non -tax sources indicate that production of qualifying 
fuels was too low to generate significant tax credit amounts.  
 Duration  
The tax credit expire s 31 December 2021. 
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Biodiesel and Renewable Diesel Credit  
 Period covered by the notification  
The period covered is fiscal  years 20 19 and 20 20. 
 Policy objective and/or purpose  
To encourage the substitution of biodiesel and renewable diesel for diesel fuel.  
 Background and authority  
There is a tax credit for biodiesel or renewable diesel used as a fuel. This credit is equal to $1.00  per 
gallon for biodiesel (including agri -biodiesel) . In addition, small producers of biodiesel are eligible 
for a 10 cent per gallon income tax credit. The credit is included in a taxpayer's income.  
The biodiesel and renewable diesel credits are authorized by sections 38, 40A, 6426, and 6427 of 
the Interna l Revenue Code. The biodiesel credit was enacted as part of the American Jobs Creation 
Act of 2004. The renewable diesel credit was enacted and the biodiesel credit was extended as part 
of the Energy Policy Act of 2005. The Emergency Stabilization Act of 2 008 increased the credit for 
recycled biodiesel from $0.50 per gallon to $1.00 per gallon and extended the credits through 
31 December  2009. The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act 
of 2010 extended the biodiesel and Ren ewable Diesel credits through 2011. The American Taxpayer 
Relief Act of 2012 retroactively extended the credit for calendar year 2012 and through 2013. The G/SCM/N/372/USA  
 
- 33 - 
 
Tax Increase Prevention Act of 2014 retroactively extended the credits for calendar year  2014. The 
credit was again extended, both retroactively and for one year forward, in the Tax Relief Extension 
Act of 2015 , and retroactively for 2017 by the Bipartisan Budget Act of 2018. The credit was 
extended through 31 December 2022 by the Further Consolidated Ap propriations Act of 2020.  
 Form 
Income tax concession, excise tax concession, or direct payment for fuels containing biodiesel.  
 To whom and how assistance is provided  
The small biodiesel producer credit reduces the income tax liability of qualifying produce rs. All other 
credits reduce federal income or excise tax of, or result in a direct payment to, qualifying producers, 
blenders, or users.  
 Amount  
The revenue loss was $ 2,130 million in fiscal year 201 9 and $ 5,120  million in fiscal year 20 20. 
 Duration  
The cr edit expire s 31 December 20 22. 
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
 Alternative Fuel Mixture Credit  
 Period covered by the notification  
The period covered is fiscal  years 2019 and 20 20. 
 Policy objective and/or purpose  
To encourage the substitution of alternative fuels for gasoline and diesel fuel.  
 Background and authority  
An excise tax credit is available for alternative fuels including liquefied petroleum gas, P Series fue ls, 
compressed or liquefied natural gas, liquefied hydrogen, liquefied fuel derived from coal through the 
Fischer -Tropsch process, compressed or liquefied gas derived from biomass, or liquid fuel derived 
from biomass. For coal -to-liquids produced after 30 September 2009 through 30  December  2009, 
the fuel must be certified as having been derived from coal produced at a gasification facility that 
sequesters 50 % of such facility's total carbon dioxide emissions. The sequestration  percentage 
increases to 75 % for fuel produced after 30 December 2009. The alternative fuel credit is 50  cents 
per gallon of alternative fuel or gasoline gallon equivalents. The excise tax credit was enacted as 
part of the Safe, Accountable, Flexible, Efficient Transportation Act of 200 5. The Tax Relief, 
Unemployment Insurance Reauthorization, and Job Creation Act of 2010 extended the alternative 
fuel credit through 2011 and eliminated the credit for any fuel (including lignin wood residues, or 
spent pulping liquors) derived from the pro duction of paper or pulp (black liquor). The 
American  Taxpayer Relief Act of 2012 retroactively extended the credit for calendar year 2012 and 
through 2013. The Tax Increase Prevention Act of 2014 retroactively extended the credits for 
calendar year 2014. The credit is authorized in sections 6426 and 6427(e) of the Internal Revenue 
Code. The credit was again extended, both retroactively and for one year forward, in the Tax Relief 
Extension Act of 2015 , and retroactively for one year (2017) by the Bipartisan  Budget Act of 2018. 
It was also extended through 2020 by the Further Consolidated Appropriations Act of 2020 and 
through 2021 by the Consolidated Appropriations Act of 2021.  G/SCM/N/372/USA  
 
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 Form 
Excise tax concession or direct payment for fuels containing an alternative fuel mixture.  
 To whom and how assistance is provided  
The credit reduces the excise tax of, or results in direct payment to, qualifying producers, blenders, 
or users.  
 Amount  
The revenue loss was $ 500 million in fiscal year 201 9 and $ 550 million in fiscal ye ar 20 20. 
 Duration  
The tax credit expire s on 31 December 20 21. 
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Credits for Investment in Advanced Coal Facilities and Advanced Gasification 
Facilities  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To encourage the development of advanced technology facilities for generating electricity from coal 
and synthesis gas.  
 Background and authority  
Under the first round of credit allocations, taxpayers are allowed investment credits of 20 % for 
investments in integrated gasification combined cycle (IGCC) facilities and gasification facilities and 
15% for investments in other a dvance d coal facilities. The credit is subject to a national limitation 
of $800  million for the IGCC credit, $500  million for other advanced coal facilities, and $350  million 
for gasification facilities. The credit was adopted as part of the Energy Policy Act of 2005. This 
provision is authorized in sections 48A and 48B of the Internal Revenue Code.  
Under the second round of credit allocations, the credit rate is increased to 30 % for new IGCC and 
other advanced coal projects. An additional $1.25 billion of credits can be allocated to qualifying 
projects. Under the second round of credit allocations, qualifying projects must include equipment 
which separates and sequesters at least  65% of the project's total carbon dioxide emissions. Under 
the second round of credit allocations, the gasification project credit is increased to 30 %. An 
additional $250  million of credits can be allocated to qualified projects that separate and sequeste r 
at least 75 % of carbon dioxide emissions. The credit was adopted as part of the 
Emergency  Stabilization Act of 2008. This provision is authorized in sections 48A and 48B of the 
Internal Revenue Code.  
 Form 
Income tax concession.  
 To whom and how assistance  is provided  
The credit reduces federal income taxes for taxpayers investing in qualified facilities.  G/SCM/N/372/USA  
 
- 35 - 
 
 Amount  
The revenue loss was $ 20 million in fiscal year 201 9 and $ 30 million in fiscal year 20 20. 
 Duration  
The tax credit applies to investments after 8 Au gust 2005.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Advanced Energy Property Credit  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objec tive and/or purpose  
To stimulate economic growth, create jobs, and reduce greenhouse gas emissions by supporting 
investments in green energy manufacturing.  
 Background and authority  
A 30% credit is available for investment in qualified property used in a qu alified advanced energy 
manufacturing project. A qualified advanced energy project is a project that re -equips, expands, or 
establishes a manufacturing facility for production: (1) property designed to be used to produce 
energy from renewable resources; (2 ) fuel cells, microturbines, or an energy storage system for use 
with electric or hybrid -electric vehicles; (3) electric grids to support the transmission of intermittent 
sources of renewable energy; (4) property designed to capture and sequester carbon di oxide; 
(5) property designed to refine or blend renewable fuels or to produce energy conservation 
technologies; (6) qualified plug -in electric drive motor vehicles, qualified plug -in electric vehicles, or 
components which are designed specifically for use with such vehicles; and (7) other advanced 
energy property designed to reduce greenhouse gas emissions. Up to $2.3  billion in credits may be 
allocated.  
The credit was adopted as part of the American Recovery and Reinvestment Act of 2009 and is 
authorized i n section 48C of the Internal Revenue Code.  
 To whom and how assistance is provided  
The credit reduces federal income taxes for taxpayers investing in qualified projects.  
 Amount  
The revenue loss was $ 10 million in fiscal year 201 9 and $ 10 million  in fiscal year 20 20. 
 Duration  
There is a 1 -year period from the time of acceptance for the taxpayer to satisfy the requirements 
for certification, and then a 3 -year period from the time of certification to place the property in 
service.  The placed -in-service deadline for most projects is 2017.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  G/SCM/N/372/USA  
 
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Two-year Amortization of Geological and Geophysical Expenditures  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To encourage oil and gas exploration.  
 Background and authority  
Taxpayers are allowed to amortize costs incurred in exploring for oil and gas. For costs incurred 
in 2006, amortization was permitted over two  years for both integrated and non -integrated oil 
companies. For costs incurred after 2006 and before 20 December 2007, amortization was permitted 
over five  years for integrated oil companies. For costs incurred after 19  December  2007, 
amortization is permitted over seven  years for integrated oil companies. The amortization deduction 
was adopted as part of the Energy Policy Act of 2005. The amortization period was increased by the 
Tax Increase Prevention and Recon ciliation Act of 2005 and the Energy Independence and Security 
Act of 2007. This provision is authorized in section 167(h) of the Internal Revenue Code.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
The credit reduces federal income ta xes for taxpayers that incur costs in exploring for oil and gas.  
 Amount  
The revenue loss was $ 230 million in fiscal year 201 9 and $ 80 million in fiscal year 20 20. 
 Duration  
Amortization is available for costs incurred in tax  years beginning after 8 August 2 005. 
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Energy Production Credit  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or p urpose  
To encourage the development of clean or renewable electricity  and to encourage production of 
refined coal and Indian coal . 
 Background and authority  
Taxpayers are provided a temporary income tax credit for the production of electricity from qualified 
resources at qualified facilities as amended by the Consolidated Appropriations Act, 2016, the 
Bipartisan Budget Act of 2018, and the Consolidated Appropr iations Act of 2021.  Qualifying facilities 
include wind facilities, open -loop biomass facilities, closed -loop biomass facilities, geothermal 
facilities, land -fill gas facilities, trash combustion facilities, qualified hydro power facilities and marine 
and hydrokinetic facilities.  The credit for electricity from a renewable energy sources and refined G/SCM/N/372/USA  
 
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coal can be claimed over a 10 -year period.  The temporary credit is also allowed with respect to 
Indian coal.  This provision is authorized by section 45 of the Internal Revenue Code.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
The credit reduces federal income taxes for taxpayers  producing renewable electricity from qualified 
sources or taxpayers producing Indian coal and certain types of refined coal.  
 Amount  
The revenue loss was $ 4,230  million in fiscal year 201 9 and $ 5,020  million in fiscal year 20 20. 
 Duration  
The provision applies to renewable energy facilities for which construction began before the end of 
2021. The provision a pplies to eligible wind facilities  that begin construction before the end of 20 21, 
with the tax credit phasing out for facilities  that begin construction after 31 December 2016.  Refined 
coal facilities must be placed in service after October 22, 2004 and b efore January 1, 2012.  The 
Indian coal credit applies to coal produced and sold during the 16 -year period beginning on 
January  1, 2006 (through 2021).  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Energy Investment Credit  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To encourage the development of clean or renewable electricity.  
 Background and authority  
Taxpayers are provided a tax credit for solar property, geothermal property, qualified fuel cell power 
plants, stationary microturbine power plants, geothermal heat pumps, small wind property, offshore 
wind property, waste energy recovery property, and com bined heat and power property as amended 
by the Consolidated Appropriations Act, 2016, the Bipartisan Budget Act of 2018, and the 
Consolidated Appropriations Act of 2021 . Wind facilities eligible for the energy production credit may 
elect to take an invest ment credit in lieu of the production tax credit.  This provision is authorized by 
section 48 of the Internal Revenue Code.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
The credit reduces federal income taxes for taxpayers  investing in  qualifying energy property.  
 Amount  
The revenue loss was $ 3,710  million in fiscal year 201 9 and $ 6,070  million in fiscal year 20 20. G/SCM/N/372/USA  
 
- 38 - 
 
 Duration  
For geothermal energy property, a 10 % investment credit is available.  For solar energy property, 
the investment credit percentage is 30 % if construction of the property begins before 2020; 26 % if 
construction begins during 2020 -2022; 22 % if construction begins during 2023.  If constructions 
begins before 2022 and is not placed in service before 2026, the c redit is 10 %. For solar energy 
property, the investment credit is 10 % if construction of the property begins after 2023.  An 
investment credit is available for fiber optic solar equipment, thermal energy property, qualified fuel 
cell property, qualified microturbine property, waste energy recovery property, offshore wind 
property, combined heat and power system property, and small wind property, if construction begins 
before 1, January 2022.  The investment credit for fiber -optic solar, qualified  fuel cell, waste energy 
recovery property, and qualified small wind energy property is phased down if construction begins 
after 2019.  Wind facilities may elect the investment credit if the construction of the facility begins 
before 1 January 2022.  The inv estment credit for onshore wind facilities phases down in the case of 
any facility which begins construction after 31 December 2016. A 30 % credit is available for offshore 
wind property if construction begins after 2016 and before 2026.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Energy Grant in Lieu of the Energy Production Credit or the Energy Investment Credit  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To encourage the development of clean or renewable electricity.  
 Background and authority  
Section 1603 of the American Recovery and Reinvestment Act of 2009 authorized the 
U.S. Department of the Treasury to make pa yments to eligible persons who place in service specified 
energy property during 2009, 2010, or 2011, or after 2011 if construction began on the property 
during 2009 -2011 and the property is placed in service by the credit termination date. The Grant is 
in lieu of the Energy Production Credit or Energy Investment Credit. The Grant was intended to 
encourage the growth of clean energy projects during and after the 2008 economic downturn when 
investment capital for these projects was not as readily available.  
 Form 
Direct payment.  
 To whom and how assistance is provided.  
The direct payment is available to businesses that invest in qualified renewable energy projects.  
 Amount  
The revenue loss was $ 0 million in fiscal year 201 9 and fiscal year 20 20. 
 Duration  
The provision applies to projects on which construction began before the end of 2011.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  G/SCM/N/372/USA  
 
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Credit for Holding New Clean Renewable Energy Bonds  
 Period  covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
The purpose of New Clean Renewable Energy Bonds (CREBs) is to provide governmental bodies and 
mutual or cooperative electric companies access to interest -subsidized borrowing for renewable 
energy facilities.  The subsidy is for 70 % of the tax credit interest rate.  The facilities qualifying for 
CREB financing include wind, geothermal, biomass, solar, landfill gas, trash combustion, refined coal 
production , and hydropower . 
 Background and authority  
Section 1303 of the Energy Tax Incentives Act of 2005 authorized the issuance of CREBs and 
provided a national volume cap of $800 million to finance eligible clean renewable energy projects.  
Legislation in subsequent years increased the volume cap to $2.4 billion, with this volume cap being 
equally allocated between qualified projects owned by public power providers, governmental bodies, 
and cooperative electric companies . 
 Form 
Incom e tax concession  to bondholders or a direct payment to bond issuers . 
 To whom and how assistance is provided  
Assistance is provided to (1) public power providers, (2) cooperative electric companies, 
(3) governmental bodies, (4) CREB lenders, or (5) not -for-profit electric utilities that have received 
a loan or a loan guarantee under the Rural Electrification Act.  Applicants apply for an allocation of 
CREB volume cap and are required to issue bonds within three years or the authority reverts to the 
Treasury, at which point it is re -allocated.  $1.4 billion of volume cap remained available in 2015. As 
of 1 May 2017, $166 million of volume cap was available for projects owned by governmental bodies 
while $179 million of volume cap was available for projects to be  owned by cooperative electric 
companies.  
CREB bondholders receive federal tax credits in lieu of interest payments though under a 2010 law. 
Issuers may elect to receive a direct payment from the federal government equal to the size of the 
tax credit the i nvestor would receive.  
 Amount  
The revenue loss was $ 120 million in fiscal year 201 9 and $ 100 million in fiscal year 20 20. 
 Duration  
The quantity of bonds that may be issued is capped.  If the bonds are not issued within 3 years, the 
authority reverts back to  the Internal Revenue Service.  The credit is available for eligible bonds for 
the term of the bond, approximately 15 to 17 years.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Credit for  Holding Qualified Energy Conservation Bonds  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. G/SCM/N/372/USA  
 
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 Policy objective and/or purpose  
The purpose of Qualified Energy Conservation Bonds (QECBs) is to provide governmental entities , 
including tribal governments, access to interest -subsidized borrowing for energy conservation 
projects.  The subsidy is for 70 % of the tax credit interest rate.  Conservation project s include, but 
are not limited to, renewable energy generation, energy conservation in public buildings, green 
community program, research and development, and demonstration projects.  Projects may be 
privately owned . 
 Background and authority  
Section 301(a) of Tax Extenders and Alternative Minimum Tax Relief Act of 2008 authorized the 
issuance of qualified energy conservation bonds and provided a national volume cap of $0.8  billion.  
The American Recovery and Reinvestment Act of 2009 expanded the total QECB vo lume cap to 
$3.2 billion  to finance eligible clean renewable energy projects . 
 Form 
Income tax concession  to bondholders or a direct payment to bond issuers or direct payment . 
 To whom and how assistance is provided  
Assistance is provided to state and local government . The  national volume cap was allocated in 
2009, with unused QECB volume cap carried forward indefinitely.  QECBs are not subject to a 
U.S. Department of the Treasury application and approval process but instead the bond volume was 
allocated  to each state based on the state's percentage of population as of 1 July 2008.  Allocated 
volume cap remains to be issued.  
QECB bondholders receive federal tax credits in lieu of interest payments under a 2010 law.  Issuers 
may elect to receive a direct payment from the federal government equal to the size of the tax credit 
the investor would receive.  
 Amount  
The revenue loss was $ 70 million in fiscal year 201 9 and $ 60 million in fiscal year 2020.  
 Duration  
The quantity of bonds that may be issued is  capped.  This cap was allocated to the states and local 
governments and is available indefinitely until the bonds are issued.  The credit is available for eligible 
bonds for the term of the bond, approximately 15 to 17 years.  
 Trade Effects  
It is not possibl e to estimate what, if any, trade effects may result from the use of this provision.  
Carbon Oxide Sequestration Credit  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
The purpose of the c arbon oxide sequestration credit is to provide an incentive for the secure 
geological storage of qualified carbon oxide.  G/SCM/N/372/USA  
 
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 Background and authority  
Taxpayers may claim a tax credit for the capture and transport of carbon dioxide from an industrial 
source for  use in enhanced oil recovery or for permanent storage in a geologic formation.  For capture 
equipment placed in service before 9 February 2018 the credit was $20 per metric ton of qualified 
carbon dioxide that is captured by the taxpayer at a qualified fac ility and disposed of in secure 
geological storage.  The credit is $10 per metric ton of qualified carbon dioxide that is captured by 
the taxpayer at a qualified facility, used as a tertiary injectant in a qualified enhanced oil or natural 
gas recovery proj ect and disposed of in secure geologic storage.  The credit was adjusted annually 
for inflation.  The credit applied with respect to qualified carbon dioxide before the end of the calendar 
year in which 75 million metric tons of qualified carbon dioxide had been captured or disposed of or 
used as a tertiary injectant.  This credit was authorized in section 45Q of the Internal Revenue Code 
by the Emergency Economic Stabilization Act of 2008.  
As amended by the Bipartisan Budget Act of 2018, taxpayers may claim a  credit over a 12 -year 
period for the capture of carbon oxide  for eligible carbon capture equipment originally place in service 
on or after 9 February 2018 and before 1 January 2024.  The credit is $12.83 per metric ton in 2017 
and increases annually to $35  per metric ton in 2026 for carbon oxide that is captured by the 
taxpayer at a qualified facility, used as a tertiary injectant in a qualified enhanced oil or natural gas 
recovery project and disposed of in a secure geologic storage.  The credit is $22.66 p er metric ton in 
2017 and increases annually to $50 per metric ton in 2026 for carbon oxide that is captured by the 
taxpayer at a qualified facility and disposed of in secure geological storage.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
The credit reduces federal income taxes for taxpayers  sequestering qualifying carbon oxide in 
permanent storage.  
 Amount  
The revenue loss was $ 70 million in fiscal year 201 9 and $ 14 million in fiscal year 20 20. 
 Duration  
This credit was authorized in section 45Q of the Internal Revenue Code by the Emergency Economic 
Stabilization Act of 2008.  As amended by the Bipartisan Budget Act of 2018, Taxpayers may claim 
a credit over a 12 -year period for the capture of carbon oxide  for eligible carbon capture equipment 
originally placed in service on or after 9 February 2018 and before 1 January 2024.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Enhanced Oil Recovery ( EOR) Credit  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To increase the domestic supply of oil and to enhance the energy security of the United  States.  G/SCM/N/372/USA  
 
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 Background and authority  
An EOR  tax credit is provided equal to 15 % of the taxpayer's costs for tertiary oil recovery on projects 
in the United States.  The EOR credit is rateably  reduced over a $6 phase -out range when the 
reference price for domestic crude oil exceeds $28 per barrel (ad justed for inflation after 1991).  
Qualifying costs include tertiary injectant expenses, intangible drilling and development costs on a 
qualified enhanced oil recovery project, and amounts incurred for tangible depreciable property.  
Thus, this credit encour ages use of tertiary methods in situations where it would not be profitable 
otherwise.  The EOR credit may not exceed taxpayer's net income tax in excess of 25 % of net regular 
tax liability above $25,000 or the tentative minimum tax.  The EOR tax credit is authorized under 
section 43 of the Code and was enacted as part of the Omnibus Budget and Reconciliation Act of 
1990.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
Petroleum producers and royalty holders applying approved ter tiary petroleum recovery methods 
receive a credit against federal income tax.  
 Amount  
The revenue loss was $ 510 million in fiscal year 201 9 and $ 470 million in fiscal year 20 20. 
 Duration  
Indefinite . 
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Deduction for Tertiary Injectants  
 Period covered by the notification  
The period covered is fiscal  years 20 19 and 20 20. 
 Policy objective and/or purpose  
To encourage the development of domestic oi l resources.  
 Background and authority  
Taxpayers engaged in petroleum extraction activities may generally deduct qualified tertiary 
injectant expenses used while applying a tertiary recovery method, including carbon dioxide 
augmented water flooding and immi scible carbon dioxide displacement.  The tax credit was enacted 
as part of the Crude Oil Windfall Profit Tax of 1980.  The credit is authorized in section 193 of the 
Internal Revenue Code.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
Oil producers are permitted accelerated deductions from taxable income.  G/SCM/N/372/USA  
 
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 Amount  
The revenue loss was less than $10 million annually in 201 9 and 20 20. 
 Duration  
Indefinite.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from  the use of this provision.  
FISHERIES  
Columbia River Fishery Development Program (Mitchell Act)  
 Period covered by the notification  
The period covered is fiscal year s 2019 and 2020. 
 Policy objective and/or purpose  
The Mitchell Act (16 USC  755-757; 52 Stat. 345) authorizes the Secretary of Commerce to carry on 
activities for the conservation of fishery resources in the Columbia River Basin.  The Mitchell Act 
specifically directs the establishment of salmon hatcheries, the conduct of engineer ing and biological 
surveys and experiments, and the installation of fish protective devices.  It also authorizes 
agreements with state fishery agencies and construction of facilities on state -owned lands.  The major 
objective of this program has traditionall y been to mitigate the negative effects of lost salmon habitat 
caused primarily by the building of dams for hydroelectric power, irrigation projects, and flood 
control, and also by other land -use factors, such as agriculture, logging, and urban development . 
With the listing of many of the Columbia River Basin salmon and steelhead populations under the 
Endangered Species Act, substantial changes have been and will continue to be required of the 
Mitchell Act Program.  The Mitchell Act final environmental impac t statement (EIS) was finalized in 
September 2014 and now provides a basis to inform the policy direction for distribution of annual 
Mitchell Act hatchery funding. As of January 2017, NMFS issued a record of decision (ROD) and a 
final biological opinion on  NMFS continued funding of Mitchell Act hatchery programs.  
 Background and authority  
The Columbia River Fishery Development Program was authorized by the Mitchell Act (Public 
Law 75-502, May 11, 1938).  It has evolved into a program which funds significant p rojects in the 
Columbia River, including U.S. Fish and Wildlife Service (USFWS) hatcheries and monitoring; state 
agencies, including Washington Dept. of Fish and Wildlife (WDFW) and Oregon Dept. of Fish and 
Wildlife (ODFW) hatcheries and monitoring; tribal  hatcheries and monitoring, including the 
Confederated Tribes and Bands of the Yakima Nation (YN) and the Nez Perce Tribe (NPT); irrigation 
screens, including Idaho Dept. of Fish and Game (IDFG) and fishways (IDFG and YN).  The program 
has received federal appropriations since  1947, and is funded by general appropriations legislation.  
 Form 
The United States Government provides operating grants to Columbia River Fisheries Development 
Program salmon hatcheries run by the ODFW, the WDFW, the YN, and has an ongo ing memorandum 
of understanding (MOU) with the USFWS.  In addition, the program funds grants for irrigation screens 
and fishway operations by IDFG and YN, and funds monitoring, evaluation, and reform (MER) 
projects conducted by ODFW, WDFW, USFWS, and the NP T. G/SCM/N/372/USA  
 
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 To whom and how assistance is provided  
The funds are provided to the ODFW, the WDFW, the IDFG, the YN and the NPT through 
non-competitive, multi -year grants.  Funds are also provided to the USFWS through an 
intergovernmental MOU.  
 Amount  
In fiscal year 20 19, the final Mitchell Act program funding to the project -operating agencies, inclusive 
of hatchery operation and maintenance, MER and screening and passage projects  increased slightly 
through a shifting of some spending priorities within the program. The 2018 Mitchell Act funding 
level was $16,248,319 and in 2019 the funding level was $16,251,277. In fiscal year 20 20, the 
funding increased, through higher Congressional appropriation with a final allocation of $ 17,310,648 . 
These grants/MOU funded the operat ion and maintenance of hatchery programs in Oregon and 
Washington states (all operators); funded necessary MER projects for Mitchell Act funded hatchery 
operations in Washington, Oregon and Idaho states; and funded screening and passage projects in 
the sta tes of Washington and Idaho.  
 Duration  
Indefinite.  
 Trade effects  
The basic purpose of salmon hatcheries is to mitigate habitat and other losses associated with other 
federally -supported activities, to restore depleted salmon resources, and help to recover l isted 
salmon and steelhead.  The contribution of Columbia River hatchery -reared fish to the commercial 
harvests in waters off Washington, Oregon, and California and off Alaska varies from year to year 
given natural variability but the Mitchell Act funded ha tcheries contribute substantially to the 
economic value of the commercial (tribal and non -tribal) and recreational fishery in general. It is 
generally accepted that Mitchell Act funded hatchery production has no discernible trade effect.  
Fisheries  Finance Program (FFP)  
 Period covered by the notification  
The period covered is fiscal year s 2017 and 2018.  
 Policy objective and/or purpose  
The purpose of FFP is to provide fixed -rate financing with a term , not to exceed 25 years,  equal to 
the estimated useful life of the equipment financed. The predecessor program, which operated from 
1972 through 1996, provided government -backed loan guarantees to the U.S.  commercial fishing 
sector for the construction, reconstruction, replacemen t and, under certain circumstances, the 
purchase of fishing vessels. Since 1991, the program has been barred by NOAA policy and 
Congressional directives from financing any project that could be construed to lead to 
overcapitalization of any fishery. In 199 6, the program's regulations were amended to reflect this 
change in policy.  
In 1996, the name of the program became the Fisheries Finance Program and direct loans began to 
be provided.  Over time, FFP lending authority was extended to include aquaculture, I ndividual 
Fishing Quota (IFQ) purchases and harvesting rights in federally managed limited access systems.  
 Background and authority  
Background is provided above. The statutory authority for FFP is Title  XI of the Merchant Marine Act, 
1936, as amended and now recodified at 46 U.S.C. 53701, et seq. This program is administered by 
the National Marine Fisheries Service (NMFS).  G/SCM/N/372/USA  
 
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 Form 
The FFP program provides direct loans to the fishing and aquaculture industrie s. It is important to 
note that t he interest rates charged on FFP loans are two percentage points above comparable 
maturity U.S. Treasury bond yields as of the date of the loan closing. The loans are fully collateralized 
by fisheries and other type assets.  
 To whom and how assistance is provided  
Under the FFP, loans are provided directly to individuals or business enterprises that have qualified 
projects.  
 Amount  
In light of the many loans currently outstanding, and variations in amortization schedules and 
interest rates, the calculation of any subsidy amount, and especially the subsidy per unit, is not 
readily attainable. It must be noted,  however, that due to the close examination of applicants ' 
creditworthiness, the relatively high interest rates charged , as noted above,  and the low default rate, 
FFP is a self -financing program. In addition, FFP charges application fees, frequently requires 
guarantees and secondary collateral and forecloses loan collateral. All of these factors have resulted 
in no net outflo w of government funds.  
Below is a table showing the total amount of loans that have been authorized in the relevant period. 
(If this program provided a subsidy, the benefit would be based on the differen ce between the 
interest rate charged under the progra m and the amount the firm would pay on a comparable 
commercial loan.)  
TYPE OF LOAN  FY19  FY20  
Traditional (in millions)  $16 $85 
Halibut/Sablefish IFQ (in millions)  $2 $7 
 Duration  
Indefinite.  
 Trade effects  
Since 1991,  the FFP has been barred by NOAA policy, program regulations and/or Congressional 
directives from financing any project that could be construed to lead to increased harvesting capacity 
of any fishery. Because of this policy, and because any subsidy benefit  that might be attributable to 
this program is small or non -existent, the trade effects from this program are likely to be minimal, 
if any.  
Saltonstall -Kennedy (S -K) Research and Development Program Annual Grant 
Competit ion: Fisheries Research And Developm ent 
 Period covered by the notification  
The period covered is fiscal years 2019 and 2020. 
 Policy objective and/or purpose  
This program uses funds derived from duties collected on fishery imports to fund direct industry 
assistance grants to develop U.S. fisheries by assisting persons in carrying out research and 
development projects to include, but not limited to the areas of harvesting, marketing and 
processing.  G/SCM/N/372/USA  
 
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 Background and authority  
The legislative authority for this program goes back to the Saltonstall -Kennedy Act of  1954. 
However, the current grant program was established by the American Fisheries Promotion Act 
of 1980, which amended the Saltonstall -Kennedy Act (15 U.S.C. 713c -3(c)). The National Marine 
Fisheries Service administers the program.  
 Form 
Grants are awarded annually on a competitive basis.  
 To whom and how assistance is provided  
This program is open to: citizens or nationals of the United States, citizens of the Northern M ariana 
Islands (NMI), Republic of the Marshall Islands, Republic of Palau, or the Federated States of 
Micronesia, corporations, partnerships, associations, or other non -Federal entities, non -profit or 
otherwise (including Native American tribes) within the  meaning of section 2 of the Shipping Act 
of 1916, as amended. Federal employees and Fishery Management Councils and their employees 
are ineligible. Projects are selected for funding through a competition/call for proposals.  
 Amount  
The S -K Grant Competitio n funds approximately $10 million in research and development projects 
through approximately 40 grant awards annually.  
 Duration  
Indefinite.  
 Trade effects  
While the intent of the S -K Act is to promote U.S. seafood production, the trade effects , if any, of 
this program are negligible, due to the program's emphasis on product quality/safety and promotion 
of progress toward sustainable fisheries. Moreover, much of the results of research conducted with 
Saltonstall -Kennedy funds are in the public domain.  
Capital  Construction Fund (CCF)  
 Period covered by the notification  
The period covered is fiscal year 201 9. We have also provided preliminary information for 20 20.7 
Certain information from previous years is also provided.  
 Policy objective and/or purpose  
The purpose of the National Marine Fisheries Service (NMFS) CCF is to facilitate investments in 
commercial fishing vessels.  
 Background and authority  
The legislative provisions governing the CCF are contained in 46 U.S.C. 535. The CCF program is 
jointly adminis tered with the Internal Revenue Service (IRS).  
 Form 
The benefit from the CCF program is provided in the time value of money savings derived from 
deferring tax on federal fishing income.  Eligible clients can defer from taxation up to 100 % of their 
net taxab le income from fishing operations and/or 100 % of the sale or insurance proceeds on vessel 
 
7 Final information for 2020 is expected towards the end of this year. After the final information is 
received, a revised benefit calculation will be submitted, if needed.  G/SCM/N/372/USA  
 
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disposition, and deposit such funds into a CCF account.  In addition, recipients can defer paying tax 
on account earnings (interest, dividends, and capital gains).  Withdrawal from a CCF account can be 
used for the purchase or renovation of fishing vessels.  It must also be noted that t he "tax basis " 
(i.e., the total value of the vessel that can be depreciated over its useful life) of the purchased or 
renovated vessel mus t be reduced by the amount of any CCF withdrawal which represents an amount 
previously excluded or deducted from taxable income.  This aspect of the program lowers the amount 
of depreciation expenses the taxpayer can claim over the life of the vessel purcha sed and makes the 
essential program benefit a deferral, rather than the exemption of taxes.  
 To whom and how assistance is provided  
The CCF program is available to the U.S. commercial fishing industry.  
 Amount  
Based on historical data for the CCF program, total annual deposits in CCF accounts during the last 
decade have ranged from a low of $30.8 million (2014) to a high of $80.5 million (2011), and, in 
the last ten years, averaged $5 1.7 million annually.  Of course, funds are also constantly being 
withdrawn, at the discretion of the account holder s, subject limitations noted below.  
The estimated subsidy benefit is $2.5 million for 201 9. This calculation does not take into account 
the required reduction of the tax basis.  
 Duration  
Funds deposited in C CF accounts must be withdrawn within 25 years of the deposit. Funds must be 
withdrawn for a qualified project at least once every 10 years or the CCF agreement can be 
terminated.  The duration of the program itself is indefinite.  
 Trade effects  
It is not pos sible to estimate what, if any, trade effects may result from the use of this program.  
Bycatch  Reduction Engineering Program (BREP)  
 Period covered by the notification  
The period covered is fiscal year s 2019 and 2020. 
 Policy objective and/or purpose  
This grant program provides competitive grants to non -Federal researchers, including academics 
and fishermen, working to benefit U.S. fishermen and fisheries by the development of improved 
fishing practices and innovative gear technologies.  The Magnuson -Stevens Fishery Conservation and 
Management Act (MSA) requires that NOAA 's conservation and management measures minimize 
bycatch to the extent practicable and established the BREP (16 U.S.C. 1865) to support the 
development of technological devices and other  conservation engineering changes to minimize 
bycatch and reduce post -release mortality of non -target species in U.S. fisheries.  This Program seeks 
to support the development and testing of fishing gear and approaches that can be applied in 
commercial and recreational fisheries to reduce bycatch and post -release mortality and address the 
MSA requirements to minimize bycatch and habitat impacts.  
 Background and authority  
The MSA (16 U.S.C. 1865) requires the Secretary of Commerce (Secretary), in cooperation w ith the 
Regional Fishery Management Councils and other affected interests, and based upon the best 
scientific information available, to establish a BREP, including grants, to develop technological 
devices and other conservation engineering changes designed  to minimize bycatch, seabird 
interactions, bycatch mortality and post -release mortality in federally managed fisheries.  G/SCM/N/372/USA  
 
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 Form 
Grants are awarded annually on a competitive basis.  
 To whom and how assistance is provided  
Eligible applicants are individuals, in stitutions of higher education, other non -profits, for -profit 
organizations, foreign public entities or foreign organizations, and state, local and Indian tribal 
governments.  Federal agencies or instrumentalities are not eligible to receive Federal assista nce 
under this program.  
 Amount  
NOAA Fisheries issues approximately 10 -20 awards worth a total of nearly $2,500,000 under BREP 
annually.  Project costs range from $50,000 to $250,000 for 12 - to 18-month time period . In 2019, 
16 BREP awards  totalled about $2, 340,000. In 2020, 13 awards  totalled about $2,342,000.  
 Duration  
Indefinite.  
 Trade effects  
In light of the nature and size of this program, the trade effects are negligible.  
The Vessel Monitoring System (VMS) Reimbursement Program  
 Period Covered by the Notification  
The period covered is fiscal years 20 19 and 20 20. 
 Policy Objective and/or Purpose  
The objective is to develop and use a vessel monitoring system (VMS) as efficiently a nd effectively 
as is practicable within the full scope of purpose and utility that the technology may allow. The 
U.S. VMS Reimbursement Program was established to offset the cost of purchasing a VMS unit for 
the purpose of complying with fishery regulation s promulgated under the Magnuson -Stevens Fishery 
Conservation and Management Act. The Pacific States Marine Fisheries Commission administers the 
program, which is funded by the NOAA Office of Law Enforcement (OLE).  
 Background and Authority  
The Magnuson -Stevens Fishery Conservation and Management Act provides that if a fishery 
management council determines that additional information would be beneficial for a fishery 's 
management, then the Secretary may implement a vessel monitoring requirement f or that fishery.  
There are currently over 20 U.S. fisheries, areas and permits, and approximately 4,500 US -flagged 
vessels that require VMS. A VMS requirement means that an affected vessel must carry an onboard 
VMS transceiver and report its GPS location v ia satellite transmission, and in some cases they are 
required to transmit additional fishing statistics as well.  
In most cases, the vessel owner and operator are responsible for all costs associated with the 
purchase, installation, and maintenance of the VMS unit  and for all charges levied by the mobile 
communications service provider. In order to mitigate the initial burden, grants have been provided 
to eligible fishermen for the cost of purchasing a VMS unit.  Grants are provided up to $3,100. Vessel 
owne rs are reimbursed on a first -come, first -served basis until funds for the reimbursement program 
are exhausted.  G/SCM/N/372/USA  
 
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 Form 
The form of the subsidy is a grant.  The process for obtaining a reimbursement is as follows:  
1. Purchase, install, and activate a NOAA OLE T ype-Approved VMS unit.  
2. Contact the NOAA OLE VMS Helpdesk to initiate the confirmation process and obtain a 
four-digit confirmation  number for reimbursement.  
3. Complete and sign the VMS Reimbursement Request Form.  
4. Mail, fax or email the reimbursement  request form, a copy of the paid itemized sales 
invoice, a copy of the  Federal Fisheries Permit, a copy of the vessel 's Certificate of 
Documentation and/or State Registration to the Pacific States Marine Fisheries Commission.  
Fishermen 's questions regarding the VMS Reimbursement Request are directed to the grantee and 
to the VMS Program 's help desk.  
 Amount  
In fiscal year 2019, the program grantee  disbursed $329,875 to 111 reimbursement applicants.  
In 2020, 251 applicants were reimbursed fo r a total of $706,174 . 
 Duration  
Indefinite.  
 Trade Effects  
The trade effects are minimal given the nature of the program and the amount of the grants 
provided.  
Fishing Capacity Reduction Loan Program  
 Period covered by the notification  
The period covered is fiscal year 2019  and 2020 . 
 Policy objective and/or purpose  
The program's policy objective is to reduce the number of vessels and permits endorsed for the 
operation in a specified fishery when it is necessary to prevent or end overfishing, rebuild stocks of  
fish, or achieve measurable or significant improvements in the conservation and management of the 
fishery. The program 's intent is to decrease the number of harvesters in the fishery and facilitate 
the conservation and management of fishery resources.  The fishing capacity reduction program must 
be consistent with any state and federal fishery management plans in place for that fishery.  
 Background and authority  
The National Oceanic and Atmospheric Administration 's National Marine Fisheries Service 
(NOAA  Fisheries) administers fishing capacity reduction loan programs under the Magnuson -Stevens 
Fishery Conservation and Management Act (MSA). Under this authority, the Secretary of Commerce 
can finance the buyback of vessels and/or fishing permits by those remain ing in the fishery in order 
to obtain the maximum sustained reduction in fishing capacity at the least cost and in a minimum 
period of time.  While prior buyback programs have varied, in general, fishers have voluntarily 
submitted bids in reverse auctions to remove permits and sometimes vessels from the relevant 
fishery.  The accepted permits were then permanently relinquished.  The remaining fishers then pay 
fees on their future catches to repay the government loan used to finance cumulative amount of 
permits removed.  Vessels removed from each fishery relinquished their fishery endorsement and 
contractually agreed to not fish anywhere in the world.  G/SCM/N/372/USA  
 
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 Form 
Loans are provided to finance the relinquishment of fishing permits and/or permanent withdrawal of  
vessels.  Those remaining in the fishery must repay the loans.  
Program requirements are published in the Federal Register and are available at NOAA Fisheries 
website at:  https://www.fisheries.noaa.gov/national/funding -and-financial -services/fishing -
capacity -reduction -programs . 
 To whom and how assistance is provided  
The financing provided is for those fishers that remain in the relevant fishery.  
 Amount  
Although NOAA Fisheries has a framework rule that provides a process to develop such programs, 
each of the specific programs implemented in the past has been done under special Congressional 
legislation that authorized and appropriated fund ing. The most recent legislation authorizing a 
program was in the Consolidated Appropriations Act of 2005.  No new buyback programs were 
implemented in 2018 -2020. 
 Duration  
Indefinite.  
 Trade effects  
It is difficult to identify trade effects as the program is designed to decrease the number of harvesters 
in the fishery in order to support the conservation and management of fishery resources, and is 
dependent on the characteristics of the fishery and the availability of funding.  
Fishery Disaster Assis tance Program  
 Period covered by the notification  
The period covered is fiscal year 2019  and 2020 . 
 Policy objective and/or purpose  
Fisheries are subject to a number of factors that can cause sudden and unexpected losses, leading 
to serious economic impacts for fishers and their communities. These factors include events such as 
hurricanes and typhoons, oil spills, harmful algal blooms, and other types of disasters, both natural 
and manmade, that cause a commercial fishery to be harmed, seriously disrupted, or  fail. 
NOAA  Fisheries strives to make disaster determinations and funding available to recipients as quickly 
as possible. Statutory, regulatory, and administrative policy requirements guide the specific steps 
NOAA Fisheries follows for evaluating disaster determinations, allocation, and execution of disaster 
funds.  
 Background and authority  
The National Oceanic and Atmospheric Administration 's (NOAA) National Marine Fisheries Service 
(NOAA Fisheries) administers disaster assistance under two statutes – the M agnuson -Stevens 
Fishery Conservation and Management Act (MSA) and the Interjurisdictional Fisheries Act (IFA). 
Under either statute, a governor, tribal leader, or elected or duly appointed representative of an 
affected fishing community can request a fishe ry disaster determination from the Secretary of 
Commerce. The Secretary may also initiate a review. If the Secretary determines that a fishery 
disaster has occurred, the fishery is eligible for disaster assistance subject to appropriation of funds 
by Congr ess. The process for administering fishery disaster assistance is guided by the MSA, IFA, 
and NOAA Fisheries ' Policy on Disaster Assistance under the Magnuson -Stevens Act 312(a) and 315 
and the Interjurisdictional Fisheries Act 308(B) and 308(D).  G/SCM/N/372/USA  
 
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 Form 
Congress appropriates funds for fishery disaster assistance on a case -by-case basis. Once Congress 
appropriates funds, NOAA Fisheries executes the funding through grants to recipients (e.g., states, 
Tribes, Interstate Marine Fisheries Commissions).  
 To whom and  how assistance is provided  
States/Territories, Tribes, and Interstate Marine Fisheries Commissions are eligible to receive funds 
from NOAA Fisheries.  The recipient of fishing disaster funding appropriated by Congress develops a 
spending plan based on the high priority needs of the affected community.  Only fishers or fishing 
related businesses in impacted fisheries are eligible to receive funds. In some instances, the relevant 
State/Territory, Tribe, or Interstate Marine Fisheries Commission keeps some funds to conduct 
specific projects (e.g., scientific monitoring, habitat restoration).  
 Amount  
There is no standing fund for fishery disasters. Both the number and type of fishery disaster requests 
received by NOAA Fisheries each year are difficult to predi ct. As such, the amount Congress 
appropriates for fishery disaster assistance is highly variable.  NOAA Fisheries tracks all use of funds, 
which is determined through the spending plans.  
In Fiscal Year 2017 no funds were allocated for this program. In Fisca l Year 2018 under the 
2018 Consolidated Appropriations Act ($20 million) and the 2018 Bipartisan Budget Act 
($200  million), Congress appropriated a total of $220 million for fishery disaster assistance. 
Congress also appropriated a total of $165 million in  Fiscal Year 2019 for fishery disaster assistance 
under the 2019 Consolidated Omnibus Appropriation ($15 million) and the 2019 Disaster 
Supplemental Appropriation ($150 million).  
 Duration  
Indefinite.  Fisheries disaster funding must be spent within a specif ic time limit, which is determined 
based on the appropriation from Congress.  
 Trade effects  
It is difficult to identify trade effects as the program is designed to provide relief to communities 
affected by fishery disasters, the magnitude of which is highly variable and dependent on the nature 
of the disaster, the characteristics of the affected community, and the availability of Congressional 
funding.  
LUMBER AND TIMBER  
Capital Gains Treatment of Certain Timber Income  
 Period covered by the notification  
The period covered is fiscal  years 2019 and 20 20. 
 Policy objective and/or purpose  
To encourage domestic timber production.  
 Background and authority  
The capital gains tax treatment is authorized under sections 1231 and 631 of the Internal Revenue  
Code. The  provision was originally enacted in 1943.  G/SCM/N/372/USA  
 
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 Form 
Income tax concession.  
 To whom and how assistance is provided  
Certain timber income can be treated as capital gains for income tax purposes. For taxpayers with 
a net capital gain, a lower tax rate may apply t o the gain than the tax rate that applies to ordinary 
income.  
 Amount  
The revenue loss was $1 50 million in fiscal year 201 9 and $ 130 million in fiscal year 20 20. 
 Duration  
Indefinite.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects m ay result from the use of this provision.  
Expensing of Multi -Period Timber Growing Costs  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
The ability to expense indirect costs of timber growing was based on the view that these costs were 
maintenance costs, and thus deductible as ordinary costs of a trade or business. Following a series 
of revenue rulings and court cases over the  years distinguishing between what expenses might be 
deductible and what expenses might be capitalized, the Tax Reform Act of 1986 included uniform 
capitalization rules , which required indirect expenses to be capitalized in most cases. Where the 
application of these rules was deemed to be unduly burdensome, e xceptions were provided.  
 Background and authority  
Generally, costs must be capitalized when goods produced for inventory are used in one's own trade 
or business, or under contract to another party. Timber production, however, was specifically 
exempted from  these multi -period cost rules and permitted to subject such costs to current 
expensing. This expensing is authorized by sections 162 and 263A(c)(5) of the Internal Revenue 
Code.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
Timber own ers can expense, rather than capitalize, certain costs from taxable income.  
 Amount  
The revenue loss was $ 40 million in fiscal year 201 9 and $ 50 million in fiscal year 20 20. 
 Duration  
Indefinite.  G/SCM/N/372/USA  
 
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 Trade Effects  
It is not possible to estimate what, if any, tra de effects may result from the use of this provision.  
Expensing and Seven -Year Amortization for Reforestation Expenditures  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To promote reforestation on private timberlands.  
 Background and authority  
Expensing is allowed for up to $10,000 invested annually in clearing land and planting trees for the 
ultimate production of timber. Reforestation expenditures beyond this amount may be amortized 
over a seven -year period. Without this preference, reforestation expenditures would have to be 
capitalized and could be recovered (deducted) only when the trees were sold or harvested  years 
later. These provisions are authorized by section 194 of  the Internal Revenue Code. They were 
originally enacted in the Recreational Boating Safety and Facilities Improvement Act of 1980 and 
were modified by the American Jobs Creation Act of 2004.  
 Form 
Income tax concession.  
 To whom and how assistance is provid ed 
Allows taxpayers to recover the reforestation costs on an accelerated basis in computing taxable 
income.  
 Amount  
The revenue loss was $ 40 million in fiscal year 201 9 and $ 50 million in fiscal year 20 20. 
 Duration  
Indefinite.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
MEDICAL  
The Office of Nuclear Physics, Isotope Development and Production for Research and 
Applications Program  
 Period covered by the notification  
This notification  covers fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
The Isotope Development and Production for Research and Applications subprogram (DOE Isotope 
Program) supports the production, distribution, and development of production techniques for 
radioactive and stable isotopes in short supply and critical to the Nation.  G/SCM/N/372/USA  
 
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 Background and authority  
Beginning in late FY 2020, with the Office of Science restructure, t he DOE Office of Science, Office 
of Isotope  R&D and Production manages the program.  Prior to this reorganization, funding for 
FY 2019 and FY 2020 was appropriated under the Office of Science, Office of Nuclear Physics, Isotope 
Development and Production for Research Applications subprogram.  All funding for the DOE Isotope 
Program is executed t hrough the Isotope Production and Distribution Program revolving fund 
established by the Energy and Water Appropriations Act, 1990 (Public Law 101 -101), as amended 
by the Energy and Water Development Appropriations Act, 1995 (Public Law 103 -316). The isoto pe 
revolving fund maintains its financial viability by utilizing the appropriations from this program office 
along with revenues from the sale of isotopes and services.  
 Form 
Financial assistance is provided in the form of the annual Congressional appropria tions. Isotopes 
sold to commercial customers are priced to recover the full cost of production, or the market price 
(whichever is higher). Research isotopes are sold at a reduced price to ensure high priority research 
requiring them does not become cost pr ohibitive.  
 To whom and how assistance is provided  
Isotopes are sold to a variety of commercial and research institutions in the medical, industrial, and 
research communities – commercial and non -commercial – both in the United States and abroad.  
 Amount  
Fiscal years 201 9 and 20 20 obligations  (approximate dollars in  millions) are as follows:  
Production expenses associated with the manufacture, processing, and distribution of isotopes are 
recovered from sales revenue. Infrastructure costs are covered in part by an annual Congressional 
appropriation.  
 Duration  
The activity is of indefinite duration; the program operates with a revolving fund and ma intains 
financial viability through its revenues from sales.  
 Trade effects  
Even if it were possible to quantify trade effects that might ensue from a program of this nature, it 
is doubtful that this particular program has led to any meaningful trade effect s. In FY  2020, the 
DOE Isotope Program  sold over 120  different radioactive and stable isotopes to a broad range of 
research and commercial customers, including major pharmaceutical companies, industrial 
stakeholders, and researchers at hospitals, national laboratories, other federal agencies, 
universities, and private companies  worldwide . 
Orphan Drug Tax Credit  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To encourage research on drugs for rare diseases or conditions.   FY 2019  FY 2020  
Isotope Development and Production for Research and Applications  $44.3  $50.3  G/SCM/N/372/USA  
 
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 Background and authority  
The provision provides a 25% tax credit for qualified clinical testing expenses incurred in testing of 
certain drugs for rare diseases or conditions, referred to as "orphan drugs". Qualified t esting 
expenses are costs incurred to test an orphan drug after the drug has been approved for human 
testing by the Food and Drug Administration (FDA), but before the FDA approves it for sale. A rare 
disease or condition is one that affects less than 200,0 00 persons in the United States, or affects 
more than 200,000 persons, but for which there is no reasonable expectation that businesses could 
recoup the costs of developing a drug for such disease or condition from U .S. sales of the drug. The 
credit origin ally was enacted as a temporary provision in 1983 under the Orphan Drug Act, and was 
extended on several occasions. The credit expired after 31 December 1994, and later was reinstated 
for the period 1 July 1996, through 31 May 1997. The Taxpayer Relief Act  of 1997 made the credit 
permanent. The Tax Cuts and Jobs Act of 2017 reduced the credit rate from 50 to 25 %. The orphan 
drug credit is authorized under section 45C of the Internal Revenue Code.  
 Form 
Income tax concession.  
 To whom and how assistance is pro vided  
Taxpayers undertaking qualified research on orphan drugs receive a credit against federal income 
tax. 
 Amount  
The revenue loss was $ 1,550 million in fiscal year 201 9 and $ 1,720 million in fiscal year 20 20. 
 Duration  
Indefinite.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
METALS, MINERALS AND EXTRACTION (NON -FUEL)  
Excess of  Percentage Over Cost Depletion for Non -Fuel Minerals  
 Period covered by the notification  
The period covered is f iscal years 201 9 and 20 20. 
 Policy objective and/or purpose  
To encourage the development of the domestic non -fuel mineral industry.  
 Background and authority  
The provisions permit most non -fuel mineral extractors to make use of  percentage depletion rather 
than cost depletion, with  percentage depletion rates ranging from 22 % for sulphur to 5 % for sand 
and gravel.  Percentage depletion is authorized by sections 611 -613 and 291 of the Code. Percentage 
depletion similar to its current form was provided in  1932 at 23 % for sulphur and 15 % for metal 
mines. From 1932 to 1950,  percentage depletion was extended to most other minerals. The Revenue 
Act of 1951 granted it to more minerals. In 1954, still more minerals were granted the allowance. 
In 1969, the top de pletion rates were reduced. The Tax Equity and Fiscal Responsibility Act of 1982 
reduced the allowance for corporations that mined iron ore by 15 %. The Tax Reform Act of 1986 
raised the cutback in corporate allowances of iron ore from 15 to 20 %. G/SCM/N/372/USA  
 
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 Form 
Incom e tax concession.  
 To whom and how assistance is provided  
Non-fuel mineral extractors are permitted deductions from taxable income for depletable 
expenditures equal to the larger of  percentage or cost depletion.  
 Amount  
The revenue loss was $ 120 million in f iscal year 201 9 and $ 110 million in fiscal year 20 20. 
 Duration  
Indefinite.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of these provisions.  
Expensing of Exploration and Development Costs for Non -Fuel Min erals  
 Period covered by the notification  
The period covered is fiscal  years 201 9 and 20 20. 
 Policy objective and/or purpose  
To encourage the development of domestic non -fuel mineral industry.  
 Background and authority  
These provisions permit certain capital outlays associated with exploration and development of non -
fuel minerals to be expensed rather than depreciated over the life of the asset. These provisions are 
authorized by sections 263, 263A, 291, 616 -617, 56 , and 1254 of the Internal Revenue Code. 
Expensing of mine development expenditures was enacted in 1951 to reduce ambiguity in the then 
existing treatment of, and to encourage, mining. The provision for mine exploration was added in 
1966. The Tax Equity and Fiscal Responsibility Act of 1982 limited e xpensing for corporations to  
85%; the remaining 15 % must be depreciated.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
Non-fuel mineral producers and royalty owners are permitted expensing of certain capital outlays 
associated with the  development of non -fuel minerals rather than amortization over the life of the 
mine for federal income tax purposes.  
 Amount  
The revenue loss was $ 170 million in fiscal year 201 9 and less than  $10 million in fiscal year 20 20. 
 Duration  
Indefinite.  G/SCM/N/372/USA  
 
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 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of these provisions.  
SHIPYARDS  
Assistance to Small Shipyards Grant Program  
 Period covered by the notification  
The period covered is fiscal  years 20 19 and 20 20. 
 Policy objective and/or purpose  
The Small Shipyard Grant Program (SSGP) provides grants for capital and related improvements to 
qualified small shipyard facilities to foster efficiency, competitive operations, and quality ship 
construction, re pair, and reconfiguration. Grant funds may also be used for maritime training 
programs to foster technical skills and operational productivity. For the purposes of this program, 
small shipyards fall into two categories: those with fewer than 600 employees,  and those with 
between 600 and 1200 employees.  
 Background and authority  
In 2006, Public Law 109 -163, the National Defense  Authorization Act for Fiscal Year 2006, authorized 
the U.S. Maritime Administration (MARAD) to establish a program to provide assistance in the form 
of grants, loans, and  loan guarantees to small shipyards for capital improvements,  and for maritime 
training programs in communities whose  economies are substantially related to the maritime 
industry. The program has been managed by MARAD since then under the authorization of various 
pieces of legislation. In FY 2009, the American Recovery and Reinvestment Act  (ARRA) provided 
$100 million to the program in addition to normal annual appropriations. The additional funds formed 
part of the U .S. government's stimulus in response to the economic downturn of 2008 -09 and were 
not continued after FY 2009.  
• P.L. 109 -163, National Defense Authorization Act for Fiscal Year 2006  
• P.L. 110 -161, Consolidated Appropriations Act, 2008  
• P.L. 110 -417, National Defense Authorization Act for Fiscal Year 2009  
• P.L. 111 -5, American Recovery and Reinvestment Act of 2009  
• P.L. 111 -8, Omnibu s Appropriations Act, 2009  
• P.L. 111 -117, Consolidated Appropriations Act, 2010  
• P.L. 112 -10, Department of Defense and Full -Year Continuing Appropriations Act, 2011  
• P.L. 112 -55, Consolidated and Further Continuing Appropriations Act, 2012  
• P.L. 113 -6, Consol idated and Further Continuing Appropriations Act, 2013  
• P.L. 110 -417, Consolidated Appropriations Act, 2016  
• P.L. 115 -31, Consolidated Appropriations Act, 2017  
• P.L. 115 -91, Consolidated Appropriations Act, 2018  
• P.L. 116 -6, Consolidated Appropriations Act, 2019  
• P.L. 116 -94, Consolidated Appropriations Act, 2020  
• P.L. 116 -260, Consolidated Appropriations Act, 2021  
 Form 
Federal grants may fund 75 % of the cost of a project, matched by a contribution of 25 % by the 
beneficiary shipyard.  
 Amount  
SSGP funding for fiscal year 2017 was $10 million.  Funding for fiscal years 2018, 2019, 2020, and 
2021 was $20 million.  G/SCM/N/372/USA  
 
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 Duration  
The SSGP has operated under various authorities since 2006. It has provided funding to shipyards 
since 2008. No funding was pro vided in 2014 and 2015.  Future funding is uncertain.  
 Trade effects  
It is not possible to determine what, if any, trade effects may result from this program.  
REGIONAL PROGRAMS  
Empowerment Zones  
 Period covered by the notification  
The period covered is fiscal  years 20 19 and 20 20. 
 Policy objective and/or purpose  
The purpose of this assistance is to encourage revitalization of distressed areas. Nominated areas 
must meet population, distress, size, and poverty rate criteria in order to be eligible, ensuring that 
assistance is targeted to areas experiencing high economic distress. The use of tax incentives reflects 
a desire to encourage the private sector, guided by market forces and supported in a 
non-bureaucratic fashion through government assistance, to be a dri ving force behind the increased 
economic activity. Some restrictions on the types of business activities and investments were 
imposed in order to limit potential abuses.  
 Background and authority  
The Omnibus Budget Reconciliation Act of 1993 provided for th e designation of nine empowerment 
zones (3 rural and 6 urban). The Taxpayer Relief Act of 1997 added 22 empowerment zones (5  rural 
and 17 urban). The Community Renewal Tax Relief Act of 2000 added 9 empowerment zones (2  rural 
and 7 urban). State and local governments jointly nominated distressed areas and proposed 
strategic plans aimed at economic and social revitalization. Rural empowerment zones were 
designated by the Secretary of the Department of Agriculture, while urban empowerment zones 
were designate d by the Secretary of the Department of Housing and Urban Development. The tax 
provisions for empowerment zones are found in sections 1391 through 1397D of the 
Internal  Revenue Code.  
Qualified businesses located in empowerment zones are eligible for the fo llowing federal tax 
incentives: (i) an employment tax credit for 20 % of the first $15,000 of qualifying wages paid to 
employees who live and work in the empowerment zone; (ii) an additional $35,000 per year of 
expensing, instead of depreciation, of capital  investments by small businesses; and (iii) a new 
category of tax -exempt private activity bonds. In addition, taxpayers may elect to defer capital gains 
from certain sales and re -investments in qualified empowerment zone assets.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
The employment tax credit and an additional $35,000 per year of expensing are provided when the 
recipient business completes its tax return. No registration is needed to qualify for the tax incentives. 
The new category of tax -exempt private activity bonds requires a local initiation and state offering 
of the bonds. The subsidy is reflected in the lower interest rate charged on the bonds because 
interest income on them is excluded from federal taxable income . The capital gains incentives are 
provided to investors in qualified zone assets by reducing the amount of capital income subject to 
tax. G/SCM/N/372/USA  
 
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To qualify for the employment credit, substantially all of the employee's services must be provided 
in the zone. The $35,000 of additional expensing is targeted to assist small businesses because the 
benefit of expensing begins to phase out when investment exceeds $2,000,000 within the taxable 
year. To qualify for the expensing, businesses must also meet other criteria, such as having at least 
35% of employees who reside in the zone. Businesses located in empowerment zones are eligible 
for the new category of tax -exempt bonds. Up to $230  million of such bonds may be issued in large 
urban empowerment zones over the duratio n of the designation, in rural zones up to $60  million in 
such bonds may be issued.  
 Amount  
The revenue loss was $ 60 million in fiscal year 201 9 and $ 160 million in fiscal year 20 20. 
 Duration  
Tax incentives have been available since the first zones were designated on 21  December  1994. 
Empowerment zone tax benefits expire on 31 December 20 25. 
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
 New Markets Tax Credit  
 Period covered by the noti fication  
The period covered is fiscal  years 20 19 and 20 20. 
 Policy objective and/or purpose  
To encourage capital investment in businesses located in economically distressed areas.  
 Background and authority  
The Community Renewal Tax Relief Act of 2000 created  the new markets tax credit under 
section  45D of the Internal Revenue Code.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
A tax credit is applied to taxpayers who make an equity investment in a Community Development 
Entity (CDE). The c redit amount is equal to 5 % of the investment for each of the first  three  years 
and 6 % for each of the following 4  years. A CDE is any domestic firm whose primary mission is to 
serve or provide investment capital for low -income communities or individuals. A fixed amount of 
equity investment is eligible each year for the credits, which is apportioned to CDEs through a 
competitive application process. The total amount of equity investment eligible for the credit is 
$3.5 billion each calendar year  2015 through  2019 and $5 billion each calendar year 2020 through 
2025.  
 Amount  
The revenue loss was $ 1,320  million in fiscal year 201 9 and $1, 280 million in fiscal year 20 20. 
 Duration  
This credit first became effective in 2001, and credit allocations to qualified CDEs will be made 
through 20 24. G/SCM/N/372/USA  
 
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 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
Opportunity Zones  
 Period covered by the notification  
The period covered is fiscal  years 20 19 and 20 20. 
 Policy objective and/or purpose  
To encourage capital investment in businesses located in economically distressed areas.  
 Background and authority  
The Tax Cuts and Jobs Act of 2017 created the opportunity zone tax incentive under section 1400Z  
of the Interna l Revenue Code. The Treasury Department designated 8,764 lower -income census 
tracts nominated by each state, possession, and the District of Columbia as opportunity zones in 
2018.  
 Form 
Income tax concession.  
 To whom and how assistance is provided  
Taxpayers  who make a timely qualifying investment in a Qualified Opportunity Fund (QOF) may use 
three potential capital gain tax preferences.  First, taxpayers may defer the recognition of gain until 
disposal of the ownership interest in the QOF, or until the end of  2026, whichever comes first.  
Second, if the investment in the QOF is held for at least 5 years prior to the required inclusion date, 
then 10 % of the deferred gain  may be excluded from income (the excluded amount increases to 
15% if the investment is held for 7 years). Third, if the QOF investment is held for at least 10 years, 
then gain from that investment is excluded from income. A QOF must hold at least 90 % of its assets 
as qualified opportunity zone property.  
 Amount  
The revenue loss was $ 2,720  million in fiscal year 201 9 and $ 3,770 million in fiscal year 20 20. 
 Duration  
This incentive became effective in 2018 when the zones were designated . Investments in QOFs that 
qualify for the incentive may be made through 31 December 2026.  
 Trade Effects  
It is not possible to estimate what, if any, trade effects may result from the use of this provision.  
 
  
 G/SCM/N/372/USA  
 
- 61 - ATTACHMENT 1  
SUB-FEDERAL LEVEL PROGRAMS  
State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Alabama  Alabama Jobs Act: 
Investment Credit  Alabama 
Department of 
Commerce  Income Tax 
Credit  Eligible companies include those with a 
qualifying business activity (Code of Alabama 
§ 40-18-372) that create at least 50 new jobs; 
companies in targeted counties (population less 
than 50,000) must create at least 10 new jobs; 
companies in jumpstart count ies (population 
50,000+, contains no more than 2 Opportunity 
Zones, has had negative population growth over 
last 5 years) must create at least 10 new jobs; 
Underrepresented companies and tech 
companies must create at least 10 new jobs; 
projects in targeted  or jumpstart counties must 
have at least $2m  capital.  The benefit amount is a tax credit of up to 1.5% 
annually of the qualified capital investment for a 
qualifying project for up to 10 years. 
Underrepresented companies and projects in 
targeted/jumpstart counties can receive the credit 
for up to 15 years.  Sunsets 
7/31/2023  
Alabama  Alabama Jobs Act: 
Jobs Credit  Alabama 
Department of 
Commerce  Cash Refund  Eligible companies include those with a 
qualifying business activity (Code of Alabama 
§ 40-18-372) that create at least 50 new jobs; 
companies in targeted counties (population less 
than 50,000) must create at least 10 new jobs; 
companies in jumpstart count ies (population 
50,000+, contains no more than 2 Opportunity 
Zones, has had negative population growth over 
last 5 years) must create at least 10 new jobs; 
Underrepresented companies and technology 
companies must create at least 10 new jobs; 
projects in ta rgeted or jumpstart counties must 
have at least $2m  capital.  The benefit is a cash rebate of up to 3% annually 
of the previous year 's gross payroll (not including 
fringe benefits) for eligible employees for up to 10 
years. Companies in targeted/jumpstart c ounties, 
underrepresented companies, technology 
companies, and companies engaged in 
pharmaceutical, biomedical, medical technology 
or medical supplies or related R&D can receive up 
to 4% cash rebate. Companies locating at a former 
military base closed by B RAC can receive up to an 
additional 0.5% on the wages of eligible 
employees. Companies employing at least 12% 
veterans in their eligible workforce can receive up 
to an additional 0.5% cash rebate on the wages of 
the veterans.  Sunsets 
7/31/2023  
Alabama  Appalachian 
Regional 
Commission Grant  Alabama 
Department of 
Economic and 
Community Affairs  Grant  Eligible regions are ARC regions consisting of 
37 counties in North Alabama in a line just north 
of Montgomery. Eligible entities are new or 
expanding businesses including manufacturing 
and warehousing.  Amounts are $200,000 maximum or 50 % of total 
project cost spent on serving more than one 
industry.  Ongoing   
 G/SCM/N/372/USA  
 
- 62 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Alabama  Brownfield 
Development Tax 
Abatements  Alabama 
Department of 
Revenue (ADOR)  Tax exemptions  The property must be in the Alabama 
Department of Environmental Management 's 
voluntary cleanup program to qualify for 
brownfield abatements.  For a new company there is no threshold or 
limiting investment amount for a new brownfield 
abatement project. The total amount of the capital 
investment by a company that is locating in 
Alabama is eligible for the tax abatements. The 
additional capital investment by a company that is 
expanding their current facilities on a brownfield 
development  property must equal the lesser of: 
30% of the original cost of the property as 
remediated,  or $2,000,000.  Ongoing  
Alabama  Business and 
Industry 
Guaranteed Loans  Rural Economic 
and Community 
Development 
(REDC)  Loan This program provides indirect financing/loans 
to commercial or other authorized lenders in 
any area other than an incorporated city or town 
with greater than 50,000 population and 
urbanized area contiguous and adjacent to such 
city or town. Priority given to towns or cities of 
25,000  population or less.  The loan guarantee amounts are: 80 % for loans 
of $5  million or less, 70 % for loans between 
$5 million and $10 million, 60 % for loans 
exceeding $10 million, up to $25 million 
maximum. See link for further details: 
https:// www.rd.usda.gov/programs -
services/business -industry -loan- guarantees/al  Ongoing  
Alabama  Certified Capital 
Companies 
(CAPCO)  Alabama 
Development of 
Commerce 
Department  Loan Small technology and/or manufacturing 
businesses are eligible.  $200 million is allocated among 12 CAPCO funds; 
each CAPCO fund may loan up to 15% of its 
allocation to a single project and multiple CAPCOs 
may invest in the same single projec t. The program was 
terminated during 
the reporting 
period.  
Alabama  Coal Production 
Tax Credit  Alabama 
Department of 
Revenue  Tax credit  Every corporation, whether a subchapter 
S corporation, as defined by the 1995 Internal 
Revenue Code, or not, foreign or domestic, that 
is doing business in Alabama, as a producer of 
coal in Alabama is eligible.  Every corporation that is doing business in 
Alabama, as a producer of coal in Alabama, is 
allowed a tax credit in the amount of one dollar 
($1) per ton of  increased production of coal over 
the previous year 's production of coal.  Ongoing  
Alabama  Community 
Facility Loan and 
Grant Program  Rural Economic 
and Community 
Development 
(REDC)  Mixed financing  Rural communities with a population of 20,000 
or less are eligible. Priority is given to applicants 
in rural communities with populations of 5,000 
or less and areas with the lowest median 
household income.  Interest rates for direct loans are based on current 
market yields for municipal obligations. The 
maximu m term for all loans is 40 years. However, 
the repayment period is limited to the useful life 
of the facility or equipment or any statutory 
limitation on the applicant's borrowing ability.  Ongoing  
Alabama  Delta Regional 
Authority  (DRA)  Alabama 
Department of 
Economic and 
Community Affairs  Grant  Businesses and other entities located in 
Alabama counties in the DRA include Barbour, 
Bullock, Butler, Choctaw, Clarke, Conecuh, 
Dallas, Escambia, Greene, Hale, Lowndes, 
Macon, Marengo, Monroe, Perry, Pick ens, 
Russell, Sumter, Washington and Wilcox.  DRA will host two technical assistance workshops, 
make available $1.5 million in grants, and offer 
post-award technical assistance to grantees.  Ongoing  
Alabama  Enterprise Zone 
Tax Credit  Alabama 
Department of 
Economic and 
Community Affairs  Tax credit  Companies locating in the 28 designated 
enterprise zones. Enterprise zone residents, 
especially those unemployed for at least 90 days 
prior to employment.  There is a maximum tax credit of $2500 per new 
permanent employee. Credits are to be used in the 
year earned with any remainder available to be 
applied against income or business privilege tax 
liabilities for the succeeding two years.  Ongoing  
Alabama  Film Production 
Rebates  Alabama Film 
Office (a division of 
the Alabama 
Department of 
Commerce)  Refundable 
Income Tax 
Credit  Film production companies are eligible.  Qualified companies receive a 25% tax credit of all 
state-certified expenditures and a 35% tax credit 
of all payroll paid to residents of Alabama. The 
annual cap for program is $20 million.  Ongoing   
 G/SCM/N/372/USA  
 
- 63 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Alabama  Film Promotion  Alabama Film 
Office (a division of 
the Alabama 
Department of 
Commerce)  Tax exemption 
for sales and 
lodging tax.  Film production companies are eligible.  Film production companies may be exempt from 
sales, use, and lodgings taxes. A total of up to 4% 
of anything subject to sales or use tax, and 4 -5% 
on any lodging tax owed.  Ongoing  
Alabama  Industrial 
Development 
Grant Program 
(Site Preparation)  State Industrial 
Development 
Authority  Grant  Qualifying projects include those: (1) at which 
the predominant business activity conducted 
will constitute industrial warehousing, or 
research activities, or; (2) which qualify as a 
headquarters facility.  Maxim um of $150,000, based on capital 
investment.  Ongoing  
Alabama  Intermediary 
Relending 
Program  Rural Economic 
and Community 
Development 
(REDC)  Loan The Alabama Department of Agriculture and 
Industries has entered into an agreement with 
the USDA Rural Development 's IRP program. 
The Alabama Department of Agriculture & 
Industries serves as the intermediary and is the 
conduit for these revolving loan funds. Priority 
scoring is given to applications located in areas 
of high unemployment, areas experiencing 
trauma, and areas where the population has 
declined. All territory of a state that is not within 
the outer boundary of any city having a 
population of 25,000 or more, according to the 
latest decennial  census.  Loans to intermediaries are scheduled for 
repay ment over a period of up to 30 years with an 
interest rate of 1% per annum. The intermediary 
sets the term of the loans and sets the interest 
rate that they will charge to ultimate recipients. 
The maximum loan to an intermediary is 
$750,000.00. Ultimate re cipients may borrow a 
minimum of $25,000 and up to a maximum of  
$125,000.  Ongoing  
Alabama  Property Tax 
Abatements  Alabama 
Department of  
Revenue  Tax abatement/  
reduction  A qualifying project must constitute an 
industrial, warehousing, or research activity 
defined as any trade or business described in 
the 2012 North American Industry Classification 
System (NAICS) as:  
 
Sectors 31, 32, 33 and 55 and subsectors 423, 
424, 482,493, 511, 517, 518, 927  
 
Industry Groups 1133, 2121, 4862, 4882, 4883, 
5121, 5415 and 5417  
 
- Industries 22111, 48691, 48699, 48819, 
51221,  51913, 52232, 54133, 54134, 54138, 
56291, 56292, and  92811  
 
- Industries 115111, 221330, 541614, 561422, 
562213, 611512, 561422, or data processing 
centers; renewable energy facilities; R& D 
facilities; and targeted business sectors under 
Accelerate Alabama Strategic Economic 
Development Plan.  Expansion projects may 
qualify for an abatement under a "major 
addition" provided the project meets an 
additional investment threshold requirement of 
the lesser of 30 % of the original cost of the 
industrial development property,  or $2 million.  Industrial projects may be exempted from 
ad valorem  property taxes for up to 10 years 
(except school taxes) with fixed assessment ratio 
established at 20 % of appr aised market value for 
businesses. Approval is granted locally.  Ongoing   
 G/SCM/N/372/USA  
 
- 64 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Alabama  Regional 
Revolving Loan 
Funds  Alabama 
Association of 
Regional Councils  Loan Financing for small manufacturers and 
manufacturing related services located in 
southeast Alabama.  Equity requirement that is established locally 
usually falls between 5 % and 25 %. The interest 
rate is normally below prime and can be fixed or 
variable. Program requires conventional lender  
participation.  Ongoing  
Alabama  Renewable Fuels 
Program  Alabama 
Department of 
Economic and 
Community Affairs 
(ADECA)  Interest subsidy  Industrial, commercial and institutional 
facilities; agricultural property owners; and city, 
county, and state government entities are 
eligible.  Program participants receive up to $75,000 in 
interest subsidy payments to help defray the 
interest expense on loans to install approved 
biomass projects. Technical assistance is also 
available through the program. Interested parties 
must obtain loans from commerc ial lending 
institutions and submit repayment data to ADECA 
for interest payment assistance. Interest rates on 
loans should be no greater than 2% above the 
prime rate. With an initial emphasis on wood 
waste, the program now also focuses on switch 
grass and  municipal solid waste (MSW). A pilot 
project to assess the feasibility of co -firing switch 
grass with coal in electricity production has been 
completed resulting in a switch grass to coal mix 
ratio of up to  10%.  Ongoing  
Alabama  Rural Business 
Enterprise Grants  Rural Economic 
and Community 
Development 
(REDC)  Grant  Small and emerging private business (50 or less 
employees and less than $1,000,000 in 
projected gross income) in rural areas are 
eligible.  The grant amounts are up to $300,000 in which 
the grants may be requested to establish the  
revolving loan fund (RLF) . Up to 10 % of grant funds 
may be applied toward operating expenses over 
the life of the RLF. Please see link below for further 
information.  
https:// www.rd.usda.gov/programs -
services/rural -economic - development -loan-
grant -program  Ongoing  
Alabama  Rural Business 
Opportunity Grant  Rural Economic 
and Community 
Development 
(REDC)  Grant  Eligible areas include any area other than an 
incorporated city or town with a population 
greater than 10,000 and the urbanized area 
contiguous and adjacent to such city or town. 
Priority communities --those experiencing 
trauma due to natural disasters or are 
undertaking fundamental structural changes, 
have remained persistently poor or have 
experienced long -term population decline or job  
deterioration.  There is a $50,000 limit on un -earmarked funds 
per applicant.  Ongoing  
Alabama  Sales & Use Tax 
Exemption  Alabama 
Department of 
Revenue  Fuel Tax 
Exemption/  
Refund  The program is for commercial fishermen.  The amount of the benefit is equal to the amount 
of the tax that does not have to be paid.  Ongoing   
 G/SCM/N/372/USA  
 
- 65 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Alabama  Sales and Use Tax 
Abatements for 
Industrial Projects  Alabama 
Department of  
Revenue  Tax Abatement/  
Reduction  A qualifying project must constitute either a 
headquarters facility or an industrial, 
warehousing, or research activity defined as any 
trade or business described in the 1997 North 
American In dustry Classification System 
(NAICS) as:  
 
- Sectors 31, 32, 33 and 55 and subsectors 423, 
424, 482, 493, 511, 517, 518, 927  
 
- Industry Groups 1133, 2121, 4862, 4882, 
4883, 5121, 5415 and 5417  
 
- Industries 22111, 48691, 48699, 48819, 
51221,  51913,  52232, 54133, 54134, 54138, 
56291, 56292, and  92811  
 
- Industries 115111, 221330, 541614, 561422, 
562213, 611512, 561422, or data processing 
centers; renewable energy facilities; 
R&D facilities; and targeted businesses sectors 
under Accelerate Alabama Strategic Economic 
Development Plan.  Expansion projects may 
qualify for an abatement under a "major 
addition" provided the project meets an 
additional investment threshold requirement of 
the lesser of 30 % of the original cost of the 
industrial development property, or $2 million.  Industrial projects may be exempted from 
non-educational sales and use taxes on 
project -related expenditures for construction 
materials, furniture and fixtures, and equipment. 
Approval is granted locally. Information on specific 
amounts is not available.  Ongoing  
Alabama  Sales and Use Tax 
Exemption for 
Commercial Fish 
Feed Alabama 
Department of 
Revenue  Tax Exemption  The program is for commercial fish farms.  The amount of the benefit is equal to the amount 
of the tax that does not have to be paid.  Ongoing  
Alabama  VIP Investment 
Credit  Tennessee Valley 
Authority Economic 
Development  Power Bill Credit  Customers in targeted business sectors whose 
facilities meet minimum eligibility requirements 
qualify.  Most companies can expect a 10-20% savings 
annually over a five or ten -year period.  Ongoing  
Alabama  VIP Loan Funds  Tennessee Valley 
Authority  Loan Companies in the TVA service area are eligible.  The maximum loan amount is $3 million and is 
determined primarily by jobs and capital 
investment. Loan terms may be from five to 
20 years based on collateral.  Ongoing  
Alabama  VIP Performance 
Grant  Tennessee Valley 
Authority Economic 
Development  Grant  Customers in targeted business sectors whose 
facilities meet minimum eligibility requirements 
qualify.  Funding amounts are based upon the five -year 
economic impact of the projects and made at the 
discretion of TVA Economic Development.  Ongoing   
 G/SCM/N/372/USA  
 
- 66 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Alaska  Bulk Fuel 
Revolving Loan 
Fund Department of 
Commerce, 
Community, and 
Economic 
Development and 
Division of 
Community and 
Regional Affairs 
(DCRA)  Loan Eligible recipients are borrowers/companies 
located in rural Alaska.  The amounts vary. In FY 2020, the program 
funded 104 loans for$12.2 million.  Ongoing  
Alaska  Rural 
Development 
Initiative Fund  Department of 
Commerce, 
Community, and 
Economic 
Development and  
Division of 
Economic 
Development - 
Investments 
Section  (DED)  Loans  Eligible recipients are businesses that are 
located in a community with a population of 
5,000 or less that is not connected by road or 
rail to Anchorage or Fairbanks, or with a 
population of 2,000 or less that is connected by 
road or rail to Anchorage or Fairbanks.  The maximum loan amount is up to $150,000 for 
one person or up t o $300,000 for two or more 
people. Interest is prime rate minus 1%, but not 
less than 4 %. Ongoing  
Alaska  Commercial 
Charter Fisheries 
Loan Program  Alaska Department 
of Commerce, 
Community, and 
Economic 
Development  Loans  Eligibility Requirements:  
 
Loans may be made to purchase charter halibut 
permits or to refinance vessels or gear 
purchased more than 12 months before receipt 
of the  application.  
 
Must be an Alaskan resident for the 
24  consecutive months preceding the date of  
applicat ion. 
 
Loans may not be made to pay costs that were 
incurred more than 12 months before receipt of 
loan application.  
 
Applicant(s) may not have any child support  
arrearage.  Maximum loan amount $200,000 for a permit loan 
and $100,000 per year for other loan types, with 
a maximum aggregate outstanding loan balance 
of $200,000 made to a borrower. A letter of denial 
from a financial institution, stating the reason(s) 
for denial, or confirmation that a loan from a 
financial institution is contingent on the a pplicant 
receiving a loan from the fund.  
 
Maximum loan term is 15 years. Interest rate will 
be fixed at the time of loan approval. All loans 
must be adequately secured, include a priority 
lien, and the items  financed.  Ongoing   
 G/SCM/N/372/USA  
 
- 67 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Alaska  Mariculture Loan 
Program  Alaska Department 
of Commerce, 
Community, and 
Economic 
Development  Loans  Eligibility Requirements:  
 
Loan must be for the planning, construction, 
and operation of a mariculture  business.  
Must have a permitted mariculture farm location 
in Alaska.  
 
Must have experience or training in the 
mariculture industry.  
 
Must be an Alaskan resident for 24 consecutive 
months preceding the date of  application.  
 
Loans may not be made to pay costs that were 
incurred more than 12 months before receipt of 
loan applic ation.  
 
Applicant(s) may not have any child support  
arrearage.  Maximum loan amount is $100,000 per year with 
a maximum aggregate balance of $300,000 per 
borrower. A letter of denial from a financial 
institution, stating the reason(s) for denial, or 
confirm ation that a financial institution is only 
willing to finance a portion of the project. 
Maximum loan term is 20 years. Payments may be 
deferred for up to the first six years of the loan. 
Interest rate will be fixed at the time of loan 
approval. All loans m ust be adequately secured 
and include a priority  lien. Ongoing  
Alaska  Oil and Gas 
Production Tax 
Credit  Department of 
Natural Resources  Tax credits  Recipients are companies engaged in oil 
exploration and drilling.  The program allows for a production tax credit of 
30% of the cost of an exploratory oil well if either 
the bottom hole location is three or more miles 
away from the bottom hole location of a 
pre-existing well or the bottom hole location of the 
exploratory well is at least  25 miles  from the 
boundary of any  unit. Ongoing  
Alaska  Commercial 
Fishing Revolving 
Loan Fund  Department of 
Commerce, 
Community, and 
Economic 
Development and 
Division of 
Economic 
Development - 
Investments 
Section  (DED)  Loans  Recipients are purchasers of Limited Entry 
Permits, vessels, and gear. Must be two year 
Alaska resident with commercial fishing 
experience or have an economic dependence on 
commercial fishing.  The interest rate is fixed at prime rate plus 2% for 
Limited Entry Permits, vessels, and gear. Loans for 
Engine Fuel Efficiency or Product Quality 
Improvement are prime rate minus 1%. Interest 
can be no lower than 3% and no higher than 
10.5%. Maximum term is 15  years.  Ongoing  
Alaska  Qualified Capital 
Expenditure Credit  Department of 
Revenue ( DOR), 
Tax Division  Tax credit  Qualifying companies  The benefit is in the form of a transferable tax 
credit for qualified oil and gas capital expenditures 
on the North Slope. It can be taken in lieu of 
exploration incentive credits under AS 43.55.025 
and gas exploration credits under AS 43.20.043. 
Until January  1, 2017 companies could qualify for 
a credit of 20% of eligible capital expenditures. As 
of January  1, 2017, the Qualified Capital 
Expenditure Credit was reduced from 20% to 
10%.  The d uration of 
this tax credit is 
until 12/31/2013 
for North Slope. 
The duration of 
this tax credit is 
until 12/31/2017 
for Cook Inlet. 
This credit is still 
available for 
Middle Earth (or 
non-CookInlet 
and North Slope).   
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- 68 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Alaska  Small Producer 
Credit  Department  of 
Revenue (DOR), 
Tax Division  Tax credit  Qualifying companies  The benefit is a non -transferable, non -refundable 
credit for oil and gas produced by small producers, 
defined as having average taxable oil and gas 
production of less than 100,000 BTU equivalent 
barrels per day. The small producer credit is 
capped at $12 million annually for producers with 
no more than 50,000 BTU equivalent barrels per 
day. The credit then phases to zero for producers 
with 100,000  or more BTU equivalent barrels per 
day. The duration is 
until 12/31/2016 
or nine years 
after first 
production.  
Alaska  Well Lease 
Expenditure Credit  Department of 
Revenue (DOR), 
Tax Division  Tax credit  Qualifying companies  The benefit is a transferable tax credit for qualified 
oil and gas capital expenditures in areas outside 
the North Slope. It can be taken in lieu of 
exploration incentive credits under AS 43.55.025. 
Until January  1, 2017, companies could qualify for 
a credit of 40% of qualified well lease 
expenditures. As of January 1, 20 17, the Well 
Lease Expenditure Credit was reduced from 40% 
to 20%.  The duration is 
until 12/31/2017 
for Cook Inlet, 
and ongoing for 
others.  
Alaska  Alternative Credit 
for Exploration  Department of 
Revenue (DOR), 
Tax Division  Tax credit  Qualifying companies  A transferable credit for expenditures for certain 
oil and gas exploration activities. The credit is 40% 
for seismic costs outside an existing unit, 30% for 
drilling costs greater than 25 miles (10 miles in 
Cook Inlet) from an existing unit, 30% for pre -
approved new targets, and 40% for drilling costs 
that are greater than 3 miles (10 miles in Cook 
Inlet) from an existing unit and pre -approved new 
targets.  The duration was 
until 6/30/2016 
for North Slope 
and Cook Inlet, 
and is until 
12/31/2021 for  
other areas.  
Alaska  Community 
Development 
Quota Credit  Department of 
Revenue (DOR), 
Tax Division  Tax credit  Qualifying corporations  The benefit is a non -transferable credit for 
contributions to an Alaska non-profit  corporation 
that is dedicated to fisheries industry - related 
expenditures. The credit is available only for 
fishery resources harvested under a community 
development quota ( CDQ). The credit is 100% of 
the contribution amount up to a maximum of 
45.45% of tax liability on fishery resources 
harvested under a CDQ. The credit is an offset to 
the tax revenue shared to local community.  The program 
expired on 
12/31/2020.  
Alaska  Reduced Fishery 
Resource Landing 
Tax Rate for 
Developing 
Fisheries  Department of 
Revenue (DOR), 
Tax Division  Reduced tax rate  Qualifying processors  Fish species classified as "developing" are subject 
to a tax rate of 1% rather than the regular rate of 
3%. "Developing" species are annually designated 
by the commissioner of the department of fish and 
game under AS 16.05.050(a)(10).  Ongoing  
Alaska  3.5-year 
Exemption  Department of 
Revenue (DOR), 
Tax Division  Tax exemption  Qualifying companies  New mining operations are exempt from the 
Mining  License Tax for the first 3.5 years after 
production begins.  Ongoing  
Alaska  Depletion 
Deduction  Department of 
Revenue (DOR), 
Tax Division  Tax deduction  Qualifying companies  A percentage depletion deduction is allowed for 
certain types of mining, such as metal mining, 
sulfur mining and coal mining. Other types of 
mines must use cost depletion.  Ongoing   
 G/SCM/N/372/USA  
 
- 69 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Alaska  Small Miner 
Exemption  Department of 
Revenue (DOR), 
Tax Division  Tax exemption  Qualifying companies  No tax is due for if taxable income is $40,000 or 
less. Taxpayers with taxable income of more than 
$40,000 pay a tax rate of 3% on the first $40,000 
of their income.  Ongoing  
Alaska  Non-Profit Power 
Association 
Exemption  Department of 
Revenue (DOR), 
Tax Division  Tax exemption  Non-profit  power associations or corporations  Fuel used by non-profit  power associations or 
corporations for generating electric energy for 
resale is exempt from the motor fuel tax.  Ongoing  
Alaska  Cook Inlet Jack -
Up Rig Credit  Department of 
Revenue (DOR), 
Tax Division  Tax credit  Qualifying companies  The benefit is a tax credit for exploration expenses 
for the first three wells drilled by the first jack -up 
rig brought in to Cook Inlet. It is only for  expenses 
incurred in drilling wells that test pre -Tertiary; all 
three wells must be drilled by unaffiliated parties 
using the same rig. The credit is 100% of costs for 
the first well up to $25 million, 90% of costs for 
the second well up to $22.5 million,  and 80% of 
costs for the third well up to $20 million. If the 
exploration well is brought into production, the 
operator repays 50% of the credit over ten years 
following production  start-up. All work needed 
to be performed 
by 6/30/2016 to 
qualify for this 
credit.  
Alaska  Alternative Credit 
for Exploration - 
Frontier Basins  Department of 
Revenue (DOR), 
Tax Division  Tax credit  The program provides tax credits for exploration 
wells located certain distances from known oil 
and gas resources and for seismic survey 
acquisitions outside the unit.  The first four exploration wells drilled inside 
six frontier basins receives 80% credit up to 
$25 million of qualified expenditures. The first 
four seismic projects performed inside each of 
six frontier basins receives 75% credit up to 
$7.5 million of qualified expenditures.  Expired 
6/30/2016 for 
seismic and wells 
must be spudded 
by 6/30/2017 . 
Alaska  Native Plant 
Commercialization 
Program  Department of 
Natural Resources 
and Department of 
Agriculture  Financing  The program is utilized by native plant 
producers, landscape contractors and 
construction companies, as well as other 
government agencies.  The amounts vary.  Ongoing  
Alaska  Alaska Foundation  
and Breeder Seed  
Program  Department of 
Natural Resources 
and Department of 
Agriculture  Financing  The program is used by commercial true seed 
producers in Alaska.  The amounts vary.  Ongoing  
Alaska  Seed Potato 
Program  Department of 
Natural Resources 
and Department of 
Agriculture  Financing  The program is used by the commercial seed 
potato producers in Alaska.  The amounts vary.  Ongoing  
Alaska  Forest 
Stewardship 
Program  Department of 
Natural Resources  Financing  The program provides funding to private 
landowners, including ANCSA corporations, for 
forest planning, including biomass inventory.  The amounts vary.  Ongoing  
Alaska  Exclusion of 
intangible drilling 
expenses and 
exploration 
expenses  Department of 
Revenue (DOR), 
Tax Division  Certain 
exclusions from 
property taxes  Qualifying companies  The value of intangible drilling expenses and 
exploration expenses are not subject to property 
tax. Ongoing   
 G/SCM/N/372/USA  
 
- 70 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Alaska  Mineral 
Exploration 
Incentive Credit  Alaska Department 
of Revenue, Tax 
Division  Tax Credit  Qualified exploration activity expenditures 
include: Geochemical and geophysical surveys; 
exploration drilling; underground exploration; 
surface trenching and bulk sampling; other 
exploration work, including aerial photos, 
logging, sample analysis, and metallurgical  
work.  The benefit is a non -transferable credit for eligible 
costs of non - petroleum mineral or coal 
exploration activities that must be used within 
15 years. The credit is 100% of allowable 
exploration costs with a maximum of $20 million. 
The credit is li mited to 50%  of liability for the 
applicable tax type.  Ongoing  
Alaska  Reduced Tax Rate 
for Small Fish 
Processors  Department of 
Revenue (DOR), 
Tax Division  Reduced tax rate  Qualifying processors  Fishers processing on vessels 65 feet or less are 
subject to a 3% tax rate instead of the regular 
floating rate of 5%.  Ongoing  
Alaska  Salmon and 
Herring Product 
Development 
Credit  Department of 
Revenue (DOR), 
Tax Division  Tax Credit  Qualifying processors  The benefit is a non -transferable credit for eligible 
capital expenditures to expand value -added 
processing of Alaska salmon and herring. The 
credit is 50% of qualified investments up to 50% 
of tax liability incurred for processing salmon and 
herring during the tax year. The credit may be 
carried for ward for three years. Herring was added 
to the credit in  2014.  Ongoing  
Alaska  New Area 
Development 
Credit  Department of 
Revenue (DOR), 
Tax Division  Tax Credit  Qualifying companies  The benefit is a nonrefundable credit of up to 
$6 million per company annually, for oil or gas 
produced from leases outside Cook Inlet and the 
North Slope, providing the producer has a positive 
tax liability on that production before the 
application of credits.  12/31/2015 or 
nine years after 
first production . 
Alaska  Per-Taxable -Barrel 
Credit for Gross 
Value Reduction 
(GVR)  Department of 
Revenue (DOR), 
Tax Division  Tax Credit  Qualifying companies  A per -taxable -barrel credit for oil production on 
the North Slope that qualifies for a GVR, as defined 
in AS  43.55.160(f). The credit is $5 per taxable 
barrel and cannot be transferred, carried forward, 
or used to reduce the producer's tax liability to less 
than zero (however, it can be used to reduce the 
producer's tax liability to less than the minimum 
tax esta blished under AS  43.55.011(f)).  Ongoing  
Alaska  Per-Taxable -Barrel 
Credit for Non -
Gross Value 
Reduction (non -
GVR) Department of 
Revenue (DOR), 
Tax Division  Tax credit  Qualifying companies  A per -taxable -barrel credit for oil production on 
the North Slope that does not qualify for a GVR, 
as defined in AS 43.55.160(f). The credit is a 
sliding scale from $0 to $8 per taxable barrel and 
cannot be transferred, carried forward, or used to 
reduce the producer's tax liability to less than the 
minimum gross t ax. The sliding scale is based on 
Alaska North Slope oil prices.  Ongoing  
Alaska  Oil and Gas 
Industry Service 
Expenditures  
Credit  Alaska Department 
of Revenue  Tax Credit  This measure was introduced on 1 January 2014 
and provides a credit against corporate -income -
tax liabilities for 10% of qualifying oil -and-gas-
industry service expenditures.  
 
Qualifying expenditures must be incurred "for 
in-state manufacture or in -state modification of 
tangible oil and gas property that has a service 
life of three years or more. " The credit is capped at USD 10 million per 
taxpayer per year. It is not transferable but can 
be carried forward five years. Estimates of the 
revenue foregone due to this credit are not 
available.  ongoing   
 G/SCM/N/372/USA  
 
- 71 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Alaska  Property -Tax 
Exemption for 
Intangible Drilling 
Expenses  Alaska Department 
of Revenue  Revenue 
Forgone  This provision dates back to 1973 and exempts 
intangible drilling expenses and exploration 
expenditure from property tax. The stated aim 
of this provision is to encourage further oil and 
natural -gas drilling in the State of Alaska.  Estimates of the revenue foregone due to this 
provision are not available.  Ongoing  
Alaska  In State Refinery 
Credit  Alaska Department 
of Revenue  Revenue 
Forgone  Qualifying in state oil refineries.  It takes the form of an investment credit 
applicable against corporate -income -tax liabilities 
and may not exceed the lesser of 40% of 
qualifying capital expenditure or USD 10 million 
per facility per year. Credits can be carried forward 
five years.  Estimates of the 
revenue foregone 
due to this credit 
are not available  
Arizona  Arizona 
Innovation 
Challenge  Arizona Commerce 
Authority  Grants  Recipients include technology businesses 
(including those within the aerospace, 
renewable energy, bioscience, advanced 
material and advanced manufacturing 
industries) with fewer than 30 employees and 
net assets of $10 million or less.  Generally, $150,000.  Ongoing  
Arizona  Healthy Forest 
Enterprise 
Incentives 
Program  Arizona  Commerce 
Authority  Tax benefits  Recipients are certified businesses primarily 
engaged in harvesting, initial processing or 
transporting of qualifying forest products that 
create qualifying jobs.  The program provides nonrefundable  income tax 
credits of up to $3,000 for each qualifying job 
created. Other incentives under the program 
include (i) use tax reductions and exemptions, 
(ii) property tax reductions, and (iii) transaction 
privilege tax exemptions.  Ongoing  
Arizona  Foreign Tr ade 
Zones  Various 
municipalities  Property tax 
reductions and 
exemptions  Recipients are businesses located in a zone or a 
sub-zone.  Eligible companies may receive up to a 72% 
reduction in state real and personal property 
taxes.  Ongoing  
Arizona  Military Reuse 
Zone Program  Arizona Commerce 
Authority  Tax credit and 
other tax 
benefits  Recipients include manufacturers, assemblers, 
or fabricators of aviation or aerospace products, 
as well as providers of aviation or aerospace 
services, located within a "military reuse zone."  Incentives under the program include (i) property 
tax reductions and (ii) transaction privilege tax 
exemptions.  Ongoing  
Arizona  Sale of Machinery 
or Equipment 
Used in Mining 
and in Drilling for 
or Extracting Oil 
or Gas from the 
Earth  Arizona 
Department of 
Revenue  Corporate 
income tax 
deduction  Recipients include the oil, gas and mining 
sectors.  The program provides sales tax refunds and 
exemptions in varying amounts.  Ongoing  
Arizona  Machinery, 
Equipment or 
Transmission 
Lines Used 
Directly in 
Producing or 
Transmitting 
Electrical Power  Arizona 
Department of 
Revenue  Sales tax 
refunds and 
exemptions  Eligible industries are those that use machinery, 
equipment or transmission lines used directly in 
producing or tr ansmitting electrical power.  The program provides sales tax refunds and 
exemptions in varying amounts.  Ongoing   
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- 72 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Arizona  Small Business 
Capital 
Investment 
Incentive Program 
(also known as 
the Angel 
Investment Tax 
Credit Program)  Arizona Commerce 
Authority  Tax credit  In order to receive tax credits, a qualified 
investor must invest at least $25,000 in a 
qualified small business and may not invest 
more than $250,000 annually in all qualified 
small businesses. This program provides 
nonrefundable tax credits equal to 35% of the 
investment in a qualified small business either 
(i) located in a rural area or (ii)  constituting a 
bioscience enterprise. A qualified small business 
for purposes of the program must, among other 
criteria, possess assets (exclusi ve of intellectual 
property and the qualifying investment) not 
exceeding $10  million.  Nonrefundable  tax credits equal to 30% of the 
investment in any other qualified small business. 
Such credits are claimed in equal increments over 
a 3-year period. Unused credits in any tax year 
can be carried forward for up to 3 years.  Ongoing  
Arizona  Research and 
Development 
(R&D) Tax Credit 
Program  Arizona Commerce 
Authority & Arizona 
Department of 
Revenue  Tax credit  Refundable tax credits administered by the ACA 
are limited to corporate taxpayers employing 
fewer than 150 full -time employees. 
Nonrefundable R&D tax credits administered by 
ADOR have no similar restriction on 
qualification.  ACA administered refundable tax  credits of up to 
75% of the excess of the general nonrefundable 
R&D credit over the credit recipient's annual 
income tax liability. ADOR administered 
nonrefundable R&D tax credits equal to 24% of the 
first $2.5 million of qualifying R&D expenses plus 
15% of the qualifying R&D expenses in excess of 
$2.5 million. In respect to research conducted at 
a public Arizona university, the ADOR also 
provides for a tax credit equal to as much as 34% 
of qualifying R&D expenses. Unused 
nonrefundable tax credits generall y may be 
carried forward for up to 15 years.  Ongoing  
Arizona  Renewable Energy 
Production Tax 
Credit  Arizona 
Department of 
Revenue  Tax Credit  Utility -scale energy production companies.  Based on the amount of electricity produced 
annually for a 10-year period using solar light, 
solar heat, wind or certain types of biomass. The 
income tax credits established are intended to 
promote investment in renewable energy 
production using low - emission and zero -emission 
electricity generation technologies. The credits are 
only for qualified energy generators with at least 
5 megawatts generating capacity.  Ongoing  
Arizona  Qualified Facility 
Tax Credit 
Program  Arizona Commerce 
Authority  Tax credit  Recipients are businesses that (i) make a 
qualifying capital investment to establish or 
expand a facility which devotes at least 80% of 
the square footage and payroll of the facility to 
qualified manufacturing, manufacturing -related 
research and development or headquarters and 
(ii) create qualifying jobs at the facility. In order 
to constitute qualifying jobs for purposes of the 
program, (i) at least 51% of the new jobs 
created at the facility must pay wages equal to 
or in excess of a certain percentage of the 
median Arizona annual production wage and 
(ii) all new jobs must include health insurance 
coverage for which the employer pays at least 
65% of the cost.  The program provides refundable tax credits equal 
to the lesser of:  
 
(i) 10% of the total qualified investment made at 
the facility, (ii)$20,000 per qua lifying job created 
at the facility, or (iii) $30 million. The credits are 
claimed in equal increments over a 5 -year period.  Ongoing   
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- 73 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Arkansas  Research & 
Development  Arkansas Economic 
Development 
Commission (15 -4-
2708)  Tax credit  Recipients include businesses that contract with 
Arkansas universities for research and 
development; existing, mature firms conducting 
in-house research; and new "targeted" 
businesses engaged in research and 
development.  The amount of income tax credits earned ranges 
from 20 %-33% of eligible research and 
development expenditures depending upon 
program. Credits may be carried forward for nine 
years.  Ongoing  
Arkansas  Targeted Business 
Incentives  Arkansas Economic 
Development 
Commission 
(Consolidated 
Incentive Act of 
2003, 15 -4-2701, 
et seq)  Tax credits and 
refunds  Recipients are "targeted businesses" classified 
within one of the following six sectors: advanced 
materials and manufacturing systems; 
agriculture, food and environmental sciences; 
biotechnology, bioengineering and life sciences; 
information technology; transportation 
logistics; and bio - based products. Target 
incentives are awarded at the discretion of the 
executive director of the Arkan sas Economic 
Development Commission.  Eligible companies may receive up to four 
incentives under this program: (a) refund of state 
and local sales and use taxes paid on building 
materials and machinery and equipment 
associated with the project; (b) 10% state income 
tax credit for 5 years based on new payroll, not to 
exceed $100,000 annually; (c) 33% state income 
tax credit based upon eligible research 
expenditures, not to exceed $50,000 annually; 
(d) sales and use tax credit of between 2% -8% on 
new inves tment by a technology company, 
company must have new payroll of at least 
$250,000 and pay an average hourly wage of 
150% of the state or county average wage, 
whichever is  less. Ongoing  
Arkansas  Digital Product 
and Motion Picture 
Industry 
Development Act  Arkansas Economic 
Development 
Commission (15 -4-
2001, et seq)  Cash rebates 
based upon 
production and 
payroll 
expenditures  Recipients are eligible production companies 
expending at least $200,000 within a six -month 
period in connection with the production of at 
least one state -certified production;  or $50,000 
within a six -month period in connection with a 
post- production. This incentive is at the 
discretion of the Director of the Arkansas 
Economic Development Commission.  Companies may receive two incentives under this 
program: (a) a production rebate up to 20% of 
qualified Arkansas production/post - production 
expenditures and (b) payroll rebate equaling 10% 
of payroll of Arkansas residents engaged in eligible 
productions.  Ongoing  
Arkansas  Arkansas 
Alternative Fuels 
Development 
Program  Arkansas 
Department of 
Agriculture, 
Arkansas 
Alternative Fuels 
Development Act, 
Arkansas Code 
§ 15-13-102, as 
amended by Act 
977 of 2009  Grants  Recipients include alternative fuels producers, 
feedstock processors, and alternative fuel 
distributors. Grants are to assist in the 
construction, modification, alteration, or 
retrofitting of feedstock processing facilities in 
Arkansas.  Provides grants not in excess of $3 million or 50% 
of the project cost, whichever is less in any fiscal 
year; grants to distributors do not exceed 
$300,000 or 50% of the project cost, whichever is 
less in any fiscal  year. 
2) Rebates to public entity, company, 
organization, or affiliate may revive up to $50,000 
per fiscal year for the cost of converting 
diesel/gasoline vehicles to bio -fuel natural gas or 
propane  vehicles.  Ongoing  
Arkansas  Recycling 
Equipment Tax 
Credit  Arkansas Act 654 
of 1993 as 
administered by 
the Arkansas 
Department of 
Environmental 
Quality  Income tax 
credit  Recipients include any taxpayer who purchases 
equipment used exclusively for reduction, reuse 
or recycling of solid waste material for 
commercial purposes, whether or not for profit, 
and the cost of installation of s uch equipment 
by outside contractors. Such equipment must 
be used in the collection, separation, 
processing, modification, conversion, treatment 
or manufacturing of products containing at least 
50% recovered materials of which at least 10% 
is post -consumer  waste.  The amount of the tax credit equals 30% of the 
cost of eligible equipment and installation costs.  Ongoing   
 G/SCM/N/372/USA  
 
- 74 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Arkansas  Tax Increment 
Financing  Act 1197 of 2001, 
14-168-301, et 
seq. Local revenue 
bonding 
authority  Investors in a redevelopment district which is 
defined as blighted, deteriorated or 
underdeveloped.  The amount varies depending upon project -
deferred revenue.  Ongoing  
Arkansas  Advantage 
Arkansas  Arkansas Economic 
Development 
Commission 
(Consolidated 
Incentive Act of 
2003, 15 -4-2701, 
et seq)  Income tax 
credit  Recipients include eligible businesses paying 
wages equal to the greater of the lowest county 
average hourly wage or$12.50 per hour, and 
include manufacturers; distribution centers; 
office sector businesses; commercial, physical 
or biological research; and, corporate 
headquarters. A company can receive an 
additional 1% credit of payroll if the average 
hourly wage exceeds 125% of the county or 
state average hourly wage, whichever is less.  This program provides income tax credits based 
upon a percentage of the payroll for new 
permanent employees. Minimum payroll 
thresholds and benefits are dependent on the tier 
in which the company locates or expa nds; Tier 1 - 
$125,000 minimum payroll - 1% benefit; Tier 2 - 
$100,000 minimum payroll - 2% benefit; Tier 3 
$75,000 minimum payroll  - 3% benefit; Tier 4 - 
$50,000 minimum payroll - 4% benefit. Maximum 
credit is 50 % of income tax liability each year. 
Credit  accrues for 5  years.  Ongoing  
Arkansas  Create Rebate  Arkansas Economic 
Development 
Commission 
(Consolidated 
Incentive Act of 
2003, 15 -4-2701, 
et seq)  Annual cash 
rebate (at 
discretion of 
AEDC Executive 
Director)  Eligible businesses, which must create at least 
$2 million in new annual payroll, include: 
manufacturers; distribution centers; office 
sector businesses; commercial, physical or 
biological research; and, corporate 
headquarters.  Incentives are based upon a percentage of payroll 
of new permanent employees. Minimum payroll 
thresholds and benefits are dependent on the tier 
in which the company locates or expands:  Tier 1 - 
3.9%; Tier 2 - 4.25%; Tier 3 - 4.5%; Tier 4 - 5%. 
Term of the agreement is up to 10 years. Targeted 
businesses paying 1 75% of lesser of state or 
county average wage) may receive 5% for up to 
10 years regardless of tier  status.  Ongoing  
Arkansas  Research in Area 
of Strategic Value; 
In-House 
Research in Area 
of Strategic Value  Arkansas Science & 
Technology 
Authority (ASTA) 
(with Arkansas 
Economic 
Development 
Commission) 
(Consolidated 
Incentive Act of 
2003, 15 -4-
2708(d)(1)(A)  Income tax 
credit  Recipients include any entity with qualified 
research expenditures with approval 
determined by ASTA board of directors.  The program provides an income tax credit equal 
to 33 % of qualified research expenditures. The 
agreement term is five years and the credit 
claimed is limited to $50,000 per tax year, but 
may be carried forward for nine years.  Ongoing  
Arkansas  Equity Investmen t 
Incentive  Arkansas Economic 
Development 
Commission, 
Arkansas Science 
and Technology 
Authority 
(7/1/2015 will be a 
division of AEDC) 
and Arkansas 
Development 
Finance Authority, 
Act 566 of 2007, 
15-4-3301 et seq  Income tax 
credit  Eligibility is targeted towards but not limited to 
investments in 1 of the following 6 sectors: 
advanced materials and manufacturing 
systems; agriculture, food and environmental 
sciences; biotechnology, bioengineering and life 
sciences; Information technol ogy; 
transportation logistics; and bio - based 
products or in businesses that receive 
assistance in the form of equity investments 
from capital investment funds that target early -
stage businesses and start -up businesses if the 
business pays 150% of the less er of state or 
county average wage and meets other criteria 
specified by the  code.  This program provides transferrable 33.33% 
income tax credits based upon qualified 
investment amounts. Credits cannot offset more 
than 50% of income tax liability annually.  Ongoing   
 G/SCM/N/372/USA  
 
- 75 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Arkansas  Wind Energy 
Income Tax 
Exemption  Arkansas 
Department of 
Finance and 
Administration, 
Arkansas Code 
§ 26-51-311 Tax exemption  Recipients must be a manufacturer of wind 
energy equipment and/or components; expend 
a minimum of $150,000 in Arkansas within 6 
years; hire at least 1,000 employees in 
Arkansas within 6 years.  This program provides exemptions up to 25 years.  Ongoing  
Arkansas  Arkansas Venture 
Capital 
Development Fund  Arkansas 
Development 
Finance Authority  Venture Capital 
Investment  Eligible companies include for -profit 
proprietorships, partnerships, corporations, and 
limited liability companies in need of early stage 
growth and development funds. The fund 
provides investment funding based on a 
percentage match with other q ualified investors. 
The focus of the fund is investing in technology -
based companies that operate in industries that 
are prominent in Arkansas, that have been 
identified as target industries by the Governor 
or the Arkansas Economic Development 
Commission ( AEDC), and/or are focus areas for 
research activities at the State 's four -year 
college institutions.  The fund has a minimum required investment of 
$50,000 and a maximum investment of 
$1,000,0000 in any one company.  Ongoing  
Arkansas  Quick Action 
Closing Fund  Arkansas Economic 
Development 
Commission with 
approval from the 
Arkansas Governor 
Arkansas Code 
§ 19-2-1231 Loan or Grant  Businesses meeting job and investment 
guidelines may be granted Quick Action Closing 
Fund Grants at the discretion of the  Governor to 
undertake eligible economic development 
projects. These are generally job creation and 
investment -generating projects where a 
positive economic benefit is required.  Grants have no ceiling but the projects must show 
a positive economic impact a nd are subject to 
program appropriation cap amounts. The Fund 
received a $75  million appropriation for 
FY 2019-2020.  Ongoing  
Arkansas  Coal Mining Tax 
Credit  Arkansas 
Department of 
Finance and 
Administration, 
Arkansas Code 
§ 26-51-511 Tax credits  This program is for coal companies mining in 
Arkansas.  An income tax credit of $2.00 per ton of coal 
mined, produced, or extracted is provided. An 
additional credit of  $3.00 per ton will be allowed 
for each ton of coal mined in excess of 50,000 tons 
in a tax year. The credit can only be earned if the 
coal is sold to an electric generation plant for less 
than $40.00 per ton excluding freight charges. The 
credit expires f ive tax years following the tax year 
in which the credit was earned. To claim the tax 
credit, a company must attach to its tax return a 
copy of the Certificate of Tax Credit issued by the 
Tax Credits/Special Refunds Section.  Ongoing   
 G/SCM/N/372/USA  
 
- 76 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Arkansas  State General 
Obligation Bond 
Financing 
(Amendment 82, 
Arkansas 
Constitution)  Arkansas Economic 
Development 
Commission. 
Projects also 
involve the 
Arkansas 
Governor's Office, 
the Department of 
Finance and 
Administration, and 
require legislative 
approval. 
Amendmen ts 82, 
90, and 97.  
Enabling legislation 
at 15-4-3201 et 
seq. State General 
Obligation Bond 
Financing 
(Proceeds can be 
in the form of 
grants and 
loans) for 
infrastructure  Sole proprietor, partnership, corporation, 
limited liability company, joint venture, or 
association taxable as a business entity, or any 
combination of these entities, that qualifies as 
an eligible business under the Consolidated 
Incentive Act of 2003, 15 -4-2701 et seq.  No cap. Subject to legislative approval based upon 
economic i mpact of project.  Ongoing  
Arkansas  Minority Business 
Enterprise and 
Women -Owned 
Business 
Enterprise Loan 
Mobilization 
Program (replaced 
Small Business 
Loan Program)  Arkansas Economic 
Development 
Commission, 
Arkansas Code 
§ 215-4-306 Loan guarantee 
program  Eligible businesses who are 51% owned by a 
woman or minority that have done or are 
currently doing business with a federal, state, or 
local Arkansas governmental entity. Loans must 
be used for job creation, expansion, repairs, 
acquisition  of machinery and equipment, 
inventory purchase, or working capital.  AEDC guarantees up to 90% of loans, up to 
$100,000, to assist eligible women and minority 
owned business from a qualified lender.  Ongoing  
Arkansas  Arkansas Small 
Business 
Innovation 
Research (SBIR) 
Matching Grant 
Program  Arkansas Economic 
Development 
Commission, Act 
166 of 2017  Matching grants  Business engaged in at least one of the following 
targeted activities: advanced materials and 
manufacturing systems; agriculture, food, and 
environmental sciences; biotech, 
bioengineering, and life sciences; information 
technology; transportation logistics; bio -based 
products. Business must have its primary 
location in Arkansas and have received a federal 
SBIR grant.  Provide matching grants of  up to 50% of the 
amount of federal Phase I and Phase II Small 
Business Innovation Research grants not to 
exceed $50,000 for Phase 1 awards and $100,000 
for Phase II awards.  Ongoing  
Arkansas  Arkansas Business 
and Technology 
Accelerator Grant 
Program  Arkansas Economic 
Development 
Commission, Act 
165 of 2017  Grant program  Eligible businesses include: manufacturer 
classified in sectors 31 -33 or engaged in design 
and development of pre-packaged  software, 
digital content productions and preservatio n, 
computer processing and data preparation 
services, or data retrieval services. Grants are 
at the discretion of the executive director of the 
Arkansas Economic Development  Commission.  Grant program to eligible businesses of up to 
$250,000 to sponsor busi ness and technology 
accelerator programs to mentor start -up 
companies.  Ongoing.   
 G/SCM/N/372/USA  
 
- 77 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Arkansas  Tax Back Program  Arkansas Economic 
Development 
Commission 
(Consolidated 
Incentives Act of 
2003), Arkansas 
Code § 15-4-
2706(d)  Sales and use 
tax Refund  Eligible businesses include: manufacturers; 
distribution centers; office sector businesses; 
commercial, physical or biolog ical research; 
and, corporate headquarters.  Refund of local sales and use tax for building 
materials used in construction, modernization, 
improvement, and machinery and equipment. 
Investment threshold requirement based on the 
tier of the county in which th e project is located:  
Tier 1 - $500,000; Tier 2 - $400,000; Tier 3 - 
$300,000; Tier  4 - $200,000. Requires a 
resolution from local governing authority. A 
company must sign a job creation agreement 
(Advantage Arkansas or Create  Rebate) within 
two years.  Ongoing 
Arkansas  ArkPlus  Arkansas Economic 
Development 
Commission 
(Consolidated 
Incentives Act of 
2003), Arkansas 
Code § 15-4-
2706(b)(6)  Income tax 
credit  Eligible businesses include: manufacturers; 
distribution centers; office sector businesses; 
commercial, physical or biological research; 
and, corporate headquarters. Incentive is 
awarded at the discretion of the executive 
director of the Arkansas Economic Development 
Commission.  Provides 10% income tax credit based on total 
new investment. To qualify, a company must meet 
the investment and new annual payroll thresholds 
for tier of the county in which the project locates: 
Tier 1 - $5,000,000 investment, $2,0 00,000 in 
new payroll; Tier 2 - $3,750,000 investment, 
$1,500,000 new payroll; Tier 3  - $3,000,000 
investment, $1,200,000  new payroll; Tier 4  - 
$2,000,000  investment; $800,000 new payroll. 
Credit may offset 50% of tax liability, annually. 
Can be carried fo rward for nine  years.  Ongoing  
Arkansas  Targeted ArkPlus  Arkansas Economic 
Development 
Commission 
(Consolidated 
Incentives Act of 
2003), Arkansas 
Code § 15-4-
2706(b)(7)  Income tax 
credit  Recipients are "targeted businesses" classified 
within one of the following six sectors: advanced 
materials and manufacturing systems; 
agriculture, food and environmental sciences; 
biotechnology, bioengineering and life sciences; 
information technology; transportation 
logistics; and bio - based products. Target 
incentives  are awarded at the discretion of the 
executive director of the Arkansas Economic 
Development Commission.  Companies must 
have $250,000 of new payroll that pays at least 
150% of the state or county average hourly 
wage, whichever is less.  Tax credit between 2% and 8% based on level of 
new investment. Amount of tax liability offset is 
based on average hourly wage rate of new payroll, 
between 50% and 100%. May be carried forward 
for nine  years.  Ongoing  
California  Percentage 
Depletion of 
Mineral and Oth er 
Resources  U.S. Census 
Bureau, California 
Department of 
Finance, EIA  Tax credit  This measure extends the corresponding federal 
provision for percentage depletion to 
California 's own corporation tax system (see 
"Excess of Percentage over Cost Depletion "). 
Under percentage depletion, producers of 
minerals and fossil fuels can recover capitalized 
costs by claiming as a depletion allowance a 
fixed percentage of gross income from the 
property. Under normal income -tax treatment, 
expenses that are ca pitalized into the basis of 
mineral properties would be recovered over 
time as output is extracted from the wells or 
mines.  2019 - $6,640,252. As is the case at the federal 
level, the depletion allowance cannot exceed 50% 
of a producer 's net income from th e property 
(100% for oil and natural -gas properties).  Ongoing   
 G/SCM/N/372/USA  
 
- 78 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
California  New Hire Tax 
Credit  Franchise Tax 
Board  Tax credit  This tax incentive is provided to small 
businesses that create new jobs in 
geographically targeted zones.  A total of $400 million has been allocated for this 
program. The estimated amount of tax credit 
claimed for 2015 is $693,323.  Ongoing  
California  Recycling Market 
Development 
Zone Program  California 
Integrated Waste 
Management Board  Mixed financing  Any business or local government agency 
located in a Recycling Zone utilizing post -
consumer or secondary waste material in their 
production process may apply for a recycling 
loan. Private businesses and not -for-profit 
organizations may borrow funds for real 
property, equi pment, working capital, or 
refinancing of onerous debts.  Each eligible business or local government agency 
may borrow up to 50 % of the cost of any project 
up to a maximum of $1 million. In 2015 -2016, the 
amount of loans awarded was approximately 
$6,833,000 . Ongoing  
California  Community 
Development 
Block Grant 
Program  Housing and 
Community 
Development 
Department  Grant  Recipients are businesses that locate in counties 
with fewer than 200,000 residents in 
unincorporated areas and cities with fewer than 
50,000 residents and are not participants in the  
U.S. Department of Housing and Urban 
Development (HUD) Community Development 
Block Grant (CDBG) program.  This program provides grants of up to $500,000. 
The total amount of grants awarded in 2016 was 
approxi mately $3,030,000.  Ongoing  
California  Film & TV Tax 
Credit 3.0  California Film 
Commission, 
California 
Department of Tax 
and Fee 
Administration 
(sales tax portion)  Tax credit  Recipients include qualified film and TV 
production entities.  25% Transferable Tax Credit: Independent Film 
applicants are eligible to receive 25% of qualified 
expenditures and shall be applied to a maximum 
of $10 million of the qualified expenditure budget. 
Independent film applicants are eligible to sell or 
transfer ta x credits. There is no cap on non -
qualified expenditures. 2. 25% Non -Transferable 
Tax Credit: Relocating television series applicants 
are eligible for 25% tax credits for a maximum 
qualified expenditure of $100 million. Subsequent 
seasons, considered recur ring TV series, receive 
20% tax Film and TV Tax Credit. Relocating TV 
series apply as a non -independent category and 
may not transfer or sell tax credits. 3. 20% Non -
Transferable Tax  Credit:  a. Non -independent 
productions that are feature films, new TV ser ies, 
recurring TV series, pilots, or miniseries are 
eligible to receive 20% tax credits. b. The 20% tax 
credit applies to up to a maximum of $100 million 
of qualified expenditures. c.  Tax credits are non -
transferable and must be used to offset tax liabilit y 
with the State of California. d.  Independent 
"producers " may apply under the 
non-independent category, but the tax credits will 
remain non - transferable.  Ongoing  
California  Motion Picture Tax 
Credit Program  California Film 
Commission  Tax credit  Recipients are producers of films.  The total amount is limited to $100 million through 
to 2019.  Ongoing  
California  New Markets Tax 
Credit  California 
Department of 
Financial 
Institutions (CDFI)  Tax credit  Recipients are companies with qualified equity 
investments in designated Community 
Development Entities (CDEs).  The credit provided to the investor is 39 % of the 
cost of the investment and is claimed over a 
seven  year period.  Ongoing   
 G/SCM/N/372/USA  
 
- 79 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
California  Biomass Fuel 
Incentive  Section 25678 of 
the California 
Public Resources 
Code Grant  Recipients are producers of liquid fuels 
fermented in California from biomass and 
biomass derived resources.  This grant provides a 40 cent per gallon production 
incentive.  Ongoing  
California  Ethanol Tax Credit  Bill 8651.8 of the 
California Revenue 
and Taxation Code  Tax credit  This tax credit applies to fuels consisting of at 
least 85 % ethanol or methanol.  This program reduces the excise tax to one half 
the normal rate for each gallon of ethanol or 
methanol used.  Ongoing  
California  Partial Sales and 
Use Tax 
Exemption for 
Manufacturing and 
Research & 
Development  
Equipment  California 
Department of Tax 
and Fee 
Administration  Tax exemption  Recipients include California taxpayers engaged 
in manufacturing and in certain types of 
research and development activities in the fields 
of biotechnology or physical, engineering, and 
life sciences.  The sales tax on qualifying equipment is reduced 
from 7.5% to 3.3%.  Ongoing  
California  Sales and Use Tax 
Exclusion (STE) 
Program  California 
Alternative Energy 
and Advanced 
Transportation 
Financing Authority  Tax exemption  Recipients are advanced manufacturers and 
manufacturers of alternative energy and 
advanced transportation products, components 
or system s. Under this program, the full sales and use tax is 
exempted but capped at $100 million in exclusions 
in a calendar year.  Ongoing  
California  California 
Competes  Governor 's Office 
of Business and 
Economic 
Development  Tax Credit  Eligible businesses are judged on the following 
eleven criteria:  
• Number of jobs created or  retained  
• Compensation paid to  employees  
• Amount of  investment  
• Extent of unemployment or poverty in 
business  area 
• Other incentives available in  California  
• Incentives available in other  states  
• Duration of proposed project and duration 
of commitment to remain in this  state 
• Overall economic  impact  
• Strategic importance to the state, region, 
or locality  
• Opportunity for future growth and  
expansion  
• Extent to which the benefit to the st ate 
exceeds the amount of the tax credit  The minimum amount of an applicant's request 
shall be $20,000 and the maximum amount shall 
be subject to the limitations set forth in Revenue 
and Taxation Code sections 17059.2 and 23689. 
Businesses can carry the cr edit over for six years.  Ongoing  
California  Sale and Use Tax 
Exemption 
(Chapter 4. 
Exemptions: 
Art. 1, 
Section  6368)  California 
Department of Tax 
and Fee 
Administration  Tax Exemption  Deep sea or foreign commerce fishers outside of 
California territorial waters are eligible.  The amount of the benefit is equal to the amount 
of the tax that does not have to be paid.  Ongoing   
 G/SCM/N/372/USA  
 
- 80 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
California  Farm Equipment 
Exemption  California 
Department of Tax 
and Fee 
Administration  Partial Tax 
Exemption  A partial exemption from the sales and use tax 
became available under section 6356.5 for the 
sale, storage, use, or other consumption of farm 
equipment, machinery, and their parts to 
qualified persons for use in qualifying activities. 
The partial exemption a lso applies to leases of 
certain farm equipment and machinery. The 
partial exemption applies only to the state sales 
and use tax rate portion. The exemption does 
not apply to any local, city, county, or district 
taxes.  
 
Sales and purchases of farm equipment, 
machinery, and parts will continue to be subject 
to the remaining portion of the sales and use tax 
rate consisting of the local, city, county, and any 
applicable district taxes.  
 
Qualified person means: Someone engaged in a 
line of business desc ribed in Codes 0111 to 
0291 of the Standard Industrial Classification 
(SIC) Manual (1987 edition), or a person or 
employee who assists a person engaged in 
those codes by performing the activities in SIC 
Codes 0711 to 0783.  Exemption only from the state gen eral fund 
portion of the sales and use tax rate . Ongoing  
California  Teleproduction 
Exemption  California 
Department of Tax 
and Fee 
Administration  Partial Tax 
Exemption  A partial exemption from the sales and use tax 
became available under section 6378 for the 
sale, storage, use or other consumption of 
machinery, equipment including component 
parts to a qualified person used primarily in 
teleproduction or other postproduct ion services. 
The exemption also includes property sold or 
purchased by a qualified person primarily to 
maintain, repair, measure, or test any property 
used in teleproduction or post -production  
services. The partial exemption may also apply 
to rental receipts paid by a qualified person for 
teleproduction or postproduction equipment and  
machinery.  The partial exemption applies only to the state 
sales and use tax portion.  Ongoing   
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- 81 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
California  Timber Harvesting  California 
Department of Tax 
and Fee 
Administration  Partial Tax 
Exemption  A partial exemption from sales and use tax 
became available under 6356.6 for sales and 
purchases of equipment, machinery, and their 
parts designed primar ily for off -road use in 
commercial timber harvesting operations by a 
"qualified person." A "qualified person" means 
any person who is engaged in commercial 
timber harvesting operations. The partial 
exemption also applies to leases of off -road 
commercial ti mber harvesting equipment and 
machinery subject to tax measured by rentals  
payable.  The partial exemption applies only to the sales and 
use tax rate portion.  Ongoing  
California  California 
Research Tax 
Credit  California Franchise 
Tax Board  Tax credit  This credit is based on the federal research 
credit, with modifications. One may qualify for 
this credit if one engaged in qualified research 
activities in California.  The credit is equal to the sum of the following: 
15% of qualified expenses that exceed a base 
amount; 24% of basic research payments . Ongoing  
Colorado  Severance -Tax 
Exemption for 
Stripper Wells  Colorado General 
Assembly, EIA, 
IPAA Tax Exemption  This provision exempts the income derived from 
oil and natural -gas "stripper wells " from the 
severance tax that is usually levied on oil and 
gas extraction activities conducted in the state 
of Colorado. "Stripper wells " are those wells that 
produce daily o n average 15 barrels or less of 
oil, or 90 000 cubic feet or less of natural gas.  2019 - $12,176,375 crude oil/petroleum;  
$32,311,550 natural gas.  Ongoing  
Colorado  Severance -Tax Oil 
and Gas 
Ad Valorem  Credit  Colorado 
Department of 
Revenue, IPAA  Tax Credit  A credit is allowed, equal to 87.5 % of all 
ad valorem  taxes assessed or paid during the 
taxable year for crude oil, natural gas, carbon 
dioxide, and oil and gas leaseholds and 
leasehold interests and oil and gas royalties and 
royalty interests for s tate, county, municipal, 
school district, and special district purposes 
except the ad valorem  taxes paid or assessed 
on stripper wells.  2017-2019: 0 . 
2016 - $71,543,831crude oil/petroleum ; 
$200,280,169 natural gas.  Ongoing  
Colorado  Impact Assistance 
Credit  Colorado Revised 
Statutes 39 -29-
107.5  Tax Credit  This measure provides mining companies 
(including oil and gas companies) operating in 
Colorado with a severance tax credit for the 
amount of approved contributions paid to local 
governments  so they can deal with the social 
and economic impacts that mining activities 
have locally.  The total amount of credit that can be claimed 
cannot exceed 50% of the severance -tax liability 
that taxpayers anticipate to incur in the first 
ten years of severan ce of the project.  Ongoing  
Colorado  Severance -Tax 
Reductions for 
Low-Volume Wells  Colorado Revised 
Statutes 39 -29-
105 Tax Reduction  Oil and natural -gas wells generating gross 
incomes below USD 300,000 per year in 
Colorado attract lower rates of severance tax 
(from 2% to 4%) as compared with the higher 
5% rate prevailing in the state.  Lower rates of severance tax from 2% to 4% as 
compared with the higher 5% rate prevailing in 
the state.  Ongoing   
 G/SCM/N/372/USA  
 
- 82 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Colorado  Severance -Tax 
Reductions for 
New Oil-Shale 
Facilities  Colorado Revised 
Statutes 39 -29-
107 Tax Reduction  This measure provides new oil -shale 
commercial facilities operating in Colorado with 
reductions in the rate of severance tax that 
normally applies to oil -shale production in the 
state. Reductions range from 100% in the first 
180 days after commercial production starts to 
25% in the third  year that follows.  Reductions range from 100% in the first 180 days 
after commercial production starts to 25% in the 
third year that follows.  Ongoing 
Colorado  Severance -Tax 
Exemption for 
Low-Volume Oil -
Shale Production  Colorado Revised 
Statutes 39 -29-
107 Tax Exemption  This provision exempts the first 15,000 tons —or 
the first 10,000 barrels, whichever is greater —
of oil shale produced per day in Colorado from 
the severance tax that normally applies to oil -
shale extraction in the state.  No estimates are available for this particular 
measure.  Ongoing  
Colorado  Occupational -
Privilege -Tax 
Exemption for Oil 
and Gas Workers  Colorado Revised 
Statutes 31 -15-
501, IOGCC (2007)  Tax Exemption  Occupational privilege taxes are taxes that are 
sometimes levied by counties and municipalities 
to compensate for the fact that workers there 
may require services from local governments for 
which they do not p ay taxes if they are not 
residents. The oil and natural -gas sector in 
Colorado is specifically exempted from paying 
any such tax in the state.  No estimates are available for this particular 
measure.  Ongoing  
Colorado  Reduced Value for 
Certain Mineral 
Properties  Colorado Revised 
Statutes 39 -29-
105 and  39-7-102, 
IOGCC (2007)   This provision allows oil and natural -gas 
leaseholds and lands in Colorado to be valued 
for property -tax purposes at 87.5% of the value 
of production sold therefrom during t he 
preceding year. This percentage is further 
lowered to 75% in the case of oil and natural -
gas production sites using secondary or tertiary 
recovery  methods.  No estimates are available for this particular 
measure . Ongoing  
Colorado  Enterprise Zone  Office of Economic 
Development & 
Int'l Trade  Tax credit  Any business locating or expanding within a 
designated enterprise zone is potentially 
eligible. Specific programs, however, are 
targeted at agricultural processing, 
manufacturing, and R&D. Companies m ust 
invest in equipment used exclusively in the 
zone; hire new full -time employees; pay for 
50% or more of an employee's health 
insurance; conduct R&D activities in the zone; 
invest in job training; invest in the rehabilitation 
of a building that is over 2 0 years old and 
vacant; or make a contribution to approved 
zone development projects in zones.  This program provides an investment credit of 3% 
for investments in equipment used exclusively in 
the enterprise zone. A 25% income tax credit (not 
to exceed $50 ,000) is provided to rehabilitate 
vacant buildings. A 10% credit is provided for 
employer job training expenses. There is a $500 
tax credit for each new full - time employee, an 
additional $500 credit for each full -time 
agricultural processing or manufactur ing 
employee and an additional $200 for each 
employee for whom the employer pays health 
insurance. A 3% tax credit is granted for increases 
in R&D expenditures. There is also a tax credit of 
25% (not to  exceed $100,000) for private 
contributions to local z one administrators for 
enterprise zone development projects. Localities 
also have the option of refunding local property 
tax and/or sales and use tax on equipment and 
supplies.  Ongoing   
 G/SCM/N/372/USA  
 
- 83 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Colorado  Biotech Sales and 
Use Tax Refund  Department of 
Revenue  Tax refund  Benefits are provided to a "Qualified taxpayer" 
that purchases, stores, uses, or consumes 
tangible personal property to be used in 
Colorado directly and predominately in research 
and development of biotechnology.  For the calendar year commencing 
January 1, 1999, and for each calendar year 
thereafter, each qualified taxpayer is allowed to 
claim a refund of all state sales and use tax paid 
by the qualified taxpayer on the sale, storage, use, 
or consumption of tangible personal property to be 
used in Co lorado directly and predominately in 
research and development of biotechnology 
during that calendar year.  To claim the refund a 
qualified taxpayer submits a refund application to 
the department of revenue on a form provided by 
the department.  Ongoing  
Colorado  Aviation 
Development 
Zone Tax Credit 
(ADZ)  Colorado Office of 
Economic 
Development and 
International Trade  Tax credit  Recipients are qualified aircraft manufacturers.  Aircraft manufacturers located in a Colorado 
aviation development zone may qualify for a state 
income tax credit of $1,200 per new employee. 
The credit is available for tax years beginning on 
or after January  1, 2006.  Ongoing  
Colorado  Advanced 
Industries 
Investment Tax 
Credit  Office of Economic 
Development a nd 
International Trade  Tax credit  This program provides tax credits to investors 
who make equity investments in advanced 
industry startups. Credits are limited, both at 
the individual level and the program  level.  Amounts vary and are capped at $750,000 for 
2015.  Ongoing  
Colorado  Advanced Industry 
Grant Program 
(AI) Office of Economic 
Development and 
International Trade  Grants  The program provides Proof of Concept Grants 
to research institutions with technology transfer 
offices, early stage companies and to non -
profits who provide infrastructure that fills gaps 
in the AI ecosystems and can be used as 
matching dollars for federal funds.  $150,000 -$500,000 . Ongoing  
Colorado  Certified Capital 
Companies 
Program (CAPCO)  Office of Economic 
Development and 
International Trade  Venture/risk 
capital  Provides assistance for the formation of new 
businesses and the expansion of existing 
businesses that create jobs in the State by 
providing funds to invest in Colorado 
businesses.  Assistance  provided is bet ween $100,000 and 
$3,300,000. The CAPCOs may consider requests 
for less than $100,000 on a case by case basis.  Ongoing  
Colorado  Community 
Development 
Block Grant 
Program  Office of Economic 
Development & 
Int'l Trade  Loan/guarantees  Businesses in certain regions.  The amounts vary.  Ongoing  
Colorado  Job Growth 
Incentive Tax 
Credit  Office of Economic 
Development and 
International Trade  Tax Credit  Businesses have to create at least 20 net new 
jobs (full -time equivalents) in Colorado during 
the credit period with an average yearly wage 
of at least 100% of the county average wage 
rate based on where the business is located. A 
business located in an Enhanced Rural 
Enterprise Zone has to create at least five net 
new jobs (full -time equivalents) in Colorado 
during the credit period with an average yearly 
wage of at least 100% of the county average 
wage based on where the business is located.  The Job Growth Incentive Tax Credit (JGITC) 
provides a state income tax credit equal to 50%  of 
the employee tax (FICA) paid by the business on 
the net job growth for each calendar year in the 
credit period.  Ongoing   
 G/SCM/N/372/USA  
 
- 84 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Connecticut  Apprenticeship 
Training Tax 
Credit in 
Manufacturing, 
Plastics, Plastics -
Related, or 
Construction 
Trades - § 12- 
217g Connecticut 
Department of 
Labor  Tax credit  Recipients are companies in manufacturing 
trades (machinists, tool and die makers, 
machine tool repairers), plastics and plastic -
related trades and construction trades.  Manufacturing and Plastics/Plastics -Related 
Trades: A firm may apply for a credit of up to 
$4800 per apprenticeship. The amount of the 
credit is limited to the lesser of 50 % of the ac tual 
wages paid or the total number of working hours 
during the year multiplied by $4.00, or $4,800.  
 
Construction Trades: A firm may apply for a credit 
of up to $4000 per apprenticeship. The amount of 
the credit is limited to the lesser of 50 % of the 
actual wages paid or the total number of working 
hours during the year multiplied by $2.00, or  
$4,000.  Ongoing  
Connecticut  Connecticut 
Capital Access 
Fund:  Urban  Connecticut 
Development 
Authority (CDA)  Loan Businesses located in New London or Windham 
counties or one of 25 designated municipalities 
are eligible for targeted business loans. Special 
emphasis on minority and women - owned 
businesses. Small business assistance loans 
available for businesses with 100 or fewer 
full-time employees.  No prior CDA approval is required for new bank 
loans up to $250,000. The maximum loan is 
$500,000 with a maximum term of 15 years.  Ongoing  
Connecticut  Connecticut 
Innovations  Connecticut 
Innovations, Inc.  Equity  To be considered as a Connecticut Innovations 
portfolio client, a company must have a 
proprietary technology, since this is typically the 
collateral for providing funds.  Product development financing is available for a 
minimum of 40 % of the project funds between 
$50,000 and $1,000,000 in f unds. Companies 
may apply for up to $500,000. Investments are 
structured using a variety of vehicles, including 
debt, equity, quasi - equity and royalties. 
Generally, the fund expects a compounded annual 
rate of return of 25 -40%. The structure of the 
invest ment terms depends upon the risk 
assessment made by Connecticut Innovations' 
staff, and the needs of the business.  Ongoing  
Connecticut  Enterprise 
Corridor Zones  State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Tax benefits  The communities located in the corridor zones 
are: Ansonia, Beacon Falls, Derby, Griswold, 
Killingly, Lisbon, Naugatuck, Plainfield, Putnam, 
Seymour, Sprague, Sterling, Thompson, 
Torrington and Winchester. Municipalities in the 
enterprise corridor zones are no t classified as 
targeted investment communities, and are 
therefore not eligible to extend urban job 
benefits.  The amounts vary.  Ongoing  
Connecticut  Enterprise Zone or 
Entertainment 
District Tax Credit  State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Tax credit  Eligible recipients/activities include 
manufacturers, R&D, warehousing and certain 
services and entertainment related business as 
defined by regulations located in enterprise 
zones or entertainment districts.  This program a llows a business to claim 25 % or 
50% of their allocable State Corporate business 
tax as a credit.  Corporations may claim this credit 
for 10 years beginning with the first year following 
certification.  Ongoing   
 G/SCM/N/372/USA  
 
- 85 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Connecticut  Enterprise Zone 
Program  State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Tax benefits  Recipients are manufacturers and firms in 
certain qualifying service sectors in the targeted 
investment communities. The program is 
geared toward manufacturing and certain 
service se ctor businesses as well as research 
and development related to manufacturing and 
distribution of manufactured products.  
 
Eligible facilities include newly constructed 
facilities, older facilities idle for at least one year 
prior to being acquired through l ease or 
purchase, and facilities that are substantially 
renovated or expanded.  Manufacturing facilities located within the zones 
are eligible for the following assistance: 
1) five-year, 80 % abatement of local taxes on real 
estate improvements and personal property 
acquisitions; 2)  ten-year, 25 % credit on corporate 
business taxes (50 % if at least 5 % of all new 
employees are from the enterprise zone or from 
the municipality's disadvantaged population); 
3) low-cost loans and free technical assistance; 
4) job-training and placement assistance; and 
5) exemptions from both state real estate 
conveyance taxes and sales taxes on machinery 
replacement parts. Both commercial businesses 
and residential facilities (where tenants satisfy 
maximum income level criteria) are  eligible for a 
seven -year graduated tax deferral on increased 
assessments for improvements to property, 
exemptions on state real estate conveyance tax, 
and local  incentives.  Ongoing  
Connecticut  Manufacturing 
Assistance Act  State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Loan Recipients are an economic base business or 
business that has a North American Industrial 
Classification code of 311111 through  339999  or 
493110,  493120,  493130,  493190,  511210, 
512110,  512120,  512191,  522210,  522293,  
522294,  522298, 522310,  522320,  522390,  
523110,  523120,  523130,  523140, 523210,  
523910,  524113,  524114,  524126,  524127,  
524128, 524130,  524292,  541711,  541712,  
551111,  551112,  551114, 561422,  611310,  
611410,  611420,  611430,  611513,  611519, 
611710 and 624410 or any business that is part 
of an economic cluster, or any establishment or 
auxiliary or operating unit thereof, as defined in 
the North American Industrial Classification 
System Manual, which has demonstrated to the 
satisfaction  of the commissioner that it has the 
qualifications, including financial qualifications, 
necessary to carry out a business development 
project.  The program funds 50 % of total project costs; up 
to 75 % for joint ventures between two or more 
municipalities, up to 90 % in targeted investment 
communities, and up to 100 % for defense 
diversification projects. The term of the state's 
economic development loans is typically for a 
period of ten years as recipien ts of said financial 
assistance are required by statute to maintain 
their operations in the state of a ten year period. 
However, the state has the authority to set any 
term it deems  appropriate.  
 
Interest rates charged under the program are 
slightly below market rates. Maximum amount is 
capped at $10 million.  Ongoing  
Connecticut  Manufacturing 
Credits to 
Facilities Located 
in Distressed 
Municipalities and 
Enterprise Zones  Department of 
Revenue Services  Tax credit  Corporations (including manufacturing facilities) 
that are located in designated distressed 
municipalities and enterprise zones within 
Connecticut.  This program provides tax credits up to 50 % 
through the Department of Economic and 
Community Development (DCED). The amounts of 
the credits vary.  Ongoing   
 G/SCM/N/372/USA  
 
- 86 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Connecticut  Manufacturing 
Facility in a High 
Unemployment 
Area Tax Credit  State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Tax credit  Businesses operating in a designated area of 
high unemployment.  A credit may be applied against the portion of the 
corporation business tax allocable to a 
manufacturing facility located in a distressed 
municipality. The credits are good for up to 
10 years.  Ongoing  
Connecticut  Tax Credits for 
Manufacturers 
Located in 
Connecticut's 
Targeted 
Investment 
Communities  State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Tax credit  Recipients are companies in Targeted 
Investment Communities that are engaged in 
eligible activities, including investments in 
manufacturing facilities or in research and 
development activities related to 
manufacturing.  This program provides a 25 % tax credit for 
10 years for businesses relocat ing to or expanding 
in one of Connecticut's Targeted Investment 
Communities.  Ongoing  
Connecticut  Tax Increment 
Financing  Connecticut 
Development 
Authority (CDA)  Financing  Recipients include large -scale economic 
development projects approved by the CDA 
prior to July 1996 and determined to be self -
sustaining through the generation of 
incremental taxes collected under the sales, 
admission, cabaret and dues taxes.  The amounts of the bonds vary and are based on 
a negotiated sale or competitive bid with bond 
purchasers developed in conjunction with the 
State Treasurer. The bond terms are generally 
10 and 30  years.  Ongoing  
Connecticut  Urban Jobs 
Program  Department of 
Economic and 
Community 
Development  Tax benefits and 
capital loans  There are presently 17 Targeted Investment 
Communities.  Businesses located within the targeted areas are 
eligible for the following assistance: 1) An 80 % 
local property tax abatement for five years for 
both real and personal property; 2) A corporate 
business tax reduction of 25 % for ten years; 
3) Working capital loans for small businesses; and 
4) A 0.5 % reduction in charges for state industrial 
mortgage guarantees. Facility owners are entitled 
to the property tax incentives while all other 
incentives are reserved for facility occ upants.  Ongoing  
Connecticut  Metro Hartford 
Growth Fund  Department of 
Economic and 
Community 
Development  Loan Recipients are: 1) businesses which plan to 
create new jobs within the next three years in 
the Metro Hartford area and 2) businesses in 
"growth clusters" (manufacturing, financial 
services, health care, information technology, 
distribution, tourism/entertainment, and 
environmental technologies).  The maximum loan amount is $350,000 per 
project. Most loans amount to $20,000 per new, 
full-time, permanent job to be created over a 
three  year period.  Ongoing  
Connecticut  Information 
Technology 
Project Grants  Connecticut 
Development 
Authority  Grant  Recipients are developers and companies that 
engage in information technology projects that 
are located within an enterprise zone, urban 
communities, or distressed areas.  The amounts vary.  Ongoing  
Connecticut  Qualified 
Manufacturing 
Plant Department of 
Economic and 
Community 
Development  Tax credit and 
tax abatement  Recipients are manufacturing plants in any 
Targeted Investment Community with approval 
from the Commissioner of the Department of 
Economic and Community Development, and 
are designated a vacant or underutilized 
manufacturing plant, with an area of at least 
500,000 square  feet. This program provides a 5 -year, 80 % abatement 
of local property taxes and a 10 -year, 25 % (or 
50%) credit on the Connecticut Corporation 
Business tax.  Ongoing   
 G/SCM/N/372/USA  
 
- 87 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Connecticut  Railroad Depot 
Zone Department of 
Economic and 
Community 
Development  Tax credit and 
tax abatement  Recipients include any targeted investment 
community with approval from the 
Commissioner of the Department of Economic 
and Community Development, designated as an 
under -utilized railroad depot, and located 
outside the boundaries of the existing Enterprise 
Zone.  This program provides a 5 -year, 80 % abatement 
of local property taxes and a 10 -year, 25 % (or 
50%) credit on the Connecticut Corporation 
Business tax.  Ongoing  
Connecticut  CT Inner City 
Business Loan 
Guarantee 
Program  Department of 
Economic and 
Community 
Development  Loan Recipients are small businesses located in 
designated areas.  The loan amounts range from $50,000 to 
$250,000, with discounted fixed interest rates and 
a 1% application fee.  Ongoing  
Connecticut  Digital Animation 
Tax Credit  - § 12-
217ll Connecticut 
Commission on 
Culture and 
Tourism  Tax credit  The beneficiary is the animation industry.  For income in years beginning on or after January 
1, 2007, any state -certified animation production 
company incurring production expenses or costs 
in excess of $50,000 is eligible for a tax credit 
equal to 30% of such  production expenses or 
costs.  Ongoing  
Connecticut  Film Production 
Infrastructure Tax 
Credit - § 12-
217kk and § 12-
217jj Connecticut 
Commission on 
Culture and 
Tourism  Tax credit  The beneficiary is the film industry.  For state -certified infrastructure projects costing 
greater than $15,000 and less than $150,000, 
each taxpayer may be allowed a tax credit equal 
to 10% of the investment of the taxpayer. For 
state- certified projects costing $150,000 or more, 
but less than  $1 million, each ta xpayer may be 
allowed a tax credit equal to 15% of the 
investment of the taxpayer. For state -certified 
projects costing $1 million or more, each taxpayer 
may be allowed a tax credit equal to 20% of the 
investment of the taxpayer. Credits are assignable 
(saleable ). Ongoing  
Connecticut  Connecticut 
Brownfields & 
Information 
Technology 
Projects Tax 
Incremental 
Financing  Connecticut 
Brownfields 
Redevelopment 
Authority  Tax incentives 
and grants  Recipients are investors which invest in 
brownfield redevelopment in Bridgeport.  The amounts vary.  Ongoing  
Connecticut  Tax Incentive 
Development 
Program  Department of 
Economic and 
Community 
Development  Tax incentives  Qualifying projects must a) have a minimum of 
$3,000,000 in estimated costs of construction or 
rehabilitation; b) if located in an Enterprise 
Zone, have a minimum of $1,000,000 in 
estimated costs of construction, rehabilitation 
and/or machinery and equipment.  The amounts vary.  Ongoing   
 G/SCM/N/372/USA  
 
- 88 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Connecticut  Urban and 
Industrial Site 
Reinvestme nt Tax 
Credit - § 32-9t State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Tax credit  Eligible applicants must be capable of an 
investment that will add significant new 
economic activity, increase employment in a 
new facility and generate significant additional 
tax revenues to the municipality and the state. 
If the investment is made by an investment 
fund, the fund must have an asset value of at 
least $60  million. If the investment is made by 
a taxpayer, the investment must be a mi nimum 
of $5 million.  Projects may receive a dollar for dollar corporate 
tax credit of up to 100 % of their investment up to 
a maximum of $100,000,000. Credit is disbursed 
over a ten year period. Credits are assignable 
(saleable ). Ongoing  
Connecticut  Indust rial Revenue 
Bonds For 
Manufacturers  Connecticut 
Development 
Authority  Loan Recipients are qualified manufacturers.  Loans can be up to $10 million for a term of up to 
40 years or 120% of the economic life of the asset 
financed.  Ongoing  
Connecticut  Connecticut 
Brownfield 
Revolving Loan 
Fund State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Loan The recipients are entities involved in the 
remediation of environmental contamination 
located in any Connecticut municipality.  The total amount invested in fiscal year 2016 was 
$32.8 million.  Ongoing  
Connecticut  Special 
Contaminated 
Property 
Remediation and 
Insurance Fund 
(SCPRIF)  State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Loan Recipients are the current owner of the site, the 
prospective owner or developer of the site, or 
the municipality in which the site is located.  The program provides a bridge loan to allow the 
applicant to conduct investigations, demolition 
and site remedia tion. Interest is paid during the 
term of the loan and the principal is repaid at the 
end of the term of the loan or when the site is later 
sold or leased or when the environmental 
remediation is complete. The total amount 
invested in fiscal year 2016 was approximately  
$1,856,600.  Ongoing  
Connecticut  Urban Sites 
Remedial Action 
Program (USRAP)  State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Loan Recipients are owners or developers of 
contaminated property willing and able to 
conduct the investigations and remediate the 
site. This program provides seed capital to facilitate the 
transfer, reuse and redevelopment of the 
property.  Ongoing  
Connecticut  Manufacturing 
Facility Tax Credit -
§ 12-217e State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Tax credit  Recipients are manufacturers with a tax liability 
against the tax imposed under Chapter 208 of 
the Connecticut General statutes (Corporate 
Business tax).  A tax credit is available equal to 25% of the tax 
allocable to a manufacturing facility located within 
a Targeted Investment Community or an 
Enterprise Zone (or other area having Enterprise 
Zone level benefits).  Ongoing   
 G/SCM/N/372/USA  
 
- 89 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Connecticut  50% 
Manufacturing 
Facility Tax Credit 
for Facilities 
Located i n an 
Enterprise Zone 
(or Other Area 
Having Enterprise 
Zone Level 
Benefits) - § 12-
217e State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Tax credit  Recipients are manufacturers with a tax liability 
against the tax imposed under Chapter 208 of 
the Connecticut General statutes (Corporate 
Business tax) and businesses engaged in 
biotechnology, pharmaceutical or photonics 
research, development, or production, with not 
more than 300 employees, located in a 
municipality with a major res earch university 
with programs in biotechnology, 
pharmaceuticals, or photonics, and an 
Enterprise Zone.  A tax credit equal to 50% allocable to a 
manufacturing facility located within a designated 
Enterprise Zone (or other area designated as 
having Enterpri se Zone level benefits) is available 
to a manufacturing facility that meets certain 
employment criteria.  
 
Other areas include: Enterprise Zones, Targeted 
Investment Communities, Entertainment Districts, 
Qualified Manufacturing Plants, Railroad Depot 
Zones, Contiguous Municipality Zones, Enterprise 
Corridor Zones, Defense Plant Zones and 
Manufacturing Plant Zon es. Ongoing  
Connecticut  Enterprise Zone 
Tax Credit for 
Qualifying 
Corporations § 12-
217v State of 
Connecticut 
Department of 
Economic and 
Community 
Development  Tax credit  Recipients are qualifying corporations 
established in an area designated for enterprise 
zone level benefits and that meet certain 
employment levels and have tax liability against 
the tax imposed under Chapter 208 of the 
Connecticut General statutes (Corporate 
Business tax).  Corporations may claim this credit for 10 years 
beginning with the first year following certification. 
100% of the corporation's business tax liability 
can be claimed in years 1 through 3 and 50% of 
the corporation's business tax liability for years 
4 through 10.  Ongoing  
Connecticut  Research and 
Development (No 
incremental) 
Expenditures Tax 
Credit - § 12-217n Department of 
Revenue Services  Tax credit  Recipients are businesses with tax liability 
against the tax imposed under Chapter 208 of 
the Connecticut General statutes (Corporate 
Business tax).  A qualified small business is entitled to a tentative 
tax credit equal to 6% of its R&D expenditures. 
Businesses making an R&D investment of 
$50 million or less are entitled to a 1% tax credit; 
businesses making an R&D investment of more 
than $50 million but not more than $100 million 
are entitled to a credit of $500,000 + 2% over 
$50 million; businesses making an R&D 
investment of more than $100 million but not 
more than $200  million are entitled to a credit of 
$1,500,000 + 4% over $100 millio n; and 
businesses making an R&D investment of more 
than $200 million are entitled  to a credit of 
$5,500,000 + 6% over $200 million. Companies 
headquartered in an Enterprise Zone, with 
revenues over $3 billion and employing more than 
2,500 employees, may el ect to multiply their R&D 
expenses by 3.5% instead of using the credit 
percentage listed above.  Ongoing  
Connecticut  Bradley 
Development 
Zone Connecticut 
Department of 
Economic and 
Community 
Development  Tax credit  Recipients are qualifying corporations 
established in an area designated for enterprise 
zone level benefits and that meet certain 
employment levels and have tax liability from 
the tax imposed under Chapter 208 of the 
Connecticut General statutes (Corporate 
Business tax).  Corporatio ns may claim this credit for 10 years 
beginning with the first year following certification. 
The credit is limited to 100% of the corporation's 
business tax liability in years 1 through 3 and 50% 
of the corporation 's business tax liability for years 
4  through 10.  Ongoing   
 G/SCM/N/372/USA  
 
- 90 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Connecticut  Sales and Use Tax 
Exemption (Conn. 
Gen. Stat. § 12-
412(40))  Connecticut 
Department of 
Revenue  Tax exemption 
for commercial 
fishing vessels 
and machinery 
or equipment for 
use on the 
vessels  Commercial fishermen.  The amount of the benefit is equal to the amount 
of the tax that does not have to be paid.  Ongoing  
Delaware  Delaware 
Strategic Fund  Delaware Economic 
Development 
Authority  Loan, grants, 
and equity 
incentives  If a project is deemed to qualify under 
legislative, regulatory, and policy guidelines, a 
process begins which includes completion of a 
comprehensive application, staff and legal 
review of the application, review of the 
application and other supporting material at a 
public meeting of the Council  on Development 
Finance, final staff review, approval by the 
Chairperson of The Delaware Economic 
Development Authority, followed by a contract 
that memorializes terms and conditions.  The amount varies on an individual project basis.  Ongoing  
Delaware  Corporate Income 
Tax Credits  Department of 
Finance  Tax credit  Recipients are firms within targeted industries, 
including: manufacturers; wholesalers; 
laboratories used for scientific, agricultural, or 
industrial research, development or testing; 
computer processors; engineering firms, 
consumer credit reporting services; wholesale 
of computer software; telecommunications and 
aviation services.  Firms within targeted industries qualify for 
corporate income tax credits of $400 for each new 
employee an d $400 for each new $100,000 
investment. Firms within targeted industries who 
also locate in a targeted area qualify for $650 for 
each new employee and $650 for each new 
$100,000 investment. Firms must invest a 
minimum of $200,000 and create a minimum of 
five new positions. Total credits in any taxable 
year cannot exceed 50 % of the pre -tax liability. 
Unused credits can be carried forward during the 
ten-year program. Selected commercial and retail 
businesses which locate in one of the 30 targeted 
census trac ts and meet the minimum 
investment/employment criteria, qualify for 
credits of $400/new employee and 
$400/$100,000 investment.  Ongoing  
Delaware  Gross Receipt Tax 
Reductions for 
targeted 
industries.  Department of 
Finance  Tax reductions  Recipients include targeted industries eligible 
for Corporate Income Tax credits.  This is an enhancement to corporate income tax 
credits. It provides for a ten year reduction of 
gross receipts; 90 % beginning in the first year, 
80% the second year until 5 % in the last  (tenth) 
year. Ongoing  
Delaware  Neighborhood 
Assistance Act  Department of 
Finance  Tax credit  Recipients are participating Delaware 
businesses.  The credit is equal to 50 % of the amount invested 
by a business in a neighborhood  assistance 
program for tax years beginning on or after 
January 1, 2000, up to a maximum of $100,000. 
The total tax credits available for the State 's fiscal 
year are $500,000.  Ongoing   
 G/SCM/N/372/USA  
 
- 91 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Delaware  Recycled Materials 
Collection and 
Distribution Tax 
Credit  Department of 
Finance  Tax credit  Taxpayers engaged in the business of collecting 
and distributing recycled materials are entitled 
to job and investment credits.  Targeted companies that meet the recycler 
definition receive a tax credit up to $650 per  
employee and per $100,000 of investment. Firms 
within targeted areas qualify for $900 for each 
new employee and $650 for each new $100,000 
investment. During the ten -year life of credits, 
credits may not exceed 50 % of the company's 
pre-credit tax liabilit y in any one year.  Ongoing  
Delaware  Non-targeted 
industry locating 
in a targeted area.  Department of 
Finance  Tax credits & tax 
reductions  Recipients are designated commercial and retail 
businesses.  This program provides a corporate income tax 
credit of $400 for each $100,000 of investment 
and $400 for each qualified employee.  Ongoing  
Delaware  Gross Receipt 
reductions for 
non-targeted 
industry locating 
in a targeted area  Department of 
Finance  Tax reductions  Recipients are designated commercial and retail 
businesses.  This is a ten year program with a 90 % tax 
reduction the first year, 80 % the second until 5 % 
in the final  (tenth) year.  Ongoing  
Delaware  Corporate Income 
Tax Credits 
(Targeted 
Industry & 
Targeted Areas )  Department of 
Finance  Tax credit  Targeted areas are defined as: a) real property 
that is owned by any level of government or any 
of their agencies; b) real property owned by a 
non-profit organization which is organized and 
operated solely for the purpose of fostering 
economic development; c) real property which 
has been approved as a Delaware Foreign Trade 
Zone; and d) 30 low income Census Tracts 
throughout the state.  Firms within targeted industries qualify for 
corporate income tax credits of $400 for each new 
employe e and $400 for each new $100,000 
investment. Firms within targeted industries who 
also locate in a targeted area qualify for $650 for 
each new employee and $650 for each new 
$100,000 investment. Firms must invest a 
minimum of $200,000 and create a minimum of 
five new positions. Total credits in any taxable 
year cannot exceed 50 % of the pre -tax liability. 
Unused credits can be carried forward during the 
ten-year program. Selected commercial and retail 
businesses which locate in one of the 30 targeted 
census tracts and meet the minimum investment/  
employment criteria, qualify for c redits of 
$400/new employee and $400/$100,000 
investment.  Ongoing  
Delaware  Public Utility Tax 
Rebates for 
Industrial Users  Department of 
Finance  Utility tax 
reduction/rebate  Recipients are licensed manufacturers meeting 
the criteria for targeted industry tax  credits.  The rebate equals 50% of the Public Utilities Tax 
imposed on new or increased consumption of gas 
and electricity for five years. Firms meeting the 
criteria for targeted industry tax credits are 
eligible for a rebate of the public util ities tax 
imposed on new or increased consumption of gas 
and electricity for five years. The utility tax on the 
consumption of electricity by licensed 
manufacturers and food or agribusiness 
processors is reduced from 4.25 % to 2 %. 
Additionally, electricity consumed in the 
manufacture of automobiles is exempt from the 
utility  tax. Ongoing  
Delaware  Film Promotion 
Program  Delaware Film 
Commission  State sales tax 
exemption  The recipient is the film industry.  The amounts vary.  Ongoing   
 G/SCM/N/372/USA  
 
- 92 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
District of 
Columbia  Film DC Economic 
Incentive Grant 
Fund Office of Motion 
Picture and TV  Grant  The recipient is the film/television industry.  This program provides reimbursement for 
expenses related to production of nationally 
distributed film and television product s with a 
minimum spending of $500,000 in Washington, 
DC over a period of five days or more. A grant 
cannot exceed the lesser of 10 % of the qualified 
expenses or 100 % of the taxes paid to DC on the 
qualified expenses.  Ongoing  
District of 
Columbia  The Enterprise 
Zone (EZ) 
program  Office of the 
Deputy Mayor for 
Planning and 
Economic 
Development  Tax credits  Recipients are DC businesses.  This program provides: Employee Tax Credits up 
to $3,000 for each DC resident employee (full or 
part-time); Work Opportu nity Credits up to 
$2,400 for each employee from targeted 
demographic groups; Welfare to Work Credits up 
to $3,500 and $5,000 for the first and second 
years of employment, respectively, for workers 
receiving long -term family assistance; EZ Bonds 
Tax Exempt  Bond Financing up to $15 million in 
below -market interest rate loans (as much as 
200 basis points below the market rate); and, 
Exclusion of Capital Gains from DC Zone Assets, 
which eliminates capital gain in gross income from 
qualified property sale or ex change (properties 
must be held more than 5  years).  Ongoing  
District of 
Columbia  Qualified High 
Technology 
Companies 
(QHTC 's) DC's New E -
economy 
Transformation Act 
(NET 2000). 
Administered by 
DC Office of Tax 
and Revenue  Tax incentives  Recipients are businesses that employ two or 
more individuals, have an office or headquarters 
in a designated High Technology Development 
Zone and derive a majority of revenues from 
qualifying high -technology activities. Map is 
available at dcbiz.dc.gov . This program provides a reduction in the 
corporation income tax from 9.975% to 6% and in 
many cases elimination of the corporate income 
tax for five years; ten -year abatement on qualified 
personal property taxes; five -year freeze on 
assessed value of real property (i.e., no increase 
in real property tax); relocation reimbursements 
of up to $5,000 for each employee relocated to the 
District  and $7,500 if the employee also relocates 
his or her principle reside nce into the District; 
wage reimbursements of up to $5,000 for each 
person hired; exemption from District sales tax for 
purchases of certain technology equipment and 
exemption from tax on sale of certain intangible 
property and services.  Ongoing  
Florida  Sales Tax 
Exemption for 
Electricity Used for 
Agricultural 
Purposes  Florida Department 
of Revenue  Tax Exemption  To qualify for the exemption, the purchaser 
must furnish the utility provider with an 
exemption certificate stating that the electricity 
will be used for the production, packing, or 
processing of agricultural products on a farm or 
will be used in a packinghouse.  The full amount of electricity costs is exempted.  Ongoing   
 G/SCM/N/372/USA  
 
- 93 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Florida  Research and 
Development Tax 
Credit  Florida Departm ent 
of Revenue  Tax Credit  Industry businesses in the manufacturing, life 
sciences, information technology, aviation and 
aerospace, homeland security and defense, 
cloud information technology, marine sciences, 
materials science, and nanotechnology 
industries may qualify for a resear ch and 
development tax credit.  The tax credit shall be 10 % of the excess qualified 
research expenses over the base amount. 
However, the maximum tax credit for a business 
enterprise that has not been in existence for at 
least 4 taxable years immediately pre ceding the 
taxable year is reduced by 25 % for each taxable 
year for which the business enterprise, or a 
predecessor corporation that was a business 
enterprise, did not exist.  Ongoing  
Florida  Florida Recycling 
Loan Program  Florida First Capital 
Finance 
Corporation  Loan Companies that manufacture products from 
recycled materials or convert recyclable 
materials into raw materials for use in 
manufacturing.  The program offers funding for the purchase of 
machinery and equipment at a fixed interest rate, 
as low as 2% below the prime lending rate for the 
life of the loan (up to 10 years). Loan amounts 
range from $20,000 to $200,000. A requirement 
of 10% down payment in most cases. The loans 
are secured by a first lien on assets financed.  Ongoing  
Florida  Entertainment 
Industry Financial 
Incentive  Office of the Film 
and Entertainment  Cash 
reimbursement  The recipient is the film industry.  This program provides a reimbursement of 15 % 
on the total Florida budget of a filmed 
entertainment program which spends at least 
$850,000, with a maximum reimbursement of 
$2 million.  Ongoing  
Florida  Florida 
Entertainment 
Sales Tax 
Exemption  Office of the Film 
and Entertainment  Tax exemption  The recipient is the film industry.  This program provides a tax exemption from sales 
and use tax on purchases or lease of certain items 
used exclusively as an integral part of the 
production activities in Florida. From 2014 -2015, 
the amount of taxes exempted was approximately 
$17,608,623.  Ongoing  
Florida  New Research & 
Development Tax 
Credit  Florida Department 
of Revenue  Tax credit  To participate in this program, the corporation 
must claim and be allowed a research credit 
against federal income tax for qualified research 
expenses under s. 41, IRC, and also meet the 
definition of a target indus try business as 
defined in s.288.106, F.S. These industries 
include clean technology, life sciences, 
information technology, aviation/aerospace, 
homeland security/defense, and 
financial/professional services.  The Florida research and development tax credit  
may not exceed 50 % of the Florida corporate 
income tax liability after all other credits have 
been applied in the order provided in s. 220.02(8), 
F.S. The combined total amount of tax credits 
which may be granted to all business enterprises 
during any cal endar year is $9 million.  Ongoing  
Florida  Targeted Jobs 
Incentive Fund 
(TJIF) Program of 
Miami -Dade 
County  Miami -Dade 
County  Cash incentives  Recipients include select industries, such as 
advanced manufacturing, aviation/aerospace, 
clean energy, financial/professional services, 
homeland security/defense, information 
technology, life sciences, creative industries, 
global logistics. To be eligible, new or expanding 
companies relocating to Miami -Dade County 
must create at least 10 new jobs and make a  
capital investment of at least $3 million.  This program provides cash incentive awards for 
each new job created and additional incentives if 
located in an Enterprise Zone. Incentives will be 
paid over a six year time period. The incentive 
award is based on the amount of capital 
investment made with bonuses for green 
construction and businesses locating in a 
designated priority area in the county.  Ongoing  
Florida  Brownfield 
Redevelopment 
Bonus Refund  Florida Department 
of Environmental 
Protection  Tax refund  Recipients are businesses that locate in 
brownfield sites which are underutilized 
industrial or commercial sites due to actual or 
perceived environmental  contamination.  Applicants receive tax refunds of up to $2,500 for 
each job created. From 2014-2015, the amount of 
tax refunds was approximately $1,385,888.  Ongoing   
 G/SCM/N/372/USA  
 
- 94 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Florida  Rural Economic 
Development 
Catalyst Project  Office of Tourism, 
Trade and 
Economic 
Development  Various types of 
funding  Eligible projects are those within the three 
designated rural areas which have been affected 
by extraordinary economic events or natural 
disasters.  Amounts vary on an individual project basis.  Ongoing  
Florida  Ad hoc agreement  Jacksonville 
Economic 
Development 
Commission  Tax incentives  The recipient is Gerdau Ameristeel.  The amount of the tax incentives is $3  million 
dollars.  Ongoing  
Florida  Innovation Park 
Technology 
Commercialization 
Grant Program  Leon County 
Research and 
Development 
Authority  Grant  Recipients are researchers and entrepreneurs in 
Leon County.  This program provides grants up to $15,000. 
Grants awarded in 2015 totaled approximately 
$25,000.  Ongoing  
Florida  Capital 
Investment Tax 
Credit  Office of Tourism, 
Trade and 
Economic 
Development  Tax credit  In order to qualify for consideration under the 
program, an applicant must be in a designated 
high impact sector (currently biomedical 
technology, financial services, silicon 
technology, and transportation equipment 
manufacturing SICs 372, 376 and 3 711; or 
information technology —SICs 357,  366, 367, 
481, 482 and 737). Other industries are 
expected to be designated in the future.  The amount of the annual credit is up to 5% of the 
eligible capital costs generated by a qualifying 
project and no more than  a specified percentage 
of the annual corporate income tax liability 
generated by the project, whichever is lower. 
Those percentages are: 100% , for a project with 
a cumulative capital investment of at least 
$100 million; 75%, for a project with a cumulativ e 
capital investment of at least $50 million, but less 
than $100 million; and 50%, for a project with a 
cumulative capital investment of at least 
$25 million but less than $50  million.  Ongoing  
Florida  Enterprise Zone 
Jobs Tax Credit 
(Corporate 
Income Tax and 
Sales Use Tax)  Office of Tourism, 
Trade and 
Economic 
Development. 
Florida Department 
of Economic 
Opportunity 
administers the 
program.  Tax credit  Recipients are businesses located in state -
designated enterprise zones. Firms must earn 
more tha n $5,000 to take advantage of the 
credit.  The credit amounts to 20 % of wages paid to new 
employees who are residents of a Florida 
enterprise zone.  If 20% or more of the permanent, 
full-time employees are residents of a Florida 
enterprise zone, the credit i s 30%. The credit is 
available for up to two years per new employee.  
In "Rural Enterprise Zones" businesses will receive 
a credit of 30 % paid to new eligible employees in 
a full -time job who are residents of a "rural 
county". If 20 % or more of the permanen t, full -
time employees are residents of a zone, the credit 
is 45 %. From 2013 -2014, the amount of tax 
credits awarded was  approximately $11,068,921.  Ongoing   
 G/SCM/N/372/USA  
 
- 95 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Florida  High Impact 
Business 
Performance 
Incentive (HIPI)  Office of Tourism, 
Trade and 
Economic 
Development  Grant  In order to qualify for consideration under the 
program, an applicant must be in a designated 
high impact sector (currently biomedical 
technology, financial services, silicon 
technology, and certain transportation 
equipment manuf acturing). Applicants must 
also create at least 100 new full -time jobs in 
Florida in a three -year period and make a 
cumulative investment of at least $100 million 
in the same time -frame. For research and 
development facilities, the requirements are 
lower. Seventy -five full -time jobs need to be 
created and there should be a cumulative capital 
investment of at least $75  million over a 
three -year period.  The amounts vary.  Ongoing  
Florida  Qualified Defense  
Contractor Tax 
Refund Program  Office of Tourism, 
Trade and 
Economic 
Development 
(OTTED)  Tax refund  In order to qualify for consideration under the 
program an applicant must: pay an average 
annual wage that is at least 115 % of the state 
or local average wages; have in the last year 
derived at least 60 % of its Florida gross receipts 
from Department of Defense contracts and not 
less than 80 % over the preceding five years; 
create at least  a 25 % increase in Florida 
employment or  80 new jobs if a consolidation 
project; show that the jobs make a significant 
economic contribution to the area economy; 
demonstrate that the tax refund is necessary for 
the business to compete for the new contract or 
make the consolidation; and provide a  
resolution from the city or county commission 
recommending the applicant for the  incentive.  Once certified by the OTTED, the applicant may 
receive funds up to the project cap on the taxes it 
pays including corporate income, sales and excise, 
ad valorem , and documentary stamp taxes, 
subject to the following:  1) up to 25 % of the total 
refund  may be taken per year as long as the 
business maintains project employment and wage 
levels; 2) up to $2.5  million may be  refunded to a 
single defense contractor in any y ear; 3) up to 
$7.5 million may be refunded to a single defense 
contractor in all years under the program.  The 
local community provides a match equaling 20 % 
of the tax refund. If located in a Rural Economic 
Development Initiative (REDI) county, the 
business  may elect to be exempt from the local 
match and accept a refund equal to 80 % of the 
refund for which they would otherwise qualify.  Ongoing  
Florida  Quick Response 
Training Program  Workforce Florida, 
Inc. Grant  Special consideration will be given to applicants 
located in a distressed urban or rural area or 
Enterprise Zone. Funding priority given to 
businesses creating high skill/high wage jobs, in 
qualified targeted industries, jobs located in a 
distressed Urban Inner City Area or Rural Area, 
jobs loc ated in an Enterprise Zone or Brownfield 
Area, whose grant proposals have the greatest 
potential for economic impact, that contribute 
in-kind and cash matches.  Once approved, a grant agreement is signed and 
the applicant is eligible for reimbursement of 
direct training costs (i.e. instructors' salaries, 
curriculum development and manuals). Payments 
are made monthly on a reimbursement and 
performance basis as per terms of the grant 
agreement. The maximum grant term is 
24 months. From 2013 -2014, awards totale d 
approximately $12 million.  Ongoing   
 G/SCM/N/372/USA  
 
- 96 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Florida  Qualified Target 
Industry Tax 
Refund Program 
(QTI)  Office of Tourism, 
Trade and 
Economic 
Development  Tax refund  Recipients include companies involved in: 
manufacturing, finance & insurance services, 
wholesale trade, information industries, 
professional, scientific & technical services, 
corporate headquarters and management 
services, administrative & support services.  Pre-approved applicants who create jobs in Florida 
receive tax refunds of $3,000 per new job created; 
$6,000 in an Enterprise Zone or Rural County. For 
businesses paying 150 % of the average annual 
wage, add $1,000 per job; for businesses paying 
200% of the average annual salary, add 
$2,000  per job. New or expanding businesses in 
selected t argeted industries or corporate 
headquarters are eligible.  Tax refunds are only 
paid after verification of job creation/maintenance 
and required wage payments. Local communities, 
except rural counties, must pay 20 % of the  
refund.  Ongoing  
Florida  Rural Job Tax 
Credit Program  Office of Tourism, 
Trade and 
Economic 
Development  Tax credit  Recipients are certain businesses located in 
Florida 's 33 rural counties. The list of eligible 
industries includes: Manufacturers, Printing and 
Publishing Firms, and Mining, Agriculture, 
Hotels, Customer Service Centers.  A total of $5 million of tax credits are available per 
calendar year. The tax credit can range from 
$1,000 to $1,500 per qualified employee. A 
business may receive up to $500,000 in tax credits 
during any one calendar year for its efforts in 
creating jobs.  Ongoing  
Florida  Sales and Use Tax 
Exemption on 
Machinery and 
Equipment  Florida Department 
of Revenue  Tax exemption  Recipients are those with manufacturing 
machinery and equipment bought or used for 
manufacturing, compounding, or producing 
items of tangible personal property.  New manufacturing operations are fully exempt. 
Expanding businesses pay sales or use tax of 
$50,000 for each calendar year of the expansion 
project before the exemption or re fund is 
available.  Ongoing  
Florida  Semiconductor, 
Defense, or Space 
Technology Sales 
and Use Tax 
Exemption (SDST)  Office of Tourism, 
Trade and 
Economic 
Development  Tax exemption  Recipients are semiconductor, defense, or space 
technology - based facilities.  Semiconductor technology: Industrial machinery 
and equipment used in semiconductor technology 
facilities to produce semiconductor technology 
products for sale or for use by these facilities are 
100% exempt from the tax imposed. Machinery 
and eq uipment used predominately in 
semiconductor wafer research and development 
activities in a semiconductor technology research 
and development facility are also fully exempt 
from the tax  imposed.  
 
Defense or space technology: Industrial 
machinery and equipme nt used in defense or 
space technology facilities to manufacture, 
process, compound, or produce defense 
technology products or space technology products 
for sale or for use by these facilities are exempt 
from 25% of the tax imposed. Machinery and 
equipment  used predominately in defense or 
space research and development activities in a 
defense or space technology research and 
development facility are also exempt from 25% of 
the tax imposed.  Ongoing   
 G/SCM/N/372/USA  
 
- 97 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Florida  Rural Community 
Development 
Revolving Loan  Office of Tourism, 
Trade and 
Economic 
Development  Loans  Recipients are businesses in rural areas.  Approximately $470,000 was allocated for this 
program in 2015.  Ongoing  
Florida  Urban Job Tax 
Credit  Office of Tourism, 
Trade and 
Economic 
Development  Tax credit  Recipients are businesses in urban core areas.  The credit ranges from $500 to $2,000 per 
qualified job. A total of $5 million in tax credits is 
available each calendar year.  Ongoing  
Florida  Quick Action 
Closing Fund  Office of Tourism, 
Trade, and 
Economic 
Development  Grant  Recipients are businesses within Florida's 
targeted industry sectors paying high wages 
and contributing capital investment.  The amounts vary on an individual project basis.  Ongoing  
Florida  Innovation 
Incentive Program  Office of Tourism, 
Trade, and 
Economic 
Development  Grant  Recipients must be a research and development 
project, a qualifying job creation project, or an 
alternative and renewable energy project.  The amounts vary on an individual project basis. 
The state requires a minimum break even return 
on investment within a 20 year period.  Ongoing  
Florida  Business Façade 
Grant 
Improvement 
Program  Economic & Urban 
Development 
Department, City 
of Tampa  Grant  Recipients are owners of non -residential 
structures/properties in participating 
Community  Redevelopment Area (CRA) - 
currently East  Tampa, York City and Drew Park.  The amounts do not exceed $50,000 for 50% of 
the total cost of the improvements.  Ongoing  
Georgia  Appalachian 
Region Business 
Development 
Revolving Loan 
Fund Georgia 
Department of 
Community 
Affairs/Appalachian 
Regional 
Commission  Loans  Recipients are private, for profit businesses in 
the Appalachian region.  This program provides low -cost loans equal to  
$200,000 per qualifying business, or 50 % of total 
project cost. For each loan, borrowers must agree 
to create new jobs and/or save existing jobs, 
within a time frame to be prescribed by the 
grantor.  Ongoing  
Georgia  Enterprise Zone 
Program  Georgia 
Department of 
Community Affairs  Tax exemption  Recipients are companies located in designated 
Enterprise Zones (areas of poverty, 
unemployment, and general distress). Zone 
areas cannot be less than: industrial -25 acres; 
commercial -8 acres; housing -5 acres.  Amounts vary as follows: (1) Industrial: 
Ad valorem  tax reductions on property taxes on 
Freeport -eligible inventory for 25 years, with a 
100% property tax reduction in the first of 
five years and 80, 60, 40, and 20 % reductions in 
subsequent years; a 100 % exemption exists for 
inventory for 25 years. (2)  Housing and 
Commercial: Zone created for ten  years with 
exemptions for real property being 100 % for 
5 years; 80 % for years  6 and 7; 60 % for year 8; 
40% for year 9; 20 % for year 10.  Ongoing   
 G/SCM/N/372/USA  
 
- 98 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Georgia  Investment Tax 
Credit  Georgia 
Department of 
Revenue  Tax credit  All manufacturing and telecommunications 
companies that have operated a facility or 
support facility in the state for at least 3 years 
and make a minimum $100,000 additional 
qualified investmen t in a new or existing 
manufacturing or telecommunications facility 
are eligible to receive the tax credit.  Counties are ranked by unemployment rate, per 
capita income, and poverty level (same tiers as 
the Job Tax Credit program).  
 
Companies expanding in Tier 1 counties are 
eligible to receive a credit equal to 5 % of the 
qualified investment that increases to 8 % for 
recycling, pollution control, and defense 
conversion activities. Companies expanding in Tier 
2 counties are eligible to receive a  3% tax credit 
that increases to 5 % for recycling, pollution 
control, and defense conversion activities.  
 
Companies expanding in Tier 3 or Tier 4 counties 
are eligible to receive a 1 % credit that increases 
to 3% for recycling, pollution control, and defens e 
conversion activities.  Ongoing  
Georgia  Quality Jobs Tax 
Credit  Georgia 
Department of 
Revenue  Tax Credit  Companies in all industries in Georgia can 
qualify for the Quality Jobs Tax Credit. If the 
jobs created pay at least 10% above the 
average wage of the county in which they 're 
located, they 're considered "high-paying jobs, " 
and may qualify for an even higher jobs tax 
credit.  $2,500 to $5,000 tax credit per job for the first 
five years of creation. Credits can be taken against 
100% of tax liability and  applied to payroll 
withholding once all tax liability is exhausted. 
Credits can be carried forward for 10 years.  Ongoing  
Georgia  Job Creation Tax 
Credit  Georgia 
Department of 
Community Affairs  Tax credit  Industries eligible include manufacturing, 
warehousing and distribution, processing, 
tourism, and research and development 
industries. Counties are ranked and placed into 
tier levels according to their rate of 
unemployment, per capita income, and poverty 
level. Job tax credits and jo b creation 
requirements are determined by the tier level of 
the county.  
 
If the facility location is in one of certain special 
zones including Opportunity Zone, Military 
Zone, or one of Georgia's 40 least -developed 
counties, it may qualify regardless of it s 
industry classification.  Tier 1 counties represent the state's least 
developed counties. Companies creating 5 or more 
new jobs in a Tier 1 county may receive a 
$3,500  tax credit. Companies creating 10 or more 
jobs in a Tier 2 county may receive a $2,500 tax 
credit. Companies creating 15 or more new jobs in 
a Tier 3 county may receive a $1,250 tax credit. 
Companies creating 25 or more new jobs in a Tier 
4 county (most developed) may receive a 
$750 tax credit. Facilities in locations that 
participate in Joi nt Development Authorities 
(JDAs) may earn a JDA Bonus of $500 for each Job 
Tax Credit.  
Credit values can be taken for up to five years and 
carried forward for ten years. Credits can be taken 
against 100% of tax liability in Tier 1 counties and 
applied to payroll withholding once all tax liability 
is exhausted (up to $3,500/job). Credits can be 
taken against 100% of tax liability in Tier 2 
counties and against 50% of tax liability in Tier 3 
and 4 counties. Credits similar to the credit 
available in Tier 1 counties are potentially 
available to companies in special zones 
(Opportunity Zones and M ilitary Zones) and 
certain "less developed" census tracts in the 
metropolitan areas of the state.  Ongoing   
 G/SCM/N/372/USA  
 
- 99 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Georgia  Ports Activity 
Bonus for Job Tax 
& Investment Tax 
Credit  Georgia 
Department of 
Revenue  Tax credit  Businesses must first be eligible to receive 
either the Job Tax Credit or the Investment Tax 
Credit. To receive the Port Activity tax credit, 
businesses must increase their port traffic 
tonnage through Georgia ports by more than 
10% over a base year. Base year port traffic 
must be at least 75  net tons, five containers, or 
10 twenty -foot equivalent units (TEU 's). If not, 
the percentage increase in port traffic will be 
calculated using 75  net tons, five containers, or 
10 TEU 's as the base.  The tax credit amounts are as follows for all tiers: 
An additional job tax credit of $1,250 per job; or 
an investment tax credit of 5%.  Ongoing  
Georgia  Personal 
Protective 
Equipment (PPE) 
Production Bonus 
for Job Tax Credit  Georgia 
Department of 
Revenue  Tax credit  Businesses must first be eligible to receive the 
Job Tax Credit. To receive the PPE Bonus tax 
credit, the eligible jobs must be dedicated to 
manufacturing PPE or hand sanitizer.  The tax credit amount is as follows for all tiers: An 
additional job tax credit of $1,250 per job.  Ends December 
31, 2024  
Georgia  Life Science Tax 
Credit Bonus for 
Job Tax Credit  Georgia 
Department of 
Revenue  Tax credit  Businesses must first be eligible to receive the 
Job Tax Credit. To receive the Life Science Tax 
Credit, the eligible jobs must be dedicated to the 
production of medical equipment, supplies, 
pharmaceuticals, or medicine (NAICS 3391 or  
3254).  The tax credit amount is as follows for all tiers: An 
additional job tax credit of $1,250 per job.  Ongoing  
Georgia  Georgia 
Entertainment 
Industry 
Incentives  Georgia 
Department of 
Economic 
Development 
Entertainment 
Office / Georgia 
Department of 
Revenue  Tax credit and 
tax exemptions  Eligible activities include motion picture projects 
such as feature films, television series, 
commercials, music videos, game development, 
and animation projects. Recorded musical 
performances and touring musical or theatrical 
productions are eligible for a similar credit that 
sunsets in 2023. Digital entertainment (video 
gaming, digital animation, e -sports, mobile 
apps, virtual reality/visual effects, etc.) also has 
a similar credit.  This program provides a tax credit of 20 % based 
on a minimum investment of $500,000 on 
qualified productions in Georgia. An additional 
10% Georgia Entertainment Promotio n (GEP) 
uplift can be earned by including an imbedded 
animated Georgia logo on approved projects. 
Sales and use tax exemptions for film, video, 
broadcast, and music  productions.  Ongoing  
Georgia  Appalachian 
Regional 
Commission Area 
Development 
Funds  Georgia 
Department of 
Community Affairs  Grants  Recipients are projects which are beneficial to 
the 37 -county area of Appalachian Georgia.  This program provides infrastructure grants of 
$300,000 and operational grants of $100,000 or 
less. Ongoing   
 G/SCM/N/372/USA  
 
- 100 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Georgia  Sales Tax 
Exemption  Georgia 
Department of 
Revenue  Tax exemption  Tax exemption under this program is provided 
for: manufacturing machinery and equipment 
that is integral and necessary to the 
manufacturing process; repair parts for 
manufacturing mach inery & replacement parts; 
fuel (electricity, gas, etc.) used 
directly/indirectly in a manufacturing plant; raw 
materials that will become a component part of 
the item being manufactured for resale; 
industrial materials, coated upon or 
impregnated into the  product at any stage of its 
processing, manufacture, or conversion; 
machinery & equipment used for the primary 
purpose of reducing or eliminating air and water 
pollution; the sale of water delivered through 
pipes and mains; certain material handling 
equip ment; certain equipment used in a data  
center.  The amount varies depending on cost of eligible 
equipment. (State sales tax rate is 4%. Local 
government tax rates range from 2% to 4.9%.)  Ongoing  
Georgia  Strategic 
Industries Loan 
Fund OneGeorgia  
Authority  Loan Eligible applicants and recipients of funds 
awarded under this program include general -
purpose local governments (municipalities and 
counties), local government authorities, and 
joint or multi -county development authorities. 
End-users are s trategic industry companies, 
including but not limited to, aerospace, 
agribusiness, energy and environmental, 
healthcare, eldercare, life sciences, logistics, 
and transportation, that are considering a 
relocation or expansion in  Georgia.  Loans are not limited in amount. A recommended 
loan amount should be included in a letter of 
support from a state agency or organization whose 
statutory powers and duties include community 
and economic development or the enhancement of 
Georgia 's strategic industry secto rs. Final approval 
of loan amounts is at the discretion of the 
Authority. Loan amounts generally should not 
exceed 20% of the asset needs of the company 's 
Georgia location. Terms for the loans will be 
determined during the underwriting process based 
upon t he nature of the assets financed, the needs 
of the sub -recipient business and the risk 
associated with the project.  Ongoing  
Georgia  Mega Project Tax 
Credit  Georgia 
Department of 
Economic 
Development/Geor
gia Department of 
Community Affairs  Tax credit  Recipients are companies that employ at least 
1,800 net new employees and either invest a 
minimum of $450 million or have an annual 
payroll of $150 million or more. Credits are first 
applied to state corporate income tax with 
excess credits eligible for us e against payroll 
withholding. Credits may be carried forward for 
10 years.  Recipients are eligible to receive a $5,250 per job 
per year credit the first 5 years of each new job's 
existence.  Ongoing  
Georgia  Atlanta/Fulton 
Country Urban 
Enterprise Zone  City of Atlanta  Tax abatements  Incentives under this program are available to 
anyone willing to invest in specific economically 
depressed areas in Atlanta.  The tax abatement schedule for this program is as 
follows: Years 1 -5: 100%  
Years 6 -7: 80%  
Year 8: 60% 
Year 9: 40%  
Year 10: 20%  
Year 11 (after UEZ ends): 0%  Ongoing   
 G/SCM/N/372/USA  
 
- 101 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Georgia  Economic 
Development, 
Growth and 
Expansion (EDGE) 
Fund OneGeorgia 
Authority  Grants and 
Loans  OneGeorgia  recognizes those counties as 
directly eligible for OneGeorgia assistance that 
meet the definition of "a county that is located 
outside the boundaries of a metropolitan area 
with a population of 50,000 or less and with a 
poverty rate of 10% or greater."  EDGE Fund grants or loans are not limited in 
amount. Assistance amounts will be determined 
following consultation with the Georgia 
Department of Economic Development and the 
Georgia Department of Community Affairs, and 
approved by the Authority.  Ongoing  
Hawaii  Motion Picture 
Digital Media and 
Film Production 
Income Tax Credit  Department of 
Business, Economic 
Development and 
Tourism § 235-17, 
HRS. Initially 
passed in 2006 and 
amended in 2013 
and 2017.  Refundable Tax 
credit  Each taxpayer subject to  Hawaii's net income 
tax, who incurs qualified production costs in 
Hawaii while producing a motion picture or 
television film may claim a motion picture and 
film production income tax credit for the taxable 
year. The amount of the credit was initially 15% of the 
qualified production costs incurred in any county 
in the state with a population of over 
700,000  (Oahu) and 20% in any county in the 
state with a population of less than 
700,000  (Big Island, Kauai, Lanai, Maui and 
Molokai). There was a n $8 million cap per 
production. This tax credit is refundable. The 
Motion  Picture, Digital Media, and Film Production 
Income Tax Credit (film credit) under Hawaii 
Revised Statutes (HRS) section 235 -17 was 
amended by Act  89, Session Laws of Hawaii 2013 
(Act 89); and amended by Act 143, Session Laws 
of Hawaii 2017 (Act 143). Act 89 increased the 
amount of the credit given from 15% -20% for 
qualified production costs incurred on the island of 
Oahu and from 20% -25% for qualified production 
costs incurred on any  of the Neighbor Islands. Act 
89 also raised the per production credit cap from 
$8 million  to $15 million. Act 143 imposed a $35M 
overall spending ceiling  and made 3rd party 
reviews by qualified HI CPA firms for all applicants 
of the credit program regardl ess of amount spent. 
Act 143 also requires that any production 
importing items from outside the state must first 
demonstrate that they have made best efforts to 
procure those products and services locally. 
Recent legislation passed in the 2019 Legislative 
Session increasing the overall spending cap  from 
$35 million to $50 million and awaits the 
Governor's signature to become law.  Ongoing   
 G/SCM/N/372/USA  
 
- 102 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Hawaii  Enterprise Zone 
(EZ) Partnership 
Program  Department of 
Business, Economic 
Development and 
Tourism  Tax incentives  To qualify at least half of a firm's annual income 
in an EZ must be from one or more of the 
following activities: agricultural production or 
processing; manufacturing;  wholesaling; 
aviation or maritime repair; 
telecommunications; information technology 
design and production; medical research, 
clinical trials, and telemedicine; for -profit 
training programs in international business 
management or environmental remediation; 
biotech research, development, production, or 
sales; repair or maintenance of assisted 
technology equipment; certain types of call 
centers; and wind energy producers. Businesses 
in an EZ prior to zone designation must increase 
their average annual number of full -time 
employees by at least 10% and maintain that 
level for years 2 and 3 and the n increase the 
average annual number of full -time employees 
by at least 15% annually in years 4 to 7. 
Qualified new businesses established in a zone 
after zone designation must increase their 
average number of full -time employees by at 
least 10% by the fir st year and maintain that 
level through years 2  through  7. This program provides the following state tax 
benefits for up to seven consecutive years: -100% 
exemption from the General Excise Tax (GET) 
every year. (The GET exemption applies only to 
gross reven ues from EZ -eligible business 
categories within an EZ.) Licensed contractors are 
also exempt from GET on construction done within 
an EZ for an EZ - qualified business.  
 
--An 80% reduction of state income tax the first 
year. (This reduction goes down 10% each year 
for 6 more years.)  
--An additional income tax reduction equal to 80% 
of annual Unemployment Insurance premiums the 
first year. (This reduction goes down 10% each 
year for 6  more years.)  Ongoing  
Hawaii  Renewable Fuels 
Production Tax 
Credit (RFPTC)  § 235-110.31, HRS  Tax credit  Qualifying taxpayers who produce a minimum of 
2.5 billion British thermal units (Btu) of 
renewable fuels per year.  The RFPTC provides a tax credit for qualifying 
taxpayers in the amount of $.20 per 76,000 Btu of 
renewab le fuels produced, with an overall annual 
tax credit cap of $3.0 million per taxpayer and/or 
in aggregate.  Ongoing  
Hawaii  Renewable Energy 
Technologies 
Income Tax Credit 
(RETITC)  Department of 
Taxation § 235-
12.5, HRS Initially 
passed in 2003 and 
amended in 2004, 
2006, 2007, 2008 
and 2009  Tax Credit  Corporate taxpayers who install and place in 
service in the State of Hawaii a qualifying 
renewable energy technology system are 
eligible. Renewable energy technology system is 
defined as a new system th at captures and 
converts a renewable source of energy, such as 
solar or wind energy, into: (1) a usable source 
of thermal or mechanical energy;  (2) electricity; 
or (3) fuel.  The RETITC is subject to the following cap 
amounts:  
For solar energy system that u ses energy from the 
sun to heat water: $250,000 per system for 
commercial  property;  for all other solar energy 
systems: $500,000 per system for commercial 
property;  and for all wind -powered energy 
systems: $500,000 per system for commercial  
property.  Ongoing  
Hawaii  Royalties Tax 
Exemption  Department of 
Taxation § 235-
7.3, HRS. Initially 
passed in 1999 and 
amended in 2000, 
2001, and 2004.  Tax exemption  Recipients are in a high technology industry  Royalties and other income derived from patents 
and copyrights owned by the individual or qualified 
high technology business, and developed and 
arising out of a qualified high technology business, 
will be exempted from income tax.  Ongoing   
 G/SCM/N/372/USA  
 
- 103 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Hawaii  Stock Options Tax 
Exemption  Department of 
Taxation § 235-
9.5, HRS. Initially 
passed in 1999 and 
amended in 2000 
and 2001  Tax exemption  All income received from stock options from a 
qualified high technology business by an 
employee that would otherwise be taxed as 
ordinary income or as capital gains is exempt 
from income tax. "Qualified high technology 
business" refers to a business performing 
qualified research. "Qualified research" means 
(1) the same as in section 41 (d) of the Internal 
Revenue Code or (2) developing, designing, 
modifying, programming, and li censing 
computer software, (3) biotechnology, 
(4) performing arts products, (5) sensor and 
optic technologies, (6)  ocean sciences, 
(7) astronomy (8) non - fossil fuel energy 
related technology.  All income received from stock options from a 
qualified high te chnology business is exempted 
from income tax.  Ongoing  
Hawaii  Fuel Tax Credit for 
Commercial 
Fishers  Department of 
Taxation, section 
235-110.6. Initially 
passed in 1981 and 
amended in 2010  Refundable Tax 
credit  Each principal operator of a commercial fishing 
vessel who files an individual or corporate 
income tax return for a taxable year may claim 
an income tax credit in an amount equal to the 
fuel taxes imposed and paid by the principal 
operator during the taxable year.  The amount of the cr edit is equal to the amount of 
fuel taxes paid during the year. If the amount of 
the tax credit claimed exceeds the amount of 
income taxes dues then the excess of the credit 
will be refunded.  Ongoing  
Hawaii  Small Vessel 
Fishing Loan 
Program  Department of 
Taxation  Loans  Purchasers of small fishing vessels  The Department makes loans to individuals or 
businesses for the financing of expenses incurred 
in the purchase, construction, renovation, 
maintenance, and repair of small fishing vessels. 
The loans are subject to the following restrictions 
and limitations: (1) No loan shall exceed $50,000; 
(2) No loan shall be made for a term exceeding 
ten years; (3) Each loan shall bear simple interest 
at the rate of seven and one -half per cent a year; 
(4) Th e commencement date for the repayment of 
the first installment on the principal of each loan 
may be deferred by the director, but in no event 
shall such initial payment be deferred in excess of 
two years.  Ongoing  
Idaho  Tax 
Reimbursement 
Incentive  State of Idaho -
Commerce 
Department  Reimbursable 
tax credit  Businesses that create a minimum number of 
full-time jobs. Minimum job creation is defined 
as 20  in rural communities and 50 in urban 
communities, and the jobs shall have an 
average annual wage equ al to or above the 
county average annual wage.  Businesses that create a minimum number of full -
time jobs are eligible to receive a refund of up to 
30% of their income, sales, and payroll taxes for 
up to 15  years. Minimum job creation is defined as 
20 in ru ral communities and 50 in urban 
communities, and the jobs shall have an average 
annual wage equal to or above the county average 
annual wage.  Ongoing   
 G/SCM/N/372/USA  
 
- 104 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Idaho  Idaho Workforce 
Training 
Reimbursement  Workforce 
Development 
Council  Grant  The business must have a starting wage of 
$12 an hour or more for the new positions being 
created or positions being retained. The 
company must provide employer -assisted 
medical benefits. The company must be 
increasing its current workforce and/or 
retraining existing worker s with skills necessary 
for specific economic opportunities and 
industrial expansion initiatives.  The award is determined after a business is 
approved.  Ongoing  
Idaho  Tax 
Reimbursement 
Incentive (TRI)  Idaho Economic 
Advisory Council 
and Idaho 
Department of 
Commerce  Tax credit  Businesses that create a minimum number of 
full time jobs are eligible to receive a refund of 
up to 30% of their income, sales, and payroll 
taxes for up to 15 years. Minimum job creation 
is defined as 20 in rural communiti es and 50 in 
urban communities, and the jobs shall have an 
average annual wage equal to or above the 
county average annual  wage.  The program provides a tax credit of up to 30% 
for up to 15 years. The tax credit percentage and 
project term is negotiated based upon the quality 
of jobs created, regional economic impact and 
return on investment for Idaho.  Ongoing  
Illinois  Biogas and 
Biomass to Energy 
Grant Program  Department of 
Commerce and 
Economic 
Opportunity 
Renewable Energy 
Resources Program  Grants  Recipients have proposed projects designed to 
use biogas or biomass as a source of fuel to 
produce electricity with combined heat and 
power (CHP) through gasification, co -firing or 
anaerobic digestion technologies.  Applicants are eligible for incentives up to 50% of 
the total project cost. The maximum award for 
biogas or biomass to energy feasibility studies is 
$2,500. The maximum grant amount for biogas to 
energy systems is $225,000 and the maximum 
grant for biomass to energy syst ems is  $500,000.  Ongoing  
Illinois  Coal 
Competitiveness 
Program  Department of 
Commerce and 
Economic 
Opportunity 
(DCEO)  Grants  Recipients include any entity which is: 
1) engaged in coal production, preparation, 
transportation or utilization in Illinois; or 
2) legally affiliated with such an entity.  Projects 
may require a host site, private and public 
cost-sharing partners, etc., prior to proposal 
consideration. Projects must have significant 
economic benefits for Illinois.  Approximately $15 mill ion from the Coal 
Technology Development Assistance Fund is 
appropriated annually for the program. Grants are 
typically between $50,000 and $1,500,000, and 
typically provide up to 20 % of the total project 
cost. Grants to upgrade, rebuild or repair existing  
mining equipment will be limited to 10 % of the 
total project. In fiscal year 2014, $17.6 million was 
invested.  Ongoing  
Illinois  Coal 
Demonstration 
Program  Department of 
Commerce and 
Economic 
Opportunity 
(DCEO)  Grants  Any entity may apply. Funds are intended for 
capital projects located in Illinois that have 
significant economic benefits for the state. 
Projects typically require a host site, power 
purchase agreements, private and public 
cost-sharing partners, etc., prior to proposal 
consideration. A p roject -specific appropriation 
must be made and projects are subject to final 
approval by the governor.  Grants are typically between $1 million and 
$30 million. DCEO is authorized to issue 
$185 million in Illinois General Obligation Bond 
funds to finance se lected projects. Since its 
inception in 1981, Illinois has provided over 
$191.8 million from the Coal and Energy 
Development Bond Fund for 40 projects.  Ongoing  
Illinois  Coal Development 
Program  Department of 
Commerce and 
Economic 
Opportunity 
(Technical 
oversight by the 
Illinois Clean Coal 
Institute)  Grants  Any entity may apply, but preference is given to 
Illinois applicants. Projects must be past the 
R&D stage and must have a significant amount 
of cost -sharing. Typically, the development 
propo sal is submitted by an organization with 
special commercial technical expertise in the 
area proposed.  The program provides a 50/50 match with private 
industry dollars to support market -driven needs of 
the industry. Grants are  typically $250,000 to 
$600,000 . Grant periods are limited to 24 months. 
The fund receives 1/64th of the revenues collected 
by the Public Utility Tax. To date, more than 
$14.7  million has been awarded to 67 projects.  Ongoing   
 G/SCM/N/372/USA  
 
- 105 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Illinois  Coal Research 
Program  Department of 
Commerce and 
Economic 
Opportunity 
(technical 
oversight of the 
Illinois Clean Coal 
Institute)  Grants  Any entity may apply. Preference is given to 
Illinois applicants. Likely recipients are 
universities and research institutions engaged in 
coal research activities relate d to carbon 
management, advanced coal mining 
technologies, power generation, plant 
efficiencies, etc.  This program has provided grants totaling more 
than $71.5 million in state, federal and private 
industry funds to more than 15 universities and 
other rese arch institutions engaged in coal 
research activities focusing on carbon 
management, advanced coal mining technologies, 
power generation and plant efficiencies, coal 
gasification, flue gas cleaning, carbon 
management and coal chemistry. Sub -grants are 
typically between $60,000 and $250,000 and are 
issued by Southern Illinois University -Carbondale. 
Grant periods are limited to 24 months. 
Approximately $3.0 million from the 
Coal Technology Development Assistance Fund is 
made available to for research  projects . Ongoing  
Illinois  Coal Revival 
Program  Department of 
Commerce and 
Economic 
Opportunity. 
Illinois Resource 
Development and 
Energy Security 
Act (Public Act 92 -
0012)  Grants  Recipients include businesses proposing to 
construct a new electric generating facility or 
expand an existing electric generating facility, 
including transmission lines and associated 
equipment to provide baseload electric power or 
to construct a coal gasification facility. The 
project must: 1) have an aggregate nameplate 
generating capacity of 400 megawatts or more 
for all units at one site, will use coal or gases 
derived from coal as its primary fuel source at 
the proposed facility, and will support the 
creation of at least 150 new Illinois coal - mining 
jobs, or 2)  use co al gasification or IGCC to 
generate chemical feedstocks, transportation 
fuels or  electricity.  The DCEO is authorized to expend $500 million in 
Coal and Energy Development Bond Funds to 
promote the development of new, coal -fired 
electric generation capacity  in Illinois. Financial 
assistance through the program will be provided 
in the form of a grant based on State Retail 
Occupation Taxes that will be paid for coal 
purchases for new facilities. Qualifying facilities 
may be eligible for grants roughly equal to  the 
present value of future sales taxes paid for coal 
over a 25 -year period, up to a maximum amount 
of $100 million.  Ongoing  
Illinois  Community Uplift 
Program  Illinois State 
Treasurer  Loans  Qualified applicants must have a maximum 
asset size of $350 million at time of deposit 
(though asset limits can be waived for single 
financial institutions located in a town or city); 
one branch must be located in an Illinois 
Enterprise Zone, an Opportunit y Zone, or Low -
Income Community; a CRA rating of 
"Outstanding " or "Satisfactory " (credit unions 
exempt); and an IDC rating greater than 
75 (exceptions  apply).  The Community Uplift Program provides financial 
institutions in development zones with low-rate 
state investment capital to lend at a lower rate in 
disadvantaged communities in support of business 
creation and expansion and job growth.  Ongoing   
 G/SCM/N/372/USA  
 
- 106 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Illinois  Economic 
Development For 
a Growing 
Economy Tax 
Credit Program 
(EDGE)  Department of 
Commerce and 
Economic 
Opportunity  Tax credit  Recipients are companies that attest to the fact 
of competition with a competing state, and 
agree to make an investment of at least 
$5 million in capital improvements in the state 
and create a minimum of 25 new full time jobs 
in Illinois. For a company with 100 or fewer 
employees, the company must agree to make a 
capital investment of $1 million and create at 
least 5 new full time jobs in Illinois. The project 
must be an expansion of an existing operation 
or a ne w location. Company relocations within 
Illinois are eligible if there is a valid reason why 
their current location is  inadequate.  The amount of the tax credit is calculated on a 
case-by-case basis. The tax credits can be as high 
as the amount of tax receipts collected from the 
Illinois income taxes paid by newly hired and/or 
retained employees of the firm related to the 
project. The non -refundable credits can be used 
against corporate income taxes to be paid over a 
period not to exceed 10 years. While  each annual 
tax credit amount cannot be larger than the 
company's state income tax liability (the income 
tax credits would not be refundable), the credit 
can be carried forward for up to five years. Tax 
credits issued in 2015 were approximately  
$215,118,1 88. Ongoing  
Illinois  Enterprise Zone 
Participation Loan 
Program (EZ/PLP)  Department of 
Commerce and 
Economic 
Opportunity  Loans  Recipients include any for -profit small business 
operating in Illinois which has, including its 
affiliates, fewer than 500 full-time employees, 
and is located within an Illinois designated 
enterprise zone.  The EZ/PLP is a variation of the conventional 
PLP Program, in that DCEO subordinates the loans 
through participating lending institutions, but the 
EZ/PLP may be able to prov ide small businesses 
located in an enterprise zone a more attractive 
loan rate than a conventional PLP. The 
participation works the same as a conventional 
PLP, but offers an incentive rate of 200 basis 
points below the index rate on DCEO's portion of 
financing for variable rate loans, with fixed and 
adjustable rate loans being comparable  with 
U.S. Treasury notes plus 0 -1%. Ongoing  
Illinois  Enterprise Zone 
Program  Department of 
Commerce and 
Economic 
Opportunity, 
Illinois Enterprise 
Zone Act  Tax incentives  Recipients are businesses located (or those that 
choose to locate) in an Enterprise Zone  Benefits include: an exemption on the retailers ' 
occupation tax paid on building materials, an 
investment tax credit of 0.5 % of qualified 
property, and an e nterprise zone jobs tax credit 
for each job created in the zone for which a 
certified dislocated worker or economically 
disadvantaged individual is hired. The following 
additional exemptions are available for companies 
that make the minimum statutory inves tment that 
either creates or retains the necessary number of 
jobs: an expanded state sales tax exemption on 
purchases of personal property used or consumed 
in the manufacturing process or in the operation 
of a pollution control facility and an exemption on  
the state utility tax for electricity, natural gas and 
the Illinois Commerce Commission 's 
administrative charge and telecommunication 
excise tax. Tax expenditures for this program in 
fiscal year 2014 were approximately  $98,256,000.  Ongoing  
Illinois  High Impact 
Business 
Designation  Department of 
Commerce and 
Economic 
Opportunity  Tax incentives  The project must involve a minimum of a 
$12 million investment causing the creation of 
500 full -time jobs or an investment of 
$30 million causing the retention of 
1500 full-time jobs.  Amounts vary but are similar to those available 
under the Enterprise Zone program  Ongoing   
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- 107 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Illinois  Illinois Biofuels 
Research, 
Development & 
Demonstration 
Program  Department of 
Commerce and 
Economic 
Opportunity (415 
ILCS 120/25, 
Public Act 93 - 15) Grants  Eligible applicants are "units of state and local 
government, associations, public and private 
schools, colleges and universities, research 
organizations, not -for-profit organizations, 
private compani es and individuals."  For facilities 
construction grants, the recipient must be 
building a new biofuels production facility with a 
capacity of at least 30 million gallons per year, 
or be expanding/modifying an existing facility 
by at least 30 million gallon s per year.  The maximum grant award for the construction of 
a new biofuels production facility is $5.5 million. 
The total grant award cannot exceed 10 % of the 
total construction costs of the facility, or $0.10 per 
gallon of the new production. The Biofuels  
Business Planning Grants program provides 
planning grants of up to $25,000. For 
demonstration projects, the maximum grant 
award that may be requested for each eligible 
project category is $225,000.  Ongoing  
Illinois  Illinois Brownfields 
Redevelopment 
Program  Illinois 
Environmental 
Protection Agency  Loans  The maximum term of the loan is 5 years; the 
fixed loan rate is a simple annual rate at 1/2 the 
market interest rate, but not less than 2.5 %. Loans can be up to: $120,000 maximum for site  
investigation per site, $500,000 maximum for any 
single loan application, and $1,000,000 maximum 
for any single project.  Ongoing  
Illinois  Illinois Film 
Production Tax 
Credit  Illinois Department 
of Commerce and 
Economic 
Opportunity  Tax credit  The film industry is the recipient.  The amount of tax credits are as follows: For an 
accredited production commencing on or after 
May 1, 2006, the amount is equal to: i) 20% of 
the Illinois production spending for the taxable 
year; plus (ii) 15% of the Illinois lab or 
expenditures generated by the employment of 
residents of geographic areas of high poverty or 
high unemployment. For an accredited production 
commencing on or after January 1, 2009, the 
amount is equal to: (i) 30% of the Illinois 
production spending for the taxable year; plus 
(ii) 15% of the Illinois labor expenditures 
generated by the employment of residents of 
geographic areas of high poverty or high 
unemployment. One hundred and 
ninety -two  credits were issued in fiscal year  2015.  Ongoing  
Illinois  Illinois Finance 
Authority (IFA) 
Rural 
Development Loan 
Program  Illinois Finance 
Authority and 
Farmers Home 
Administrations 
Intermediary Re -
lending program  Loan Recipients are industrial businesses located in 
rural communities with a population of  less than 
25,000. The business must demonstrate the 
creation or retention of jobs and that 
conventional financing is not available.  Loans can be up to 75 % of the project costs, 
capped at $150,000. The interest rate is fixed at 
6%. Ongoing  
Illinois  Illinois Renewable 
Fuels 
Development 
Program  Department of 
Commerce and 
Economic 
Opportunity 
(HB46  - 20 ILCS 
689) Grant  Recipients are plants with a production capacity 
of 30 million gallons.  This program provides grants of up to $15 million 
annually.  Ongoing  
Illinois  Large Business 
Development 
Program  Illinois Department 
of Commerce and 
Economic 
Opportunity  Grant  Recipients are large businesses with 500 or 
more employees. Funds can be used for 
bondable business activities, including financing 
the purchase of land or buildings, building 
construction or renovation, and certain types of 
machinery and equipment.  Amounts vary and are determ ined by the amount 
of investment and job creation or retention 
involved.  Ongoing   
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- 108 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Illinois  Renewable Energy 
Resources Biogas 
and Biomass to 
Energy Grant 
Program  Illinois Department 
of Commerce and 
Economic 
Opportunity  Grant  Recipients are projects focused on increasing 
the utilization of renewable energy and support 
renewable energy technologies.  This program provides a maximum grant of 
$2,500 for project costs associated with biogas 
and biomass equipment and studies. The 
maximum grant for biogas to  energy systems is 
$225,000. The maximum for amount for biomass 
to energy systems is $500,000.  Ongoing  
Illinois  Renewable Energy 
Resources 
Development of 
Wind Energy 
Project  Illinois Department 
of Commerce and 
Economic 
Opportunity  Grant  Primary recipients are utility scale wind projects 
of at least .5MW of nameplate capacity. 
However, depending on the applicant, one or 
multiple smaller projects may be selected for 
support.  This program provides a maximum grant of 
$25,000 per project.  Ongoing  
Illinois  Renewable Fuels 
Development 
Program (RFDP)  The RFDP was 
established in June 
of 2003 by Public 
Act 93 -15 Grant  Grants are provided for the construction of new 
biofuels production facilities with a capacity of 
at least 30 million gallons per year.  This program provides a maximum grant award of 
$5.5 million per facility.  Ongoing  
Illinois  River Edge 
Redevelopment 
Zone Department of 
Commerce and 
Economic 
Opportunity, The 
River Edge 
Redevelopment 
Zone (RERZ) Act  Tax incentives, 
such as sales tax 
exemptions and 
property tax 
abatement  Recipients are businesses located in an RERZ.  Investment Tax Credits: A 0.5% tax credit is 
provided for qualified depreciable property in the 
zone. An additional 0.5% credit of the basis of 
qualified property in a RERZ  is provided if the 
property is placed in service on or after July 1, 
2006, and the business' employment within Illinois 
has increased by 1% or more over the preceding 
year. 
 
Jobs Tax Credit:  A $500 state income tax credit is 
provided for each RERZ job created for which a 
dislocated worker is hired. To qualify, 5 such 
workers must be hired and all 5 must be employed 
for at least 180 consecutive days for 
30 hours/week in the taxable year. Environmental 
Remediation Tax Credit: A credit against state 
income  taxes is provided for some 
non-reimbursed eligible costs for remediation 
work. The credit is 0.25 for each dollar spent for 
non-reimbursed remediation expenses. Also 
available: Dividend Income Deduction, Interest 
Income Deduction, Building Materials Sales  Tax 
Exemption, and Property Tax  Abatement.  Ongoing  
Illinois  Rural 
Development Loan 
Program  Illinois Finance 
Authority  Loan Applicant must be developing a business facility 
in a rural community with a population of less 
than 25,000 people and demonstrate the ability 
to repay the loan and create/ retain jobs in the 
community.  This program provides finance up to 75% of 
project cost with bank lending in the project of 
25%. The maximum loan amount is $250,000. 
The interest rate is fixed and set at 50 basis points 
below the Wall  Street Journal prime at date of 
closing (minimum interest rate no lower than 2% 
and maximum interest rate no higher than 6%).  Ongoing  
Illinois  Rural Micro -
Business 
Participation Loan 
Program  Illinois Department 
of Commerc e and 
Economic 
Opportunity  Loan Recipients are rural businesses that employ five 
or fewer full time employees, and is based on 
the production, processing, marketing of 
agricultural products, forest products, cottage 
and craft products.  This program provides loans for up to 50 % of the 
project.  Ongoing   
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- 109 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Illinois  Sales Tax 
Incentives  Department of 
Commerce and 
Economic 
Opportunity  Tax exemption  The sales tax exemptions are limited to Illinois' 
93 enterprise zones.  This program provides a credit equal to 50 % of the 
applicable sales tax.  Ongoing  
Illinois  Tax Increment 
Finance (TIF) 
Districts  Illinois Department 
of Commerce and 
Economic 
Opportunity  Loan Recipients are located in deteriorated areas with 
declining tax bases.  The benefit amounts vary. TIF districts have a 
lifetime of 23 years.  Ongoing  
Illinois  Used Tire 
Recovery Program  Illinois Department 
of Commerce and 
Economic 
Opportunity  Loans and grants  The Illinois Used Tire Recovery Program awards 
grants and low interest loans to expand existing 
used tire processing facilities in the State and to 
promote beneficial end uses of tires.  Grants and loans are available for 
manufacturing/processing projects up to 
$500,000; grants for procurement or 
demonstration projects and 
research/development are available up to 
$200,000; and, grants for marketing are available 
up to $75,000.  Ongoing  
Indiana  Ad hoc incentive 
package  Spencer County  Tax abatement  The recipient is a company in the steel industry.  This program provided up to $59 million in tax 
abatements.  Ongoing  
Indiana  Hotel Lodging Tax  
Exemption  Board of Managers  Tax exemption  The recipient is the film industry.  This program provides a 6 % lodging tax 
exemption for  production companies staying 
longer than 30  days.  Ongoing  
Indiana  Certified 
Technology Park 
(CTP) Designation  Indiana Economic 
Development 
Corporation (IEDC)  Tax benefits; 
Incremental Tax 
Financing for 
Public 
Infrastructure 
Improvements  The Indiana Economic Development Corporation 
may designate an area as a certified technology 
park if certain criteria are met, including a firm 
commitment from at least one business 
engaged in a high technology activity creating a 
significant number of jobs. "High technology 
activity" includes advanced vehicles techn ology, 
which is any technology that involves electric 
vehicles, hybrid electric vehicles, or alternative 
fuel vehicles, or components used in the 
construction of these  vehicles.  This program provides $5 million in incremental 
tax financing per CTP.  Ongoing  
Indiana  Urban Enterprise 
Zone Program  Indiana Economic 
Development 
Corporation (IEDC)  Various tax 
exemptions and 
other benefits  EZs are located in the economically distressed 
and blighted areas, which are often traditional 
downtown areas or old industrial and 
manufacturing areas that have gone through a 
protracted period of decline.  This program provides in varying amounts: 
employee tax deductions; employment expense 
credits; loan interest credits; investment cost 
credits.  Ongoing  
Indiana  Loan G uaranty 
Programs  Indiana Economic 
Development 
Corporation (IEDC)  Loan guarantee  Loan guarantees are available to finance land 
acquisition; building acquisition or 
improvements; structures; machinery; 
equipment; facilities; and some working capital. 
Eligible firms are high -tech/high -growth 
companies, agribusiness and some 
manufacturing companies.  If the security is real property, the guaranty is up 
to 90 % of loan balance or 90 % of appraised fair 
market value, whichever is less. If the security is 
personal property, the guaranty is up to 75 % of 
loan balance or 75 % of fair market value, 
whichever is less. Limited working -capital 
guarantees are available for high -tech companies. 
For rural development and value -added 
agricultural projects, the maximum guar anty is  
$300,000. The guaranty may be larger for high -
growth/high -tech companies and manufacturing 
projects.  Ongoing   
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- 110 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Indiana  Community 
Revitalization 
Enhancement 
Districts (CRED) 
Tax Credit  Indiana Economic 
Development 
Corporation (IEDC)  Tax credit  This program is only available to businesses 
located in CRED districts. There are currently 
10 CRED districts in Indiana.  The tax credit amount is up to 25 % of the qualified 
investment.  Ongoing  
Indiana  Economic 
Development For 
a Growing 
Economy Tax 
Credit Program 
(EDGE)  Indiana Economic 
Development 
Corporation (IEDC)  Tax credit  Recipients are businesses engaged in jobs 
creation and capital investment in Indiana.  The refundable corporate income tax credit is 
calculated as a  percent age (not to exceed 1 00%) 
of the expected increased tax withholdings 
generated from new jobs creation. The credit 
certification is phased in annually for up to 
10 years based upon the employment ramp -up 
outlined by the business.  Ongoing  
Indiana  Tax Incremental 
Financing (TIF) 
District Funds  City of South Bend  TIF funds  The program is used for projects in 
Redevelopment and Economic Development 
Areas.  The amounts vary.  Ongoing  
Indiana  Skills 
Enhancement 
Fund Indiana Economic 
Development 
Corporation (IEDC)  Grant  The grant may be provided to reimburse a 
portion (typically 50%) of eligible training costs 
over a period of two full calendar years from the 
commencement of the project. Each project is 
evaluated on its individual merits and with a 
cost-benefit anal ysis after it has met the basic 
requirements as follows:  
 
-Training cost is used to support new capital 
investment in Indiana  
 
-Training cost is used to support the retention 
or creation of full -time, permanent jobs for 
Indiana residents at the project location  
 
-Training cost is eligible, supports the purpose 
of the fund, and meets all requirements as set 
forth in I.C. 5 -28-7 For active contracts since January  1, 2005, 
$112,925,791 in SEF training funds have been 
awarded, of which $57,394,969 ha s been paid.  Ongoing   
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- 111 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Indiana  Headquarters 
Relocation Credit  Indiana Economic 
Development 
Corporation (IEDC)  Tax credit  Recipients are corporations that relocate their 
headquarters to Indiana. The Headquarters 
Relocation Tax Credit is established by I.C. 6 -
3.1-30.IEDC and the Department of Revenue 
determines eligibility based on the following 
criteria: The corporation must have annual 
worldwide revenue of at least $50 million in the 
taxable year immediately prior to the year in 
which ap plication is made for the credit. After 
relocation, the corporation must have 
75 employees in Indiana. Headquarters is 
defined as the building or buildings where one 
or more of the following are  located:  
 
The principal offices of the principal executive 
officers of an eligible business; the principal 
offices of a division or similar subdivision of an 
eligible business; a research and development 
center of an eligible business. An eligible 
business is one that: (1) is engaged in either 
interstate or intrasta te commerce; 
(2) maintains a corporate headquarters at a 
location outside Indiana; (3)  has not previously 
maintained a corporate headquarters at a 
location in Indiana;  (4) had annual worldwide 
revenues of at least $50 million for the taxable 
year immediate ly preceding the business 's 
application for this tax credit; (5)  commits 
contractually to relocating its corporate 
headquarters to Indiana; and, (6) the Company 
must employ at least 75 employees in Indiana.  The tax credit is up to 50 % of a corporation 's 
approved costs of relocating its headquarters to 
Indiana, as determined by the IEDC. A nine -year 
carry forward applies to any unused part of the 
credit. Eligible relocation costs include:  
 
-Moving costs and related expenses  
-The purchase of new or replacemen t equipment  
-Capital investment costs  
-Property assembly and development costs 
including:  
» The purchase, lease, or construction of buildings 
and land  
» Infrastructure improvements  
» Site development costs  
 
Eligible costs do not include any costs that do n ot 
directly result from the relocation of the business 
to a location in Indiana. The credit is assessed 
against the corporation 's state tax liability.  Ongoing   
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- 112 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Indiana  Hoosier Business 
Investment Tax 
Credit  Indiana Economic 
Development 
Corporation (IEDC)  Tax credit  Businesses that support job creation, capital 
investment and improve the standard of living 
for Indiana residents. To be eligible for the tax 
credit:  
 
--Project must result in net new jobs that were  
not previously performed by  employee of the 
applicant  
 
--Project is economically sound and will benefit 
the people of Indiana by increasing 
opportunities for employment and 
strengthening the economy of Indiana  
 
--Receiving the tax credit is a major factor in the 
applicant 's decision to go forward with the 
project and not receiving the tax credit will 
result in the applicant not creating new jobs in 
Indiana  
 
--Political subdivisions/municipalities affected 
by the project have offered significant 
incentives to the business. Eli gible capital 
investment includes new machinery and 
building costs associated with the project as 
outlined by I.C. 6 -3.1-26-8. The tax credit is up to 10% of qualified investment 
over a timeframe as determined by IEDC under 
statutory guidelines.  Ongoing   
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- 113 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Indiana  Twenty -First 
Century Research 
and Technology 
Fund (21F)  Indiana Economic  
Development 
Corporation (IEDC)  Grants  The goal is to work with early revenue 
generating companies to solve product 
demonstration and penetration issues in order 
to accelerate company growth, milestone 
achievement and job creation.   All investments 
are initially made in convertible debt with 
finalization in convertible debt or equity 
instruments. Investment Criteria for the 
21st Century Fund Include:  
 
-- For-profit entity headqu artered in Indiana  
-- Addressable market size over $1 billion  
-- Clear & sustainable competitive advantages 
such as technical superiority  
-- Disruptive business models: while no 
technology invention is required, application of 
technology is usually desired  to achieve such 
disruptive models  
-- Coachable management team with strong 
commitment and execution capabilities  
-- Willingness to work with Elevate Venture's 
Entrepreneurs -in- Residence ("EIR") toward 
tangible  goals  
-- Achievable growth & exit strategies  
-- New Technology  Amounts vary, but maximum investment by the 
Fund is $2 million per company.  Ongoing  
Indiana  Patent Income 
Exemption  Indiana 
Department of 
Revenue  Tax credit  The Tax Exemption for Patent -derived Income 
defines qualified patents to include only utility 
patents and plant patents. The total amount of 
exemptions claimed by a taxpayer in a taxable 
year may not exceed $5 million. The exemption 
provides that a taxpayer may not claim an 
exemption for income derived from a particular 
patent for more than 10 taxable years. The 
exemption percentage begins at 50 % of income 
derived from a qualified patent for each of the 
first five taxable years, and decreases over the 
next five taxable years to 10 % in the 
10th taxable year. It also specifies tha t a 
taxpayer is eligible to claim the exemption only 
if the taxpayer is domiciled in Indiana and is 
either an individual or corporation with not more 
than 500 employees including employees in the 
individual 's or corporation 's affiliates or is a 
non-profit organization or corporation. The 
Tax Exemption for Patent -Derived Income is 
established by IC  6-3-2-21.7.  The total amount of exemptions claimed by a 
taxpayer in a taxable year may not exceed 
$5 million.  Ongoing   
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- 114 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Indiana  Venture Capital 
Investment Tax 
Credit  Indiana Economic  
Development 
Corporation (IEDC)  Tax credit  Recipient industries are life sciences and 
technology.  Investors who provide qualified debt or equity 
capital to Indiana companies receive a credit 
against their Indiana tax liability. The Venture 
Capital Investment Tax Credit is established by 
I.C. 6 -3.1-24. The maximum amount of tax credits 
available for qualified investment capital to a 
particular qualified Indiana business equals the 
lesser of: the total amount  of investment capital 
provided to the qualified Indiana business in the 
calendar year, multiplied by 20 % or $1,000,000. 
If the amount of credit exceeds the taxpayer 's 
state tax liability for that taxable year, the tax 
payer may carry over the excess credi t for a period 
not to exceed the taxpayer 's following five  taxable 
years. A taxpayer is not entitled to a carry back or 
a refund of any unused credit  amount.  Ongoing  
Iowa Targeted Industry 
Demonstration 
Fund Iowa Economic 
Development 
Authority (IEDA). 
The statutory basis 
is at Iowa Code 
15.411.The 
relevant 
administrative 
rules are at 261 
Iowa 
Administrative 
Code 105.  Grants and loans  Recipients are companies in three targeted 
industry clusters: Bioscience, Advanced 
Manufacturing, and Information Technology. 
Applicants must be able to demonstrate that the 
product is ready for commercialization and 
market entry.  
 
Applicants must also show their ability to 
develop and commercialize products and 
manage successful ventures. Companies 
seeking awards go through a rigorous due 
diligence process and are judged in terms of 
marketability, return on investment, and 
economic development impact.  Maximum award is $125,000, most often in the 
form of loan or royalty agreement.  Ongoing  
Iowa Alternative Energy 
Revolving Loan 
Program  Iowa Energy 
Center (Section 
476.46 Code of 
Iowa). See also 
261 Iowa 
Administrative 
Code 405.  Loan Recipients are alternative energy production 
facilities and small hydro facilities, both defined 
at Iowa Code 476.42.  The program offer s zero -percent interest loans for 
the construction of alternate energy production 
facilities or small hydro facilities as defined in Iowa 
Code section 476.42. Maximum amount is 
$1 million. Since 2017, loans are made entirely by 
the Iowa Energy Center rathe r than with a 
participating private lender.  Ongoing   
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- 115 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Iowa Innovation Fund 
Tax Credit  Section 15E.52, 
Code of Iowa 
(program 
description); 
Section 422.11Y, 
Code of Iowa 
(individual income 
tax); Section 
422.33 (13), Code 
of Iowa 
(corporation 
income tax);  
Section 422.60 
(13), Code of Iowa 
(franchise tax); 
Section 432.12M, 
Code of Iowa 
(insurance 
premium tax); 
Section 533.329 
(2)(1), Code of 
Iowa (moneys and 
credits tax) . Tax credit  Innovative businesses include, but are not 
limited to, businesses engaged in  advanced 
manufacturing, biosciences and information 
technology.  Investors receive tax credits equal to 25% of the 
investor 's equity investment in an 
Innovation  Fund.  Ongoing   
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- 116 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Iowa Renewable Energy 
Tax Credit  Section 476C, Code 
of Iowa (program 
description); 
Section 476.48, 
Code of Iowa 
(small wind 
innovation zone 
program); Section 
422.11J, Code of 
Iowa (individual 
income tax); 
Section 422.33 
(16), Code of Iowa 
corporation income 
tax); Section 
422.60 (8), Code 
of Iowa (franchise 
tax); Section 
432.12E, Code of 
Iowa (insurance 
premium tax); 
Section 423.4 (4), 
Code of Iowa 
(consumer 's use 
tax); Section 
437A.17B, Code of 
Iowa (replacement 
tax) Tax credit  Recipients include a producer or purchaser of 
energy from an eligible renewable energy 
facility ap proved by the Iowa Utilities Board. A 
power -purchase agreement is signed between 
the purchaser and producer which sets forth 
which party will receive the tax credit.  Participants in the program receive Renewable 
Energy Tax Credits equal to $0.015 per 
kilowatt -hour of electricity, or $4.50 per million 
British thermal units of heat for a commercial 
purpose, or $4.50 per million British thermal units 
of methane gas or other biogas used to generate 
electricity, or $1.44 per one  thousand standard 
cubic feet  of hydrogen fuel generated by and 
purchased from an eligible renewable energy 
facility. The credit may be claimed against 
corporate income, individual income, franchise, 
insurance premium, sales and use, and 
replacement taxes.  Ongoing. (Limited 
to facilit ies placed 
in service 
between 7/1/05 
and 1/1/18.)  
Iowa Iowa Solar Energy 
System Tax Credit  Iowa Department 
of Revenue. Iowa 
Code 422.11L.  Tax credit  Recipients are qualifying installations of solar 
energy infrastructure.  The tax credit for installations that occur after 
January  1, 2016 is equal to 50% of the federal 
credit, up to $20,000.  Ongoing   
 G/SCM/N/372/USA  
 
- 117 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Iowa Wind Energy 
Production Tax 
Credit  Section 476B, Code 
of Iowa (program 
description); 
Section 422.11J, 
Code of Iowa 
(individual income 
tax); Se ction 
422.33 (16), Code 
of Iowa 
(corporation 
income tax); 
Section 422.60 (8), 
Code of Iowa 
(franchise tax); 
Section 423.4 (4), 
Code of Iowa 
(consumer 's use 
tax); Section 
432.12E, Code of 
Iowa (insurance 
premium tax)  Tax credit  Recipients own a "qualified facility," defined as 
a facility the produces electricity from wind that 
is located in Iowa, was originally placed in 
service on or after July 1, 2005, but before 
July 1, 2012, and is approved by the local board 
of supervisors and the Iowa Utili ties Board.  The credit is equal to $0.01 per kilowatt -hour of 
electricity sold or generated for on -site 
consumption. Credits are available for a ten -year 
period from the initial in -service date of the 
facility.  Ongoing  
Iowa Renewable 
Chemical 
Production T ax 
Credit  Iowa Economic 
Development 
Authority (IEDA). 
See IAC 261.81.  Tax credit  Companies physically located in Iowa producing 
one of 30 high value chemicals derived from 
biomass feedstocks.  Amounts based on weight. Annual limits of 
$1 million for startups and $500,000 for 
established businesses. See:  
https:// www.iowaeda.com/innovate/renewable -
chemical -production - tax-credit/  Ongoing.  
Kansas  Ethyl Alcohol 
Production 
Incentive  Kansas 
Department of 
Commerce  Grant  Producers of ethyl alcohol.  The benefit amount is $0.035 for each gallon sold 
by the producer.  $875,000 per quarter is added to 
the fund for distribution. If production exceeds the 
fund balan ce, a proration of the distribution is 
performed.  Program expired 
June 30, 2018 
and was not 
extended.  
Kentucky  High-tech Pool 
Funding Resources  Kentucky Economic 
Development 
Finance Authority 
(KEDFA)  Grants Recipients are eligible Kentucky companies.  Up to $250,000.  Ongoing  
Kentucky  Kentucky Film 
Incentive  Kentucky Film 
Office KRS 
148.850 -860 Tax incentive  Recipients include qualifying film and television 
show producers.  Tax incentive.  Ongoing   
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- 118 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Kentucky  Industrial Revenue 
Bonds  Kentucky Economic 
Development 
Finance Authority 
(KEDFA)  Tax Abatement  Recipients are eligible Kentucky companies. The 
following eligibility criteria shall be considered:  
 
(1) The number of existing full -time jobs 
committed to be retained and the number of 
new, full -time jobs committed to be created by 
the company for which the bonds are to be 
issued. A full -time job is defined as a position 
filled by an employee (excluding contract or 
part-time employees) that  the company 
projects will work, on an  annual basis, one 
thousand eight hundred and twenty (1,820)  
hours;(2) The average salary committed to be 
paid for each full -time job created or maintained 
and the employee benefits to be offered by the 
company requesting the issuance of the 
industrial rev enue bonds;(3) The amount of 
capital investment being made by the company 
in the industrial project that is being financed by 
the industrial  bonds;  (4) The unemployment 
rate in the county of the industrial  
project;(5)  The state tax incentive programs 
and g rant/loan programs that the company is 
either seeking, or in which it is participating for 
the particular industrial project;(6) Whether the 
new project is a relocation of an existing 
Kentucky business; (7) The new tax revenues 
which the company and the ta x-exempt 
governmental unit or statutory authority 
anticipates will be produced by the industrial 
project over the life of the bond issue;(8) The 
approximate amount and percentage of the 
state and local ad valorem  taxes which will be 
lost as a result of the  applicant company leasing 
all or a portion of the industrial project from the 
tax-exempt governmental unit or statutory 
authority.  Amounts vary.  Ongoing  
Kentucky  Commonwealth 
Seed Capital LLC 
(CSC)  Kentucky Economic 
Development 
Partnership, 
Commonwealth 
Seed Capital 
Management 
Committee  Equity 
investment or 
convertible debt  CSC, a non -state private entity funded with 
state dollars will invest state capital in Kentucky 
technology companies.  The CSC provides early -stage seed funds to 
technology  companies in Kentucky. Amounts of 
investment vary by project.  Ongoing   
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- 119 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Kentucky  Major Recycling 
Project Tax Credit 
(KRS 141.390)  Kentucky 
Department of 
Agriculture  Tax credit  Recipients are "major recycling projects" where 
the taxpayer:  
 
1) invests more than $10,000,000 in recycling 
or composting equipment; 2) has 750 or more 
full-time employees and pays more than 300 % 
of the federal minimum wage; and 3) has plant 
and equipment with a total cost of over 
$500,000,000.  In each taxable year, the amount of credits 
claimed for all major recycling projects is limited 
to 1) 50 % of the excess of the total of each tax 
liability over the baseline tax liability of the 
taxpayer; or 2)  $2,500,000, whichever is less.  Ongoing  
Kentucky  Recycling 
Equipment Credit  Kentucky 
Department of 
Agriculture  Tax credit  Income tax credits are allowed for up to 50 % of 
the installed costs of equipment used 
exclusively to recycle or compost postconsumer 
waste (excluding secondary and demolition 
wastes) and for machinery us ed exclusively to 
manufacture products composed substantially 
of postconsumer waste materials.  For the year the equipment is purchased, the 
credit is limited to 10 % of total credit allowed and 
25% of the taxpayer's state income tax liability. 
The unused portion of the total allowable recycling 
credits can be carried forward to succeeding tax 
years, with the credit claimed during any tax year 
limited to 25 % of the taxpayer's state income tax 
liability. Ongoing  
Kentucky  Small Business 
Innovation 
Research (SBIR)  - 
Small Business 
Technology 
Transfer Research 
(STTR)  Kentucky Cabinet 
for Economic 
Development  Grants  Kentucky high -tech small businesses engaged 
in research and development for innovations 
with potential for commercialization.  Match, on a competitive basis, phase 1 and 
phase  2 federal awards received by Kentucky 
high-tech small businesses.  Ongoing  
Kentucky  Kentucky Jobs 
Retention Act 
(KJRA)  Kentucky Economic 
Development 
Finance Authority 
KRS 154.25 -010 et 
seq. Tax incentives  Recipients are existing automotive, automotive 
parts, household appliance, and household 
appliance parts manufacturers in Kentucky.  Up to 50 % of new investment can be recovered 
through a reduction in payroll taxes over time if 
the company makes an investment of at least 
$100 million. In addition, the investment recovery 
could be increased up to 75 % if investments are 
made at multiple sites.  Ongoing 
Kentucky  The Kentucky 
Reinvestment Act 
(KRA)  Kentucky Economic 
Development 
Finance Authority 
(KRS 154.34 -010 
et seq.)  Tax credit  Recipients include any business engaged in 
manufacturing at a facility located and operating 
within the Commonwealth on a permanent basis 
for a reasonable period of time preceding the 
request for approval.  The minimum investment 
for eligibility is $2.5  million.  KRA recipients are eligible to receive up to a 
100% credit against the Kentucky income tax 
liability generated by the project.  Ongoing  
Kentucky  Incentives for 
Energy 
Independence Act 
(IEIA) (as of 
7/1/2021, this 
program is called 
the "Incentives for 
Energy -Related 
Business Act")  Kentucky Economic 
Development 
Finance Authority 
(KRS 154.27 -010 
et seq.) Tax rebate and 
other tax 
incentives  Recipients include gasification, alternative 
energy, or renewable energy facilities including 
natural gas. The program requires a capital 
investment of at least $25 million for an 
alternative fuel facility using bi omass, or an 
investment of at least $100 million for an 
alternative fuel facility using coal, as its primary 
feedstock. A capital investment of at least 
$1 million is required for a renewable power 
facility that meets minimum electric output 
standards base d upon the power source. As of 
7/1/2021, recipients include facilities where the 
mining of cryptocurrency occurs, with a 
minimum $1 million capital  investment.  Negotiated incentives cannot exceed 50% of the 
capital expenditures. The program provides 
reimbu rsement of sales and use taxes paid on 
tangible personal property; an income tax credit; 
and, wage assessment incentives up to 4% of 
gross wages of each employee whose job was 
created as part of the project.  Ongoing. This 
program sunset in 
2019, but restar ts 
as the "Incentives 
for Energy -
Related Business 
Act" in July 2021.   
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- 120 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Kentucky  Kentucky Rural 
Innovation 
Program  Kentucky Economic 
Development 
Finance Authority, 
Office of 
Entrepreneurship 
and Small Business 
Innovation (KRS 
164.6027 et seq.)  Seed stage 
capital grants 
and investments  Recipients include small, innovative companies 
in the fields of bioscience, environmental and 
energy technologies, health and human 
development, information technology and 
communications, and materials science and 
advan ced manufacturing located in rural areas 
of the  state.  The program provides up to $30,000 in grants, 
and up to $100,000 in investments.  Ongoing. As of 
7/1/2021, the 
Rural Innovation 
Program will be 
suspended and all 
funds will be 
transferred to the 
Kentuck y 
Enterprise Fund.  
Kentucky  Kentucky 
Enterprise Fund  Kentucky Economic 
Development 
Finance Authority, 
Office of 
Entrepreneurship 
and Small Business 
Innovation (KRS 
164.6019 et seq.)  Seed stage 
capital grants 
and investments  Recipients include small, innovative companies 
in the fields of bioscience, environmental and 
energy technologies, health and human 
development, information technology and 
communications, and materials science and 
advanced manufacturing. As of 7/1/2021, 20% 
of annual funding will b e allocated for 
companies located in enhanced incentive 
counties (see KRS  154.21 -010) and 20% of 
funding will be allocated for companies located 
in Opportunity  Zones.  The program provides up to $30,000 in grants, 
and up to $750,000 in investments. As of 
7/1/2021, no company can receive more than 
$500,000 in investments.  Ongoing  
Kentucky  Kentucky Business 
Investment (KBI)  Kentucky Economic 
Development 
Finance Authority 
(KEDFA)  Wage 
assessments and 
tax credits  Recipients are eligible Kentucky companies 
engaged in manufacturing, non -retail service or 
technology activities, agribusiness, 
headquarters operations, alternative fuel, 
gasification, energy -efficient alternative fuels, 
renewable energy production, or carbon dioxide 
transmission pipeline s. The amounts vary.  Ongoing  
Kentucky  Kentucky 
Industrial 
Revitalization Act 
(KIRA)  Kentucky 
Department of 
Agriculture  Income tax 
credits, 
Kentucky 
Corporation 
License Fee 
credits, and job 
assessment fees  Investments in the rehabilitation of 
manufacturing or agribusiness operations that 
are in imminent danger of permanently closing 
or that have closed temporarily may qualify for 
tax incentives, where 25 jobs are created or 
maintained. Investments in the rehabilitation of 
coal mining and proces sing facilities that have 
closed, been temporarily suspended, or 
severely reduced that employ, or intend to 
employ, a minimum of 500 persons and have a 
raw production of at least three million tons 
from the economic revitalization project facility 
may qual ify for tax incentives.  The program provides income tax credits, 
Kentucky Corporation License Fee credits, and job 
assessment fees for up to ten (10) years limited 
to 75% of the costs of the rehabilitation or 
construction of buildings and the refurbishing or 
purchasing of machinery and equipment. When 
approved by a local taxing jurisdiction, projects 
may receive a job assessment fee of up to 5% of 
the gross wages of each employee subject to 
Kentucky individual income tax whose job is 
preserved or created by  the approved project.  
State participation is limited to 4%, with local 
participation limited to 1%. Ongoing  
Kentucky  Kentucky Rural 
Economic 
Development Act 
(KREDA)  Kentucky 
Department of 
Agriculture  Tax incentives  Recipients include new and expanding 
manufacturing projects that create at least 
15 new full -time jobs in certain Kentucky 
counties. Companies must make a capital 
investment of at least $100,000 in land, 
buildings, fixtures, and equipment. The 
project's real estate must be acquired by the 
approved company through either the 
acquisition of title or through a capital lease.  Projects approved under KREDA may receive state 
income tax credits and a waiver of a job 
development assessment fee of 4 % of the gross 
wages of each employee whose job is created by 
the approved project and who is subject to 
Kentucky 's individual income tax for up to 
fifteen  years.  Ongoing   
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- 121 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Kentucky  Kentucky 
Enterprise 
Initiative Act 
(KEIA)  Kentucky Economic 
Development 
Finance Authority 
(KEDFA)  Sales tax 
refunds  Recipients are eligible Kentucky companies 
engaged in Manufacturing, non -retail service or 
technology activities, agribusiness, 
headquarters operations, tourism operations, 
alternative fuel, gasification, energy -efficient 
alternative fuels, renewab le energy production, 
or carbon dioxide transmission pipelines in 
Kentucky.  Amounts vary.  Ongoing  
Kentucky  Corporate Income 
Tax Credit for Use 
of Kentucky Coal  Kentucky 
Department of 
Revenue  Corporation 
income and 
limited liability 
entity tax credit  Recipients are corporations using coal for 
industrial heating or processing.  A credit against the corporation income tax and 
the limited liability entity tax is authorized for 
4.5% of the purchase price of the coal subject to 
Kentucky's coal tax that is us ed for generating 
steam or hot water or materials processing or 
providing for direct heat for industrial processes. 
The tax credit is non-refundable  and cannot be 
carried forward.  Ongoing  
Kentucky  Cellulosic Ethanol 
Tax Credit  Kentucky 
Department of 
Revenue (KRS 
141.4244)  State income tax 
and limited 
liability entity 
tax credit  Recipients are producers of cellulosic ethanol.  A tax credit against income tax and the limited 
liability entity tax is allowed to producers of 
cellulosic ethanol . The credit rate is $1 per 
cellulosic ethanol gallon produced subject to an 
annual cap equal to $5 million in the aggregate. 
However, this cap can be modified if there is a cap 
transfer from the ethanol tax credit program. The 
tax credit is non-refundable  and cannot be carried 
forward.  Ongoing  
Kentucky  Biodiesel Fuel Tax 
Credit  Kentucky Economic 
Development 
Finance Authority 
(KEDFA) (KRS 
141.423)  State income tax 
and limited 
liability entity 
tax credit  Recipients are biodiesel producers, biodiesel 
blenders, and renewable diesel producers.  A tax credit against income tax and the limited 
liability entity tax is allowed to biodiesel 
producers, biodiesel blenders, or renewable diesel 
producers. The tax credit is $1 per biodiesel gallon 
produce d by a biodiesel producer; $1 per gallon of 
biodiesel used in the blending process by a 
biodiesel blender with a blend of at least 2%; and 
$1 per gallon of renewable diesel produced by a 
renewable diesel producer. The tax credit is 
subject to an annual cap  equal to $10  million in 
the aggregate. The tax credit is non-refundable  
and cannot be carried forward.  Ongoing  
Kentucky  Kentucky Clean 
Coal Incentive  Kentucky Economic 
Development 
Finance Authority 
(KEDFA) (KRS 
141.428)  State income 
tax, limited 
liability entity 
tax and public 
service 
corporation 
property tax 
credit.  Recipients are electric power companies subject 
to the public service corporation property tax 
and certified as clean coal facilities, or any 
taxpayer that owns or operates a clean co al 
facility and purchases eligible coal that is used 
by the taxpayer in a certified clean coal facility. 
The parent corporation of these taxpayers can 
also be recipients if the subsidiaries are wholly 
owned.  The amount of the credit is $2.00 per ton of 
eligible coal purchased that is used to generate 
electric power at a certified clean coal facility. The 
tax credit is non-refundable  and cannot be carried 
forward.  Ongoing   
 G/SCM/N/372/USA  
 
- 122 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Kentucky  Kentucky Ethanol 
Tax Credit  Kentucky 
Department of 
Revenue (KRS 
141.4242)  State income tax 
and limited 
liability entity 
tax credit  Recipients are producers of ethanol.  The amount of the tax credit is $1 per gallon of 
ethanol produced. The tax credit is subject to an 
annual cap equal to $5,000,000 in the aggregate. 
However, this cap can be modified if there is a cap 
transfer from the cellulosic ethanol tax credit 
program.  The tax credit is non-refundable  and 
cannot be carried  forward.  Ongoing  
Kentucky  Bluegrass State 
Skills Corporation 
(BSSC) Grant -in 
Aid Program (GIA)  Bluegrass State 
Skills Corporation 
(BSSC)  Grant  Recipients are eligible Kentucky companies 
engaged in manufacturing, agribusiness, 
non-retail service or technology, national or 
regional headquarters, or healthcare.  Up to $75,000 per year . Ongoing  
Kentucky  Skills Training 
Investment Tax 
Credit (STIC)  Bluegrass State 
Skills Corporation 
(BSSC)  Tax Credit  Recipients are eligible Kentucky companies 
engaged in manufacturing, agribusiness, 
non-retail service or technology, national or 
regional headquarters, or healthcare.  Up to $75,000 per year . Ongoing  
Kentucky  Agricultural 
Infrastructure 
Loan Program 
(AILP)  Kentucky 
Agricultural 
Finance 
Corporation  Loan To assist Kentucky agricultural producers by 
providing them access to below market 
financing for the acquisition, renovation, and 
construction of agricultural structures that  
enhance the profitability of their farming 
operations  Up to $150,000 . Ongoing  
Kentucky  Agricultural 
Processing Loan 
Program  Kentucky 
Agricultural 
Finance 
Corporation  Loan To provide loan opportunities to companies and 
individuals interested in adding value to 
Kentucky -grown agricultural commodities 
through further processing.  Varies . Ongoing  
Kentucky  Beginning Farmer 
Loan Program 
(BFLP)  Kentucky 
Agricultural 
Finance 
Corporation  Loan To assist individuals with farming experience 
who desire to  develop, expand, or buy into a 
farming operation.  Varies . Ongoing  
Kentucky  Diversification 
through 
Entrepreneurship 
in Agribusiness 
Loan (DEAL)  Kentucky 
Agricultural 
Finance 
Corporation  Loan To assist agri -entrepreneurs with the purchase, 
establishment, or expansion of a business that 
sells agricultural products or services to farmers 
or consumers.  Varies . Ongoing  
Kentucky  Kentucky 
Investment Fund  
Act (KIFA)  Kentucky Cabinet 
For Economic 
Development  Tax Credit  Recipients are eligible investors in eligible 
Kentucky businesses  Up to $8,000,000 . Ongoing  
Kentucky  Kentucky Loan 
Participation 
Program (KYLPP)  Kentucky Cabinet 
for Economic 
Development  Loan Recipients are eligible Kentucky companies  Up to 20% of the loan amount . Ongoing  
Kentucky  Angel Investment 
Tax Credit  Kentucky Economic 
Development 
Finance Authority 
(KEDFA)  Tax Credit  Recipients are eligible investors in eligible 
Kentucky businesses engaged in 
knowledge -based activity related to bioscience; 
environmental and energy technology; health 
and human development; information 
technology and communications; and materials 
science and advanced manufacturing.  (1) $3 million tax credits available per calendar 
year; (2) $200,000 maximum to individual 
investor each calendar year; and (3) $1  million 
maximum tax credits for a Qualified Small 
Business.  Ongoing   
 G/SCM/N/372/USA  
 
- 123 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Kentucky  Direct Loan 
Program  Kentucky Economic 
Development 
Finance  Authority 
(KEDFA)  Loan Recipients are eligible Kentucky companies 
engaged in agribusiness, tourism, 
manufacturing, or service industry.  Up to $500,000 . Ongoing  
Kentucky  Tourism 
Development 
Incentive Program  Kentucky 
Department of 
Travel & Tourism  Tax Credit  Recipients are eligible Kentucky Tourism 
projects.  25% of Project Costs . Ongoing  
Louisiana  Research and 
Development Tax 
Credit  Louisiana 
Department of 
Economic 
Development  Tax credit  Recipients are Louisiana companies conducting 
research & development.  This program provides up to a 30% tax credit on 
qualified research expenditures in Louisiana.  Ongoing, but 
sunsets 
12/31/2025  
Louisiana  Sales Tax 
Exemption for 
Customized 
Computer 
Software  Louisiana 
Department of 
Revenue  Tax benefits  Recipients are software technology companies.  This measure excludes custom computer software 
from state sales and use tax. Estimates are not 
available.  Ongoing  
Louisiana  Economic 
Development 
Award Program  Department of 
Economic 
Development  Grant  Preference will be given to projects located in 
areas of the state with high unemployment 
levels and to projects intended to expand, 
improve or provide basic infrastructure 
supporting mixed use by the company and the 
surrounding community. No assistance ma y be 
provided for Louisiana companies relocating 
their operations to another labor market area 
(as defined by the U.S. Census Bureau) within 
Louisiana, except when company gives 
sufficient evidence that it is otherwise likely to 
relocate out of Louisiana.  The minimum award request size is $25,000. 
Projects must create or retain at least 
10 permanent jobs in Louisiana.  The portion of the 
total project cost financed by the award may not 
exceed 90 % for projects located in parishes with 
per capita income below the median for all 
parishes; 75 % for projects in parishes with 
unemployment rates above the state-wide 
average; or 50 % for all other  projects.  Ongoing  
Louisiana  Enterprise Zone 
Program  Department of 
Economic 
Development  Tax credit  EZs are areas with high unemployment, low 
income or a high percentage of residents 
receiving some form of public assistance. There 
are 1,670 enterprise zones state-wide, in both 
urban and rural parishes. Job credits are $5,000 
for NAICS Code Numbers 36411,  336412, 
336413, and 33291.  The program provides a one -time tax credit of up 
to $3,500 for each net new permanent job created 
for businesses that locate or expand in designated 
enterprise zones. Credits may be applied against 
a company's Louisiana state in come or corporation 
franchise tax liability. Sales tax benefits (rebates) 
are only in effect for the duration of the initial 
construction period (2 year maximum). The 
Enterprise Zone program offers $5,000 tax credits 
to automotive and airplane  manufacturer s. Ongoing  
Louisiana  Restoration Tax 
Abatement  Department of 
Economic 
Development  Tax 
abatement/reduc
tion Buildings must be located in a Downtown 
Development District, an Historic District, an 
Economic Development District or be listed on 
the National Register for Historic  Places.  Property taxes may be abated on the amount of 
improvements to existing structures, for a 
five-year period and may be renewed for an 
additional five  years.  Ongoing   
 G/SCM/N/372/USA  
 
- 124 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Louisiana  Workforce 
Development and 
Training Program  Department of 
Economic 
Development  Grant  Recipients include Louisiana companies 
expanding within the state in a new area that 
have been operating less than three years, and 
companies located outside of Louisiana locating 
a facility within the state . The expansion of an 
existing Louisiana company, by the addition of 
a new technology or product line, can be 
considered. Preference will be given to 
applicants in industries identified by the state as 
target industries, and to applicants located in 
areas of the state with high unemployment  
levels.  The New Employee Training award may cover up 
to 100 % of the eligible training costs, not to 
exceed $500,000. The Workplace  - based 
Retraining award may cover up to 50 % of the 
eligible training costs, not to excee d $500,000.  Ongoing  
Louisiana  Biomedical and 
University 
Research and 
Development Park 
Programs  Louisiana 
Department of 
Revenue  Income tax 
credit  Recipients are located in university research and 
development parks.  The exemptions or credits can equal the cost of 
machinery and scientific equipment used on the 
premises.  Ongoing  
Louisiana  Digital Interactive 
Media and 
Software Tax 
Credit Program  Louisiana 
Department of 
Economic 
Development  Tax credit  Recipients are video game developers and 
software development companies.  This program provides a 25% tax credit on 
qualified in -state labor and 18% for qualified 
production expenditures.  Ongoing  
Louisiana  Sound Recording 
Investor Tax 
Credit  Louisiana 
Department of 
Economic 
Development  Tax credit  Recipients are individuals engaged in recording, 
tracking and overdubbing of music and vocal 
performances, film scores, spoken word 
performance, and live musical performances.  This program provides a production credit of 18% 
on sound recording expenses. The program is 
subject to a cap of $2.1 million in tax credits per 
calendar year. Sound recording investor tax 
credits are issued as rebates.  Ongoing, but the 
program will 
sunset to new 
applications 
7/1/2026.  
Louisiana  Alternative Fuel  
Vehicle (AFV) 
Incentives  Louisiana 
Department of 
Revenue  Tax credit  Recipients are consumers purchasing 
alternative fuel vehicles, alternative fuel 
refueling equipment, or performing AFV 
conversions.  Revised Statute RS 47:6035 offers a state income 
tax credit for 50% of the incremental cost of 
purchasing a factory -equipped AFV, 50% of the 
cost for converting a vehicle to alternative fuels, 
and 50% of the cost for alternative fuel refueling 
equipment. F or the purchase of an original 
equipment manufacturer (OEM) AFV, if the 
taxpayer is unable to determine the incremental 
cost of the vehicle relating to the use of alternative 
fuel, a credit of the lesser of 10% of the cost of 
the vehicle or $3000 may be cl aimed.  Ongoing, but the 
program will 
sunset on 
1/1/2022.  
Louisiana  Purchases of 
Qualified New 
Recycling 
Manufacturing or 
Processing 
Equipment  Louisiana 
Department of 
Natural Resources  Tax credit  Recipients are purchasers of new recycling 
manufacturing or processing equipment.  A taxpayer who purchases qualified new recycling 
manufacturing or process equipment and/or 
qualified service contracts shall be entitled to a 
credit against any income and corporation 
franchise taxes imposed by the st ate in an amount 
equal to  20% of the cost of the new recycling 
manufacturing or process equipment and/or 
qualified service  contract.  Ongoing   
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- 125 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Louisiana  Ad Valorem  
Natural Gas Tax 
Credit  Louisiana 
Department of 
Revenue  Tax credit  Recipients are natural gas storage services or 
natural gas storage facilities.  R.S. 47:6006 allows a refundable credit against 
corporate income or corporate franchise tax for 
100% of the ad valorem  taxes paid to political 
subdivisions in Louisiana on natural gas held, 
used, or consumed in providing natural gas 
storage services or operating natural gas storage  
facilities.  Ongoing  
Louisiana  Gasoline & Special 
Fuel Taxes for 
Commercial 
Fisherman  Louisiana 
Department of 
Revenue  Exclusion/Exemp
tion Recipients are commercial fishing boats.  Revised Statute 47:305.20 and 818.15 provide 
exclusions and exemptions to the state sales, 
gasoline and motor fuels taxes and special fuels 
taxes paid to operate or propel a commercial 
fishing boat.  Ongoing  
Louisiana  Motion Picture 
Production Tax 
Credit  Louisiana 
Department of 
Economic 
Development  Tax credit  Recipients are motion picture production 
companies.  This program provides up to a 40% tax credit on 
qualified in -state production expenses.  Ongoing, but the 
program will 
sunset to new 
applications 
7/1/2025 . 
Louisiana  New Markets Tax 
Credit  Louisiana 
Department of 
Revenue  Tax credit  Recipients are private -sector investors who 
make qualified equity investments in 
Community Development Entities, or CDEs.  The program allows individual and corporate 
taxpayers to receive a credit against federal 
income taxes for making qualified equity 
investments in Community Development Entities, 
or CDEs. Credits can be obtained every year the 
investment is held, for up to seve n years of the 
credit period. Equity investments in low - to 
moderate - income areas may qualify for a 39% 
federal tax credit available through a special 
federal allocation for the Louisiana Gulf 
Opportunity Zone. Qualifying projects may 
leverage the federal  program through an 
additional 25% state tax credit (64% total credit).  Ongoing  
Louisiana  Quality Jobs  Louisiana 
Department of 
Economic 
Development  Tax incentives  Available to businesses with operations in one 
of the following sectors: bioscience, 
manufacturing, environmental technology, food 
technology, advanced materials, or oil & gas, 
and/or IT or are located in an area designated 
by Louisiana Economic Development as a 
distressed region, or belong to a census tract 
block group that is  below the state median per 
capita income, based upon the latest federal 
decennial  census.  The program provides up to a 6% cash rebate of 
annual gross payroll for new, direct jobs for up to 
10 years. The program can also provide a 
4% sales/use tax rebate o n capital expenditures 
or a 1.5% project facility expense rebate for 
qualified  expenses.  Ongoing  
Louisiana  Sales Tax 
Exclusion for 
Installation of 
Board Roads in 
Oil-Fields  Louisiana 
Department of 
Revenue  Tax exemption  Recipients are entities engaged in installing 
board roads to oil - field operations (wooden 
road surfaces to reach well sites).  This measure excludes the installation of board 
roads to oil -field operations from Louisiana sales 
tax. Estimates are not available.  Ongoing  
Louisiana  Sales Tax 
Exclusion on 
Drilling Rigs  Louisiana 
Department of 
Revenue  Tax exemption  Recipients are entities conducting repairs, 
renovations, or conversions of drilling rigs for 
the exploration or development of minerals in 
the outer continental shelf.  This measure excludes repairs, renovations, or 
conversions of drilling rigs used exclusively for the 
exploration or development of minerals in the 
outer continental shelf from Louisiana's sales tax. 
Estimates are not available.  Ongoing   
 G/SCM/N/372/USA  
 
- 126 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Louisiana  Sales Tax 
Exemption for 
Repairs and 
Materials Used on 
Drilling Rigs  Louisiana 
Department of 
Revenue  Tax exemption  Recipients are entities conducting repairs, 
renovations, or conversions of drilling rigs for 
the exploration or development of minerals in 
the outer continental shelf.  This measure exempts from Louisiana's sales tax 
all materials, services, supplies, and labor used to 
repair, renovate, or convert drilling rigs, and that 
are employed exclusively for exploration or 
development of minerals in the o uter continental 
shelf. Estimates are not available.  Ongoing  
Louisiana  Excess of 
Percentage over 
Cost Depletion  Louisiana 
Department of 
Revenue  Tax deduction  Available to oil and natural gas producers.  Estimates are not available. This measure allows 
oil and natural gas producers to calculate 
deductions from their taxable income based on a 
fixed percentage of the gross value of the 
resources being extracted. The state of Louisiana 
limits the percentage depletion deduction to 50% 
of a taxpayer's net income.  Ongoing  
Louisiana  Natural Gas 
Severance Tax 
Suspension for 
Horizontal Wells  Louisiana 
Department of 
Revenue  Tax incentive  Available to natural gas producers that operate 
horizontal wells.  This measure provides for a suspension of all 
severance tax liabilities for a period of 24 months, 
or until payout of well costs is achieved, for any 
gas well drilled or recompleted horizontally for 
which production started after 31 July 1994. Tax 
expenditures for this program totaled an 
estimated $182 million in fiscal year ending June 
30, 2020.  Ongoing  
Louisiana  Natural Gas 
Severance Tax 
Suspension for 
Inactive Wells  Louisiana 
Department of 
Revenue  Tax incentive  Available to eligible natural gas producers 
exploiting older, mature fields featuring inactive 
wells. This measure benefits gas wells which 
have returned to service a fter being inactive for 
two or more years, or those which have had 
30 days or less of production in the past 
two years.  Estimates are not available. Natural gas 
production shall be exempt from severance tax for 
a period of five years from the date of  restart.  Ongoing  
Louisiana  Natural Gas 
Severance Tax 
Suspension for 
Deep Wells  Louisiana 
Department of 
Revenue  Tax incentive  Available to natural gas producers that operate 
deep wells (with a true vertical depth of greater 
than 15000 feet).  This measure allows the suspension of all 
severance -tax liabilities for a period of 24 months, 
or until payout of well costs is achieved, for any 
gas well drilled with a true vertical depth greater 
than 15,000  feet and for which production started 
after 31  July 1994.  
 
Tax expenditures for this program totaled an 
estimated $495,000 in fiscal year ending 
June 30, 2020.  Ongoing  
Louisiana  Reduced 
Severance Tax on 
Incapable Oil Well 
Gas Louisiana 
Department of 
Revenue  Tax incentive  Available to natural gas and oil producers.  Measure provides that a special reduced rate of 
severance tax be applied to natural gas produced 
from oil wells having 50 pounds or less of wellhead 
pressure per square inch, or produced by artificial 
methods, gas lift, or pumping. Tax expen ditures 
for this program totaled an estimated $380,000 in 
fiscal year ending June 30, 2020. $427,000 in 
2019.  Ongoing   
 G/SCM/N/372/USA  
 
- 127 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Louisiana  Reduced 
Severance Tax on 
Incapable Gas 
Well Gas  Louisiana 
Department of 
Revenue  Tax incentive  Available to natural gas and oil producers.  Provides that a special reduced rate of severance 
tax be applied to natural gas produced from gas 
wells that are incapable of producing an average 
of 250,000  cubic feet of gas per day. Tax 
expenditures for this program totaled an 
estimated $ 12.9 million in fiscal year ending 
June 30, 2020. $12.6 million in 2019.  Ongoing  
Louisiana  Oil Deduction 
Severance Tax on 
Transportation 
Fees Louisiana 
Department of 
Revenue  Tax deduction  Available to oil producers.  This measure allows oil producers operating in 
Louisiana to deduct from their taxable profit 
charges for trucking, barging, and pipeline fees. It 
gives all producers a deduction of at least $0.25 
per barrel for transporting oil condensate through 
their own facilities, and provide s an incremental 
deduction for some producers if their actual 
transport costs are lower. Producers using 
third-party transportation may deduct $0.25 per 
barrel or the actual amount charged. Tax 
expenditures for this program totaled an 
estimated $383,000 in  fiscal year ending  
June 30, 2020. $649,000 in  2019.  Ongoing  
Louisiana  Severance Tax 
Suspension on Oil 
from Horizontal 
Wells  Louisiana 
Department of 
Revenue  Tax incentive  Available to oil producers.  Measure provides for a suspension of all 
severance -tax liabilities for a period of 24 months, 
or until payout of well costs is achieved, for any oil 
well drilled or recompleted horizontally for which 
production started after 31 July 1994. Tax 
expenditures for this program totaled an 
estimated $4.5 million in fiscal year ending 
June 30, 2020. $6.7 million in  2019.  Ongoing  
Louisiana  Severance Tax 
Suspension on Oil 
from Inactive 
Wells  Louisiana 
Department of 
Revenue  Tax incentive  Available to eligible oil producers that exploit 
older, mature fields featuring inactive wells.  Under this measure, oil production shall be 
exempt from severance tax for a period of five 
years from the date of restart for those oil wells 
that have returned to service after being in active 
for two or more years, or which have had 30 days 
or less of production for the past two years.  Ongoing  
Louisiana  Severance Tax 
Suspension on Oil 
from Deep Wells  Louisiana 
Department of 
Revenue  Tax incentive  Available to oil producers that operate deep 
wells (with a true vertical depth of greater than 
15000  feet).  This measure provides for a suspension of all 
severance -tax liabilities for a period of 24 months, 
or until payout of well costs is achieved, for any oil 
well drilled with a true v ertical depth greater than 
15,000  feet and for which production started after 
31 July 1994. Tax expenditures for this program 
totaled an estimated $2 million in fiscal year 
ending June 30, 2020 and 2019.  Ongoing  
Louisiana  Severance Tax 
Suspension on Oil 
from Tertiary 
Recovery  Louisiana 
Department of 
Revenue  Tax incentive  Available to oil producers undertaking 
large-scale carbon -dioxide injection projects.  Measure provides a severance -tax suspension 
until the project reaches payout for any crude -oil 
production from a qualified tertiary project 
approved by the Department of Natural 
Resources. Tax expenditures for this program 
totaled an estimated $14.6 millio n in fiscal year 
ending June 30, 2020. $21.4 million in 2019.  Ongoing   
 G/SCM/N/372/USA  
 
- 128 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Louisiana  Reduced 
Severance Tax 
Rate on Incapable 
Oil Wells  Louisiana 
Department of 
Revenue  Tax reduction  Available to oil producers operating low -volume 
wells.  This measure provides that a special reduced rate 
of severance tax be applied to oil produced from 
oil wells which are incapable of producing an 
average of more than 25 barrels of oil per day, and 
that produce at least 50% salt water. Tax 
expenditures for this program totaled an 
estimated $4.1 million in fiscal year ending 
June 30, 2020.  Ongoing  
Louisiana  Reduced 
Severance Tax 
Rate on Oil from 
Stripper Wells  Louisiana 
Department of 
Revenue  Tax reduction  Available to oil producers operating low-
producing oil wells.  This measure provides that a special reduced rate 
of severance tax be applied to oil produced from 
oil wells which are incapable of producing an 
average of more than 10 barrels of oil per day. Tax 
expenditures for this program tota led an 
estimated $18.4 million in fiscal year ending 
June 30, 2020. $27.5 million in 2019.  Ongoing  
Louisiana  Severance Tax 
Exclusion on 
Flared or Vented 
Natural Gas  Louisiana 
Department of 
Revenue  Tax exemption  Available to natural gas producers.  This measure excludes from Louisiana's severance 
tax all natural gas that is flared or vented into the 
atmosphere when testing, waiting on sales line, or 
when produced in non -commercial quantities. Tax 
expenditures for this program totaled an 
estimated $817,000 in fiscal year ending 
June 30, 2020.  Ongoing  
Louisiana  Severance Tax 
Exclusion for 
Natural Gas Used 
in Field Operations  Louisiana 
Department of 
Revenue  Tax exemption  Available to natural gas producers.  This measure excludes the use of natural gas as 
fuel to maintain the operation of a field from 
Louisiana's severance tax. Tax expenditures for 
this program totaled an estimated $4.2 million in 
fiscal year ending June 30, 2020. $3.8 million in  
2019.  Ongoing  
Louisiana  Severance Tax 
Exclusion for 
Carbon Black 
Producers  Louisiana 
Department of 
Revenue  Tax exemption  Available to natural gas producers.  This measure can be claimed by producers and 
sellers of natural gas consumed in manufacturing 
carbon black (i.e., a residual produced from the 
incomplete combustion of certain heavy petroleum 
products). Tax expenditures for this program 
totaled an estimate d $79,000 in fiscal year ending 
June 30, 2020. $93,000 in 2019.  Ongoing  
Louisiana  Musical & 
Theatrical 
Production Tax 
Credit Program  Louisiana 
Department of 
Economic 
Development  Tax credit  Available to entertainment & live performance 
production companies.  This program provides up to an 18% tax credit on 
qualified in state production expenses.  Ongoing, but 
sunset to new 
applications 
7/1/25 . 
Louisiana  Qualified 
Entertainment 
Company Tax 
Credit program  Louisiana 
Department of 
Economic 
Development  Tax credit  Available to approved entertainment 
companies.  This program provides up to a 20% payroll credit.  Ongoing, but 
sunset to new 
applications 
7/1/25 . 
Maine  Biofuels 
Commercial 
Production Tax 
Credit  Maine Revised 
Statutes Title 36 
Section 5219 -X Tax credit  Recipients are producers of biofuels for use in 
motor vehicles.  The State of Maine offers a tax credit of $0.08 per 
pound for the production of renewable chemicals 
and a $0.05 per gallon credit for the production of 
biofuels for u se in motor vehicles or otherwise 
used as a substitute for liquid fuels.  Ongoing   
 G/SCM/N/372/USA  
 
- 129 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Maine  Tax Increment 
Financing (TIF) 
District  Department of 
Economic and 
Community 
Development  Property tax 
rebate  Recipients are municipalities and facilities in TIF 
districts.  The maximum term for a TIF district is 30 years, 
except in instances where the municipality issues 
bonds to finance a project, in which case the 
maximum term is 20 years.  Ongoing  
Maine  High Technology 
Investment Tax 
Credit  Maine Revised 
Statutes Title 36 
Section 5219 -M Tax credit  Recipients are businesses primarily engaged in 
high-tech activities which includes the design, 
creation, and production of computer software, 
computer equipment, supporting 
communications components and other 
accessories that are directly associated with 
computer software equipment; it also includes 
the provision of Internet or advanced 
telecommunications services.  The credit amount is equal to the adjusted basis 
of eligible equipment placed in service in Maine 
less any lease payments received during the 
taxable year. The credit cannot reduce the tax 
liability to less than the preceding tax year's 
liability after the allowance of any credits, and it 
cannot reduce the tax liability in the current year 
below zero. Un used portions of the credit may be 
carried forward five years. The credit cannot 
exceed $100,000 in any one year. This credit 
cannot be used in tandem with the 
Business  Equipment Tax  Reimbursement.  This program 
ended in 2016 but 
allowed for a five-
year carry 
forward period, 
and will expire in 
2021.  
Maine  Sales Tax 
Exemptions - 
Biotechnology, 
Manufacturing, 
Information 
Technology, 
Research and 
Development  Maine Revised 
Statutes Title 36 
Section 1760  Tax incentives  Maine state sales tax exemptio ns are available 
for manufacturing, R&D, custom computer 
programming, fuel and electricity, and 
biotechnology.  State sales tax rate is 5.5%.  Ongoing  
Maine  Maine Technology 
Institute  Maine Technology 
Institute  Grants, Loans, 
and Equity 
Investments  Maine Technology Institute (MTI) offers grants, 
loans, equity investments, and services to 
support Maine's innovation economy. 
MTI supports new ideas, products, or methods 
with the potential to grow and diversify Maine's 
economy and increase the number of quality 
jobs throughout the state through direct support 
of innovators and through support of programs 
and infrastructure that encourages innovation. 
MTI also supports Maine's innovation economy 
through event sponsorships that promot e 
innovation and entrepreneurship in Maine. It 
plays a key part in the state's economic 
development strategy and is a significant driver 
in expanding research and development to 
create new innovative  ventures.  MTI's core funding program provides tailored 
support and focused, customer -centric service to 
Maine innovators. MTI accepts proposals on a 
rolling basis and, based upon its funding criteria, 
can provide up to $100,000 in grant funding and 
up to $500,000 in patient, low - cost debt to 
eligible Maine ent repreneurs and organizations. It 
also provides free technical assistance and support 
to Maine entities interested in trying to secure 
federal SBIR/STTR funding. MTI  requires a 
matching cash investment equal to, or greater 
than, the amount of MTI funding  requested.  Ongoing  
Maine  Pine Tree 
Development 
Zones (PTDZ)  Department of 
Economic and 
Community 
Development  Tax incentives  Recipients are qualified businesses in 
manufacturing, financial services, and targeted 
technology sectors which locate in a PTDZ.  Certified businesses which locate in a PTDZ may 
be eligible for the following primary benefits for up 
to 10  years: 1) 100 % exemption from corporate 
income tax for 5 years and 50 % credit  for the next 
5 years; 2) 80 % reimbursement of its employees ' 
state personal income tax withholdings; 3) 100 % 
sales tax exemption on purchases of qualified 
building materials and personal  property.  Ongoing   
 G/SCM/N/372/USA  
 
- 130 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Maine  Shipbuilding 
Facility 
Investment Tax 
Credit Program  Maine Revised 
Statutes Title 36 
Section 5219  - RR Tax Credit  Owns and operates or proposes to operate to 
construct a Maine shipbuilding facility; proposes 
to make a qualified investment in the State; 
employs at least 5,000 qualified employees at 
the time the application is filed; and does not 
otherwise qualif y for the Pine Tree Development 
Zone Program or the Maine Employment Tax 
increment Financing program at the time the 
application is filed.  Beginning with the tax year after the certified 
applicant has made qualified investments of at 
least $100,000,000 or the tax year beginning on 
or after January 1, 2020, whichever is later, and 
for each of the following 9 tax years, a certified 
applicant is allowed a credit against the tax due 
under this part for each taxable year in an amount 
equal to 3% of the certified  applicant 's total 
qualified investment.  Ongoing  
Maine  Major Food 
Processing 
Manufacturing 
Expansion 
Program  Maine Revised 
Statutes Title 36 
Section 5219  - VV Tax Credit  The applicant 's headquarters are, and have 
been for each of the last 5 years, located in the 
State; The applicant intends to make a qualified 
investment in the State within 5 years following 
the date of the application; Construction of the 
applicant 's facility shall not have commenced 
prior to April 1, 2019, as evidenced by the date  
of issuance of an appropriate municipal building 
permit; The applicant employs, or will employ 
upon startup of the facility, at least 40 full -time 
employees in the State; The annual income 
derived from employment with the applicant of 
at least 75% of the applicant 's employees 
exceeds the most recent annual per capita 
personal income in the county in which the 
facility is located.  Beginning with the tax year during which the 
certificate of completion is issued or the tax year 
beginning in 2022, whichever is  later, and for each 
of the following 19 tax years, a certified applicant 
is allowed a credit against the tax due for the 
taxable year in an amount equal to 1.8% of the 
certified applicant's qualified investment.  Ongoing  
Maryland  Brownfields Tax 
Incentive  Maryland 
Department of 
Commerce  Tax credit  A site that qualifies for this incentive program 
may qualify for real property tax credits as well. 
The site must be located in a jurisdiction that 
participates in the BRIP, and be owned by an 
inculpable  person.  For five years after cleanup, a site may qualify for 
a real property tax credit between 50% and 70% 
of the increased value of the site. (In an Enterprise 
Zone, the tax credit may last for up to 10 years). 
This credit, combined with other real prop erty tax 
credits, may not exceed 100% of the tax on the 
increased value of the site.  Ongoing  
Maryland  Businesses that 
Create New Jobs 
Tax Credit  State Department 
of Assessments 
and Taxation  Tax credit  Businesses located in Maryland that create new 
positions and establish or expand business 
facilities in the state may be entitled to a tax 
credit. The program is only available in certain 
counties. The business must create at least 
25 new positions as part  of a new or expanded 
business facility in Maryland (5,000 square feet 
or more). Businesses located in smaller counties 
(population of 30,000 or less) must create at 
least ten new  positions.  The credits are calculated as a percentage of the 
property tax li ability on the new or expanded 
portion of the facility. Those percentages are as 
follows:  
 
1st and 2nd tax years: 52 % 3rd and 4th tax years: 
39% 5th and 6th tax years: 26 % Remaining tax 
years: 0 %. 
 
Credit against the personal or corporate income 
tax, or the insurance premiums tax: 1st and 2nd 
tax years: 28 % 3rd and 4th tax years: 21 % 
5th and 6th tax years: 14 % Remaining tax years: 
0% Ongoing   
 G/SCM/N/372/USA  
 
- 131 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Maryland  Employer Security 
Clearances Costs 
(ESCC) Tax Credit  Maryland 
Department of 
Commerce  Tax credit  For a business to be eligible, it must apply to 
and be certified by Commerce. The credit is 
available for eligible expenses for taxable years 
beginning after December 31, 2012, but before 
January  1, 2022.  A business may qualify for an income tax credit up 
to $20 0,000 per taxable year for qualified security 
clearance administrative expenses. A business 
may also claim a credit against its Maryland 
income tax for costs related to the construction or 
renovation of a SCIF located in Maryland. The SCIF 
must be accredit ed by the appropriate federal 
agency. For costs related to a single SCIF, the 
credit is equal to the lesser of 50% of the costs or 
$200,000. For costs related to multiple SCIFs, the 
credit is the amount of costs up to $500,000 per 
calendar year. A qualifie d small business may also 
claim a credit against its Maryland income tax up 
to $200,000 for costs for rental payments during 
the first year of a rental agreement for leasing 
spaces to perform security -based contracting 
work.  
 
The credits are capped at $2 m illion for each 
calendar year. If the amount of credits all 
businesses apply for exceeds the cap, each 
business receives its pro rata share. Businesses 
must submit an application to the Maryland 
Department of Commerce (Commerce) by 
September  15 for expense s incurred in the 
previous tax year.  Ongoing  
Maryland  Job Creation Tax 
Credit  Maryland 
Department of 
Commerce  Tax credit  A business must be certified as a qualified 
business entity eligible for the tax credit. To be 
certified, a business must submit applications to 
Commerce.  Commerce will calculate the credit 
amount that the business entity is entitled to 
claim. Job Creation Minimums to  Qualify:  
60 jobs anywhere in the state;  
25 jobs in a JCTC Priority Funding Area;  
10 jobs in counties with (1) annual  average 
employment less than 75,000 or (2) median 
household income less than two thirds of the 
state-wide median household income.  Provide an income tax credit of $3,000 per new 
job to a business that creates new full -time jobs. 
If the business locates in  a revitalization area 
(state enterprise zone, federal empowerment 
zone, or DHCD Sustainable Community), the 
credit increases to $5,000 per new job. The 
business may not claim more than $1 million in a 
credit year. The program is capped at $4 million in 
tax credits in a calendar year. Credits are certified 
on a first -come, first - served basis based on when 
the Maryland Department of Commerce 
(Commerce) receives the final application and the 
availability of credits. Unused credits may be 
carried forward for five years.  Ongoing   
 G/SCM/N/372/USA  
 
- 132 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Maryland  Maryland 
Industrial 
Development 
Financing 
Authority (MIDFA)  Maryland 
Department of 
Commerce  Bond, Loan 
Guarantee  Commercial and industrial businesses in a 
Priority Funding Area (with the exception of 
retail), manufacturers, not -for-profit entities, 
and day care providers.  Private activity revenue bonds  
Taxable Bond: Provides access to long -term 
capital markets for primarily fixed asset financing.  
Tax-Exempt Bond: Provides access to long term 
capital markets for fixed asset financing at 
tax-exempt rates. Eligibility is limited by 
Federal tax law to 501(c)(3) non -profit 
organizations, manufacturing facilities, and 
certain solid waste  projects.  
Additional limitations apply to the specific 
transaction  type.  
Credit insurance . 
Conventional Program: Insures up to 80%, not to 
exceed $2.5 million of a transaction made by a 
financial institution.  
Bond Program: Insures bonds up to 100%, not to 
exceed $7.5 million of taxable or tax-exempt  
bonds.  Ongoing   
 G/SCM/N/372/USA  
 
- 133 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Maryland  More Jobs for 
Marylanders  Maryland 
Department of 
Commerce  Tax credit  Tax credits are available to new and existing 
manufacturers that locate or expand in 
Maryland and create new manufacturing jobs 
and to non -manufacturers that locate or expand 
in Maryland Opportunity Zones.  The benefits are available for a 10 -year period.  
 
TIER 1 NEW MANUFACTURING BUSINESS: (a) a 
refundable credit against the State 's income tax of 
5.75% of wages for each qualified position; (b) a 
credit against the State 's portion of the pr operty 
tax; 
a refund of sales and use tax; and (d) a waiver of 
fees charged by  SDAT.  
 
TIER 1 OR TIER 2 EXISTING MANUFACTURING 
BUSINESS: A refundable credit against the State 's 
income tax of 5.75% of wages for each qualified 
position.  
 
OPPORTUNITY ZONE NEW NON -MANUFACTURING 
BUSINESS: (a) a refundable credit against the 
State 's income tax of 5.75% of wages for each 
qualified position; (b) a credit against the State 's 
portion of the property tax that is the lesser of 
100% of state property  tax OR $250 per qualified 
position; (c) a refund of sales and use tax; and a 
waiver of fees charged by  SDAT.  
 
OPPORTUNITY ZONE NON -MANUFACTURING 
EXISTING  BUSINESS:  
A refundable credit against the State 's income tax 
of 5.75% of wages for each qualified pos ition. 
Note 1: Tier 1 Areas include: Baltimore City, 
Allegany, Baltimore, Caroline, Cecil, Dorchester, 
Garrett, Kent, Prince George 's, Somerset, 
Washington, Wicomico, and Worcester Counties. 
Tier 1 Areas also include Opportunity Zones 
located in any Maryla nd county. Tier 2 Areas are 
any areas which are not Tier 1 Areas. Note 2: The 
total amount of income tax credits is capped for 
all businesses in a fiscal year. The credits are 
issued on a first come, first -served basis.  
 
The total amount of sales and use t ax credits is 
capped at $1 million in a fiscal year.  Ongoing  
Maryland  One Maryland Tax 
Credit  Maryland 
Department of 
Commerce  Tax Credit  The amount of income tax credit that a business 
will qualify for depends on the amount of capital 
investment it makes in the project and the 
number of new qualified jobs it creates in a 
24-month period.  For businesses that create 10 -24 qualified 
positions: maximum $1 million in credits based on 
eligible project costs. For businesses that create 
25-49 qualified posit ions: maximum $2.5 million 
in credits based on eligible project costs. For 
businesses that create at least 50 qualified 
positions: maximum $5 million in credits based on 
eligible project costs.  Ongoing   
 G/SCM/N/372/USA  
 
- 134 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Maryland  Research and 
Development Tax 
Credit  Maryland 
Department of 
Commerce  Tax credit  The Maryland Department of Commerce 
(Commerce) follows the federal definition of 
qualified R&D and qualified R&D expenses. To 
qualify the business must incur Qualified 
Research and Development Expenses, as 
defined  by § 41(b) of the Internal Revenue 
Code, in Maryland. The business must submit an 
application to Commerce by November 15th for 
expenses incurred in the previous calendar 
year. The tax credit is equal to 10% of eligible R&D 
expenses incurred during the taxable year in 
excess of the Maryland Base Amount. If the total 
credits applied for exceed the statutory caps, the 
business's R&D tax credit is prorated. The total 
statutory cap is $12 million with a small business 
set-aside of $3.5  million. A single appl icant may 
not receive a tax credit exceeding  $250,000.  Ongoing  
Maryland  Advantage 
Maryland (also 
known as 
MEDAAF)  Maryland 
Department of 
Commerce  Loan To qualify for assistance from MEDAAF, 
applicants are restricted to businesses located 
within a priority funding area and an eligible 
industry sector.  There are five financing capabilities offered. The 
specific program determines the level and type of 
financial assistance provided. The five programs 
are as follows: (1) Significant Strategic Economic 
Development Opportunities: A project that 
provides eligible industries with a significant 
economic development opportunity on a 
state-wide or regional level. (2) Local Economic 
Development Opportunity: A business that 
provides a valuable economic developme nt 
opportunity to the jurisdiction in which the 
business is located and is a priority for the 
governing body of that jurisdiction.  
 
(3) Direct Assistance to Local Jurisdictions or 
MEDCO: DBED may provide financial assistance to 
a local jurisdiction for loc al economic development 
needs. (4) Regional or Local Revolving Loan Fund: 
Grants to local jurisdictions to help capitalize local 
revolving loan funds. (5) Special Purposes Loan: 
This loan targets specific funding initiatives that 
are deemed critical to the  state's economic health 
and development. (e.g., Day Care). Expenditures 
under the program in fiscal year 2018 were  
$21,845,000.  Ongoing   
 G/SCM/N/372/USA  
 
- 135 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Maryland  Biofuels 
Production Credits  Renewable Fuels 
Promotion Act of 
2005 Tax credit  Recipients are ethanol and biodiesel producers. 
Ethanol and biodiesel producers may apply to 
the Renewable Fuels Incentive Board for ethanol 
and biodiesel production credits. To be eligible 
for the credits, the producer must first apply to 
the Board in order to receive certification  as a 
producer.  Ethanol production credits are as follows: 
a) $0.20  per gallon of ethanol produced from 
small grains; and b) $0.05 per gallon of ethanol 
produced from other agricultural products. The 
Board may not certify ethanol production credits 
for mor e than a total of 15 million gallons per 
calendar year, of which at least 10 million gallons 
must be produced from small grains. Biodiesel 
production credits are as follows: a) $0.20 per 
gallon of biodiesel produced from soybean oil (the 
soybean oil must b e produced in a facility or 
through expanded capacity of a facility that began 
operating after December 31, 2004); and, 
b) $0.05 per gallon for biodiesel produced from 
other feedstocks (including soybean oil produced 
in a facility that began operating on o r before 
December  31, 2004).  Ongoing  
Maryland  Biotechnology 
Investment Tax 
Credit  Department of 
Business and 
Economic 
Development  Tax credit  Maryland 's Biotechnology Investment Tax 
Credit program provides income tax credits 
equal to 50% of an eligible investment for 
investors in a Qualified Maryland Biotechnology 
Company. The credit is offered on a first come 
first serve basis.  The value of the credit is equal to 50% of an 
eligible investment made in a qualified Maryland 
biotechnology company d uring the taxable year up 
to $250,000.  Ongoing  
Maryland  Clean Energy 
Incentive Tax 
Credit  Maryland Energy 
Administration  Tax credit  Businesses that use certain renewable energy 
sources or waste materials to produce electricity 
that is sold to an unrelated person may be 
entitled to an income tax credit. The business 
must produce electricity during the tax year 
using primarily qualified energy resources (see 
Internal Revenue Code § 45) which includes any 
solid, non -hazardous, cellulosic waste material 
that is segregated from other waste materials 
and is derived from: forest -related resources, 
including mill residues (except sawdust and 
wood shavings), forest thinning, slash, or brush, 
but excluding old -growth timber; waste pallets, 
crates, and dunnage, landscape or right -of-way 
trimmings; and, agricultural sources (orchard 
tree crops, vineyard, grain, legumes, sugar, and 
other crop by -products or  residues).  The credit is 0.85 cents for each kilowatt -hour of 
electricity produced at a Maryland facility using 
qualified energy resources during the 5 -year 
period after the facility is originally placed in 
service.  Ongoing  
Maryland  Sales Tax 
Exemption to 
Film/Video 
Producers  Maryland Film 
Office  Tax exemption  Recipients are qualified feature, television, 
cable, commercial, documentary, music video, 
etc. projects.  The program provides an exemption from the 
5%  state sales tax on property and services used 
in connection with filming activity.  Ongoing  
Maryland  Wage Rebate 
Program  Maryland Film 
Office  Wage rebate  Recipients or the film and television industry.  The program provides rebates of 50 % of up to 
$25,000 in earnings per employee on any 
production spending more than $500,000 in the 
State of Maryland. Wages for employees earning 
more than $1 million will not be eligible.  Ongoing   
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- 136 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Maryland  Challenge 
Investment 
Program  Maryland 
Technology 
Development 
Corporation  Equity  Requirements include:  
 
-- The business must have no more than 
25 employees and annual sales of less than 
$1 million.  
-- A minimum 1:1 co -investor match is required.  
-- Applicants are limited to high tech companies 
whose principal place of business is located in 
Maryland.  
-- The company must remain in Maryland for at 
least three years.  Initial investments are made up to $50,000, with 
incremental investments to a maximum of 
$150,000. These incremental invest ments are 
awarded based upon the client 's performance and 
the client 's ability to achieve milestones set by the 
Investment Financing Group staff at the time of 
the initial closing. Investment decisions are based 
on the project 's potential return on investm ent, 
market potential, experience and credibility of the 
management team, and impact on the Maryland 
economy. Investment decisions are also based on 
the strength of the technology (e.g., patents, 
highly proprietary developments preferred). 
Companies receiv ing a Challenge investment must 
pay a 2 % royalty on revenues in excess of 
$500,000 for a period of ten years. The firm must 
also pay a 1% royalty on equity raised in excess 
of $500,000. The royalty payments are capped at 
three times the Challenge investmen t received. In 
fiscal year 2014, approximately $29.9  million was 
budgeted for both the Challenge  Fund and the 
Enterprise Investment  Fund.  Ongoing  
Maryland  Enterprise 
Investment Fund  Maryland 
Technology 
Development 
Corporation  Equity  Requirements include:  
 
-- Applicants must be in a technology industry. 
Areas of technology include biotechnology, 
telecommunications, information technology, 
life sciences and advanced materials.  
-- The applicant must agree to maintain its 
principal place of business in Maryland for 
five years.  
-- A sophisticated investor may be a venture 
capital firm, a corporate strategic investor, or 
other individuals seen as knowledgeable about 
the industry segment.  The amount of the investment ranges from 
$150,000 to $500,000. Enterprise investments 
are generally in the form of equity, but it may be 
another type, e.g.  debt issues, as initiated by the 
lead investor. To be considered for either 
program, a company must submit a full business 
plan and meet the criteria listed. In fiscal year 
2014, approximately $29.9  million was budgeted 
for both the Challenge  Fund and the Enterprise 
Investment Fund.  Ongoing  
Maryland  Enterprise Zone 
Tax Credits  Maryland 
Department of 
Business and 
Economic 
Development 
(DBED)  Tax credit  Businesses located in a Maryland Enterprise 
Zone may be eligible for income tax credits and 
real property tax credits in return for job 
creation and investments made in the zone. 
Twenty -eight enterprise zones and two focus 
areas are located in t he state.  This program provides real property tax credits; 
income tax credits; Enhanced Job Creation Tax 
Credits; and priority access to Maryland's 
financing programs. Enhanced Focus Area Benefits 
include real property tax credits; personal 
property tax cr edits; income tax credits. In 
addition to 30 state -designated zones, Maryland 
has three Federal Empowerment Zone areas that 
have enterprise zone status. These zones 
represent different mixes of industrial and 
commercial activity that will meet the 
circumst ances and preferences of new or 
expanding  businesses.  Ongoing.   
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- 137 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Maryland  Maryland 
Economic 
Adjustment Fund 
(MEAF)  Department of 
Business and 
Economic 
Development 
(DBED)  Loan Applicants must demonstrate credit worthiness, 
the ability to repay the obligation, and the 
inability to obtain financing on affordable terms 
through normal lending channels.  
State designated eligible locations include 
Baltimore City  and Baltimore, Howard, Anne 
Arundel, Harford, Queen Anne's, Somerset, 
Worcester, Dorchester, A llegany and 
Washington counties.  
A loan may not be used to relocate jobs from 
one commuting area to  another.  The program is administered in accordance with 
the guidelines imposed by the Federal 
Government's Economic Development Act (EDA). 
The maximum amoun t of the loan to any one 
borrower is $500,000.  
 
The approximate amount spent under this 
program in fiscal year 2018 is $0.  Ongoing  
Maryland  Commercial Boat 
Fuel Tax Refund  Comptroller of 
Maryland, Revenue 
Administration 
Division Motor, 
Fuel Tax Unit  Tax refund  The following types of commercial vessels would 
qualify for this program: boat and skidoo 
rentals; fishing and crabbing vessels; marine 
towing; skiffs and wave runner rentals; and 
charter boats.  The benefit amount is the amount of the tax 
exempt ion. Ongoing  
Maryland  Sales Tax 
Exemptions - 
Seafood 
Harvesting  Comptroller of 
Maryland, Revenue 
Administration 
Division Motor, 
Fuel Tax Unit  Tax exemption  The sales and use tax does not apply to a sale 
of: 1) a claim or oyster rake, crab bait, crab or 
eel pot, or fish net; 2) a dredge, hand scrape, 
or hand or patent tong; or 3) fuel or a repair 
part of a commercial fishing vessels or for a 
vessel otherwise used for commercial purposes.  The benefit amount is the amount of the tax 
exemption.  Ongoing  
Maryland  Wineries and 
Vineyards Tax 
Credit  Maryland 
Department of 
Commerce  Tax credit  A qualified winery under this program is defined 
as an establishment licensed by the Comptroller 
of Maryland as either a Class 3 or Class 4 
winery. A qualified vineyard is defined as 
agricultural land located in Maryland consisting 
of at least one contiguous acre used solely to 
grow grapes and other plants that will be used 
in the production of wine by a winery licensed 
by the Comptroller of Maryland.  A Maryland Winery/Vineyard may be qualified for 
an income tax credit equal to 25% of qualified 
capital expenses. Total credits granted may not 
exceed $500,000 in a year. If the total amount of 
credits applied for exceeds $500,000, the credit 
will be prorate d among the certified applicants.  Ongoing  
Maryland  Forestry 
Equipment and 
Working Capital 
Loan Maryland 
Agricultural and 
Resource - Based 
Industry 
Development 
Corporation  Loan Recipients are business operated in forest 
products.  This program offers low-interest loans to 
Maryland's forest products businesses with 
respect to working capital and equipment 
purchases. The maximum loan amount is 
$150,000.  Ongoing  
Massachusetts  Economic 
Development 
Incentive Program 
(EDIP)  Massachusetts 
Office of Business 
Development  Tax credit  Recipients are businesses in designated 
economic target areas.  Incentive tax credits can range up to 10% and in 
certain cases up to 40%. There is also a 10% 
abandoned building tax deduction available in 
certain cases.  Ongoin g 
Massachusetts  Investment Tax 
Credit  Massachusetts 
Office of Business 
Development  Tax credit  Recipients are manufacturing corporations, 
certain research and development corporations, 
and corporations engaged primarily in 
agriculture or commercial fishing shall be 
allowed a credit for tangible personal property 
that is leased pursuant to an operating lease.  Registered manufacturers also receive personal 
property tax exemptions, sales & use tax 
exemption, Research & Development Tax Credit 
and Single Sales Factor apportionment.  Ongoing   
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- 138 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Massachusetts  Gloucester 
Revolving Loan 
Fund (GRLF)  Mass Development  Loan Recipients are the seafood industry within the 
City of Gloucester. Since the loan fund is in its 
relending phase, while prioritizing the 
commercial fishing industry, other businesses 
are now eligible.  In 2019 there were no new loans provided under 
this program and in 2020 one new loan was 
provided . Ongoing  
Massachusetts  Southeast 
Revolving Loan 
Fund (SRLF)  Massachusetts 
Development 
Finance Agency 
(MassDevelopment)  Loan/Non -
traditional 
financing  Recipients are the seafood industry in the 
geographic region: Counties of Norfolk, Suffolk, 
Plymouth, Barnstable, Bristol, Dukes  and 
Nantucket, and the coastal towns in Essex 
County of Amesbury, Beverly, Essex, 
Gloucester, Ipswich, Lynn, Manchester -by-the-
Sea, Marblehead, Nahant, Newbury, 
Newburyport, Rockport, Rowley, Salem, 
Salisbury, Saugus and Swampscott in the 
Commonwealth of Massachusetts.  
 
Since the loan is in the relending stage, while 
prioritizing the commercial fishing industry, 
loans may be approved for other purposes 
beyond fishing.  In 2019 there were no new loans provided under 
this program and in 2020 one new loan was 
provided . Ongoing  
Massachusetts  Emerging 
Technology Fund  MassDevelopment  Loan Recipients are technology companies. Two 
types of projects are eligible for financing: 
1) The fund can be used to leverage private 
financing for the construction of state of the art 
manufacturing, research and development 
facilities. 2) The fund can be used to provide 
matching grants to universities and private 
institutions for advanced research and 
development of new and emerging technologies 
in the Commonwealth.  The maximum guarantee amount is $1,500,000 or 
50% participation of the aggregate debt, 
whichever is less.  The maximum loan amount for 
facilities is $2,500,000 or 33 1/3 % participation of 
the aggregate debt, whichever is less.  The 
maximum loan amount for equipm ent is $500,000 
or 33 1/3 % participation of the aggregate debt, 
whichever is  less. Ongoing  
Massachusetts  Massachusetts 
Motion Picture Tax 
Incentive  Massachusetts 
Department of 
Revenue  Tax credit/tax 
exemption  The recipients are in the film industry.  The program provides the following tax benefits: 
20% tax credit based on total payroll in state; 
25% tax credit based on production expenses in 
state, as long as half is shot in state or half of the 
expenses are spent in state. Tax credits carry 
forward 5 years or can be sold. If state production 
spending is over $250,000, sales taxes are 
exempt. Total tax credits per production capped  at 
$7 million.  Ongoing  
Massachusetts  Massachusetts 
Clean Energy 
Center - 
Commonwealth 
Hydropower  Green Jobs Act of 
2008 Grants  This program is generally limited to projects 
that can demonstrate a high likelihood of 
qualifying for the Massachusetts Renewable 
Energy Portfolio Standard.  Grants are capped at the lesser of $600,000 or 
50% of actual costs, or $1 per incremental 
kilowatt hour per year. Grants for feasibility 
studies are capped at the lesser of $40,000 or 
80% of actual costs.  Ongoing   
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- 139 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Massachusetts  Massachusetts 
Clean Energy 
Center - 
Commonwealth 
Commercial Wind  Green Jobs Act of 
2008 Grants and loans  Recipients are landowners and new wind project 
developers for land -based projects that are 
greater than 2MW and cannot be net metered. 
The wind project must have three turbines or 
more. Applicants can include private and public 
entities such as feder al, state and local  
governments.  Benefits include up to $55,000 in grants per 
project for feasibility studies. Up to $250,000 in 
unsecured loans bearing interest at the Prime Rate 
plus 2 % for development activities. A cost share 
is required.  Ongoing  
Massa chusetts  Massachusetts 
Clean Energy 
Center - 
Commonwealth 
Wind Community 
Scale Initiative  Green Jobs Act of 
2008 Grants  Eligible projects are those proposed by any 
residential, commercial, industrial, institutional 
or public entity in Massachusetts. The 
nameplate capacity of the proposed energy 
system must be greater than or equal to 100kW, 
and the project's utility meter must be grid 
connected. Projects must show that at least 
50% of the renewable energy produced will be 
used behind th e meter or assigned through the 
net metering provisions of the 
Green  Communities Act based on annual 
production and usage estimate.  Grants vary based on size and other 
characteristics of the wind project. Non -public 
entities have a 20 % cost share requireme nt 
associated with the grant.  Ongoing  
Massachusetts  Massachusetts 
Clean Energy 
Center - 
Investments in 
Job Creation  Green Jobs Act of 
2008 Financing  Recipients are clean energy companies that 
demonstrate significant job creation and 
economic development in the Commonwealth.  The investment structure and amount depends on 
the applicant's growth trajectory and geography.  Ongoing  
Massachusetts  Massachusetts 
Clean Energy 
Center  - 
Investments in 
the Advancement 
of Technology  Green Jobs Act of 
2008 Financing  Recipients are early -stage clean energy 
companies that are contributing to the 
advancement of one or more of a list of clean 
energy or energy efficient technologies, 
including  solar photovoltaic, solar thermal, wind 
power, geothermal, biofuels and hydrogen.  This program provides seed venture investments 
up to $500,000 in the form of a suitable equity 
instrument, depending on the applicant's 
circumstance.  Ongoing  
Massachusetts  Massachusetts 
Clean Energy 
Center - Catalyst 
Program  Green Jobs Act of 
2008 Grants  An eligible applicant is a principal investigator 
with technology disclosed to a host institution 
located in Massachusetts.  The maximum award is $40,000.  Ongoing  
Massachusetts  Exemption for 
Vessels, Materials, 
Tools, Fuels, and 
Material Used in 
Commercial 
Fishing  Massachusetts 
Department of 
Revenue  Tax exemption  This program provides tax exemptions for 
materials, tools, fuels, and machinery, including 
spare parts, used in commercial fishing, if they 
become components of a product to be sold or 
are consumed or directly used in commercial 
fishing.  The amount is equal to the tax exempted.  Ongoing  
Massachusetts  Rebates for 
Electric Veh icles Executive Office of 
Energy and 
Environmental 
Affairs  Rebates  Benefits under this program are only available 
to purchase or lease of zero -emission and 
plug-in hybrid light duty vehicles.  The incentive is up to $2500 per vehicle.  Ongoing  
Massachusetts  Farming and 
Fisheries Income 
Tax Credit  Massachusetts 
Department of 
Revenue  Tax credit  Only taxpayers who are primarily engaged in 
agriculture, farming, or commercial fishing are 
eligible.  The amount of the credit is 3% of the cost, or 
other basis for federal income tax purposes, of 
qualifying property acquired, constructed or 
erected during the tax year.  Ongoing   
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- 140 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Michigan  Geographic 
Renaissance 
Zones  Michigan Economic 
Development 
Corporation  Tax exemption  Geographic Renaissance Zones are regions of 
the state designated as virtually tax free for any 
business or resident presently in or moving to a 
zone. The zones were designed to provide 
selected communities with a market -based 
incentive of reduced state or local taxes  to 
encourage new jobs and investment. A 
Geographic Renaissance Zone can consist of up 
to 10 different geographically defined subzones.  Companies located in a renaissance zone do not 
pay Michigan Business Tax, state education tax, 
personal and real propert y taxes, and local income 
tax. Ongoing  
Michigan  Agricultural 
Processing 
Renaissance 
Zones  Michigan Economic 
Development 
Corporation  Tax exemption  The benefits of APRZ apply to the operations of 
designated companies within the geographic 
boundaries of the zone. Companies must be an 
"Agricultural Processing Facility", meaning one 
or more facilities or operations that transform, 
package, sort, or grade  livestock or livestock 
products, agricultural commodities, or plants or 
plant products into goods that are used for 
intermediate or final consumption including 
goods for non-food use. The Michigan State Administrative Board (SAB), 
upon recommendations fro m the Michigan 
Strategic Fund Board (MSF) and the Michigan 
Agriculture Commission, approves APRZ 
designations. Once approved, the company enters 
into an agreement with the MSF outlining private 
investment and job creation numbers approved by 
the SAB. Taxes  can be abated up to 15 years. In 
all cases, the tax relief is phased out in 25 % 
increments over the last three years of the zone 
designation.  Ongoing  
Michigan  Renewable Energy 
Facility 
Renaissance 
Zones  Michigan Economic 
Development 
Corporation  Tax exemption  Zones can be located anywhere in Michigan. 
Companies must maintain a renewable energy 
facility.  Companies located in a renaissance zone do not 
pay Michigan Business Tax, state education tax, 
personal and real property taxes, and l ocal income 
tax. Taxes can be abated up to 15 years. In all 
cases, the tax relief is phased out in 
25% increments over the last three years of the 
zone designation.  Ongoing  
Michigan  Forest Products 
Processing  
Renaissance 
Zones (FPPRZ)  Michigan Economic 
Development 
Corporation  Tax exemption  Forest Products Processing Facility means one 
or more facilities or operations that transform, 
package, sort, recycle, or grade forest or paper 
products into goods that are used for 
intermediate or final use or consumption or for 
the creation of biomass or alternative fuels 
through the utilization of forest products or 
forest residue, and surrounding property. Forest 
products processing facility does not include an 
existing f acility or operation located in this state 
that relocates to a renaissance zone for a forest 
products processing facility. Forest products 
processing facility does not include a facility or 
operation that engages primarily in retail sales  The Michigan State Administrative Board (SAB), 
upon recommendations from the MSF, approves 
FPPRZ designations. Once approved, the company 
enters into an agreement with the MSF outlining 
private investment and job creation numbers 
approved by the SAB. Taxes can  be abated up to 
15 years. In all cases, the tax relief is phased out 
in 25% increments over the last three years of the 
zone designation.  Ongoing   
 G/SCM/N/372/USA  
 
- 141 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Michigan  Next Michigan 
Renaissance 
Zones  Michigan Economic 
Development 
Corporation  Tax exemption  The Next Michigan Development Act authorized 
the MSF (under PA 275 of 2010) to designate up 
to seven Next Michigan Development 
Corporations, comprised of local government 
units that enter into an interlocal agreement to 
form a corporation. These Next Michigan 
Development Corporations (NMDC) are 
empowered to recommend certification of a 
Next Michigan Renaissance Zone as well as 
utilize state tax increment financing capture (as 
enabled under Act 281 of 1986) to assist 
projects within their Next Michigan 
Developme nt District.  Established by a NMDC offer 100 % relief from both 
real and personal property taxes and, if applicable, 
city corporate income tax, within the boundaries. 
The renaissance zones may be approved for up to 
10 years and are phased out in 25 % increme nts 
in the last three years. The renaissance zone 
works in conjunction with the designation of a 
marketing zone within the NMDC. Allows a NMDC 
to utilize tax increment financing to fund public 
infrastructure improvements. There are several 
financing option s for local development financing 
authority activities that allows for the capture of 
incremental growth of local property taxes over a 
period of time to fund these  improvements. Offers 
a 100 % property tax exemption for an unlimited 
number of years on new personal property for 
companies within certain industries. An industrial 
facilities exemption certificate can be used to 
obtain a 50 % property tax reduction for new, 
qualified real and personal property for a period of 
up to 12  years.  Ongoing  
Michigan  Tool and Die 
Recovery 
Renaissance 
Zones  Michigan Economic 
Development 
Corporation  Tax exemption  To receive consideration for the Recovery Zone, 
the business must meet the following 
requirements: obtain local government support, 
lease or own the parcel, 75% or more gross 
revenue generated from tool and die operations, 
have fewer than 75 full time employees, be 
classified within NAICS 33511 -15 and 332997.  Taxes can be abated up to 15 years. In all cases 
the tax relief will be phased out in 25% increments 
over the last three years of the zone designation.  Ongoing  
Michigan  Industrial Facility 
Tax Exemption 
(IFTE) Certificates  Michigan Economic 
Development 
Corporation  Tax incentives  Recipients are industrial or high -tech companies 
engaged in manufacturing and warehousing. 
Companies engaged in certain research and 
development activities are also eligible.  Exemptions are approved by local units of 
government and issued by the state, reducing 
property tax on buildings, machinery and 
equipment by roughly 50 % for new facilities and 
100% for renovation projects. They are available 
for up to 12 years.  Ongoing  
Michigan  Michigan 
Emerging 
Technologies Fund 
(METF)  Michigan Economic 
Development 
Corporation  Grant  Recipients must be a Michigan Company. The 
company may not have more than two small 
business Phase II federal grants within the 
previous five years. The company may receive 
no more than two ETF awards per 12 -month 
period. Eligible technology sectors are: 
(i) Advanced Automotive, Manufa cturing, 
Materials, Information, and Agricultural 
Processing; (ii) Alternative Energy; 
(iii) Homeland Security and Defense; and 
(iv) Life Sciences.  The ETF will match 25% of phase I Small Business 
Innovation Research (SBIR)/Small Business 
Technology Transf er (STTR) awards up to 
$25,000. The ETF will match 25% of Phase II small 
business awards up to $125,000.  Ongoing   
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- 142 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Michigan  Michigan Film 
Production Credit  Michigan Film 
Office  Tax credit  The recipient is the film industry.  The film production credit is a refundable, 
assignable tax credit of up to 42% of the amount 
of a production company 's expenditures 
(depending upon type) that are incurred in 
producing a film or other media entertainment 
project in  Michigan.  No new tax 
credits can be 
issued after 
10/1/20 15. 
Michigan  Michigan Smart 
Zones  Michigan Economic 
Development 
Corporation  Mixed  The SmartZone program has identified 
20 locations throughout the State of Michigan 
with the necessary resources to nurture 
technology business growth ranging from 
research and development with universities to 
entrepreneurial training.  Business accelerator services include, but are not 
limited to: business development mentoring; 
networking events; business feasibility studies; 
business planning entrepreneurial traini ng; grant 
writing; incubator and wet lab space; 
management recruitment; market analysis; 
product development; Small Business Innovation 
Research (SBIR) assistance; Small Business 
Technology Transfer (STTR) assistance; 
technology assessments; technology min ing 
venture capital preparation and introductions.  Ongoing  
Michigan  The 21st Century 
Jobs Fund  Michigan Economic 
Development 
Corporation  Grants and loans  Under this program, there is a preference for 
proposals that can contribute to the 
development of economic diversification or the 
creation of employment opportunities in 
Michigan. The four competitive -edge 
technologies are: life sciences, alternative 
energ y, advanced automotive, manufacturing 
and materials, homeland security and defense. 
Also supported are advanced computing or 
electronic device technology, design, 
engineering, testing, diagnostics, or product 
research and development related to any of the 
four competitive -edge technologies.  There have been annual appropriations of 
$75 million for FY2009 -10 through FY2015 -16. Ongoing  
Michigan  Personal Property 
Tax Relief in 
Distressed Areas  Michigan Economic 
Development 
Corporation  Tax exemption  Recipients are eligible businesses that locate in 
a border county and receive local approval. The 
business must locate in a local governmental 
unit that is served by at least four of the 
following services: water, sewer, police, fire, 
trash or recycling. E ligible projects include 
manufacturing, mining, research & 
development, wholesale trade, and office 
operations; retail businesses and casinos are 
not eligible.  The local community and the business negotiate 
the length of abatement for the new personal 
property tax.  Ongoing  
Michigan  Agricultural 
Processing 
Renaissance 
Zones (APRZ)  Michigan Economic 
Development 
Corporation & 
Michigan 
Department of 
Agriculture  Tax exemptions  The benefits of APRZ apply to the operations of 
designated companies within the geographic 
boundaries of the zone. Companies must be an 
"Agricultural Processing Facility", meaning one 
or more facilities or operations that transform, 
package, sort, or grade  livestock or livestock 
products, agricultural commodities, or plants or 
plant products into goods that are used for 
intermediate or final consumption including 
goods for non-food use. Facilities located in APRZs to not pay state 
education taxes, personal and real property taxes, 
and local incomes taxes, where applicable. Taxes 
can be abated for a period up to 15 years.  Ongoing   
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- 143 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Minnesota  Angel Tax Credit  Minnesota 
Department of 
Employment and 
Economic 
Development  Tax credit  Recipients are emerging high -technology 
businesses.  This program provides a 25% tax credit for 
investments in qualified small emerging high 
technology businesses. The amount of tax credits 
awarded in 2016 were approximately 
$14,723,711.  Ongoing  
Minnesota  Border Cities 
Enterprise  Zone 
Program  Minnesota 
Department of 
Employment and  
Economic 
Development  Tax credit  Recipients are businesses located in certain 
border -city enterprise zones.  The amounts vary.  Ongoing  
Minnesota  Emerging 
Entrepreneurs 
Fund Minnesota 
Department of 
Employment and 
Economic 
Development  Grant  Recipients are enterprises located in distressed 
areas.  EEF funds may total up to $150,000 per loan and 
must be matched on at least a one -to-one basis. 
Participating lenders are encouraged t o structure 
loan proposals to achieve at least a 5:1 leverage 
of program funds. EEF funds may be used for 
start-up costs, working capital, business 
procurement, franchise fees, equipment, 
inventory, as well as the purchase, construction, 
renovation, or ten ant improvements of an eligible 
place of business that is not for passive real estate 
investment. Financing of existing debt is not 
permitted.  Ongoing  
Minnesota  Farm Machinery 
Sales and Use Tax 
Exemptions  Minnesota 
Department of 
Revenue  Tax exemption  Recipients are farm machinery producers.  New and used farm machinery is exempt from 
sales tax. To qualify for the exemption, the 
machinery must meet the definition of farm 
machinery and must be used directly and 
principally in agricultural production.  Ongoing  
Minnesota  Mining Production 
Materials Sales 
and Use Tax 
Exemptions  Minnesota 
Department of 
Revenue  Tax exemption  Recipients include the iron mining industry.  Capital equipment means machinery and 
equipment that: the buyer or lessee uses in 
Minnesota primarily to manufacture, fabricate, 
mine, or refine a product for retail sale; and is 
essential to the integrated production process.  Ongoing  
Minnesota  SEED Capital 
Investment Credit 
Program  Minnesota 
Department of 
Emplo yment and 
Economic 
Development  Tax incentive  Recipients include businesses located in certain 
border cities.  Investors may receive a 45 % tax credit on their 
investment, up to $112,500 per year. The credit is 
non-refundable and may be carried forward up to 
four years.  Ongoing  
Minnesota  Snowbate, 
Minnesota's 
Production 
Incentive  Minnesota Film and 
TV Grant  Recipients include film production companies.  Up to 25% of qualified expenditures, above the 
line talent (non - resident) will be included as an 
eligible rebate cost (cap $100K per person), and a 
production that spends more than $1M in 
Minnesota will automatically qualify at 25% a nd 
will be audited by an independent auditor paid for 
by MN Film and TV. The total grant amount 
expected for 2017 is approximately $81,181,879.  Ongoing  
Minnesota  Shamrock Film 
Incentive  City of Maple Lake, 
Minnesota  Grant  Recipients include film production companies. 
Costs must be incurred in the City of 
Maple  Lakes.  Up to 15% of qualified production costs. The 
rebate is available for up to $50,000.  Ongoing  
Minnesota  City of Austin Film 
Incentive  City of Austin, 
Minnesota  Grant  Recipients include film production companies. 
Costs must be incurred in the City of Austin.  Up to 10% of qualified film production costs. 
Reimbursement is capped at $10,000 per project.  Ongoing   
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- 144 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Minnesota  Iron Range 
Resources & 
Rehabilitation 
Board (IRRRB) 
Drilling Incentive 
Grant (DIG) 
Program  Minnesota 
Department of 
Natural Resources  Grant  Eligible applicants must meet Minnesota 
requirements for exploratory boring procedures 
(Minnesota Statute 103I.601). These applicants 
must be authorized to do bu siness in Minnesota 
and hold a Minnesota exploration lease.  The Drilling Incentive Grant Program is funded at 
$250,000 for FY 2017. DIG will match up to 40% 
of direct drilling costs not to exceed $20,000 per 
drill hole. Funding can only be used for explora tory 
drilling. Development, delineation, and 
investigative drilling are not eligible for funding.  Ongoing  
Minnesota  Launch Minnesota 
Innovation Grants  Minnesota 
Department of 
Employment and 
Economic 
Development  Grant  Entrepreneurs and most promising scalable 
technology startups.  Eligible companies may receive business 
operations expenses of up to $35,000; 
housing/child care expenses of up to $7,500; 
Small Business Innovation Research and Small 
Technology Transfer Rewards recipients of up to 
$50,000.  Through state 
fiscal year 2021  
Minnesota  Minnesota Job 
Creation Fund  Minnesota 
Department of 
Employment and 
Economic 
Development  Grant  Businesses engaged in manufacturing, 
warehousing, distribution, and technology -
related industries, among others that meet 
investment, wage, and job -creation 
requirements  Eligible recipients may receive up to $1 million.  Ongoing  
Minnesota  Minnesota 
Investment Fund  Minnesota 
Department of 
Employment and 
Economic 
Development  Loan/Forgivable 
Loan Funds are awarded to local units of government 
that provide loans to assist expanding 
businesses, focusing on industrial, 
manufacturing, and technology -related 
industries.  Eligible recipients may receive up to $1 million.  Ongoing  
Minnesota  Data Centers 
Sales & Use Tax 
Exemptions  Minnesota 
Department of 
Employment and 
Economic 
Development  Tax Refund  Businesses that build or refurbish data centers.  Eligible businesses may receive a 20 -year sales 
tax rebate which applies to the purchase of 
computers, servers, cooling and energy 
equipment, energy use, and software.  Ongoing  
Minnesota  Greater Minnesota 
Job Expansion 
Program  Minnesota 
Department of 
Employment and 
Economic 
Development  Tax Refund  Existing businesses located in Greater 
Minnesota that are approved by the Minnesota 
Department of Employment and Economic 
Development (DEED), and which meet job 
creation, wage levels, and other eligibility 
requirements.  Eligible businesses may receive up to $2 mill ion 
annually; up to $10 over seven -year period.  Ongoing  
Minnesota  Job Training 
Incentive Program  Minnesota 
Department of 
Employment and 
Economic 
Development  Grant  Eligible applicants include businesses located 
outside of the seven -county metropolitan area 
or located in the cities of Hanover, Rockford, 
Northfield, and New Prague that are adding at 
least three new jobs. The new jobs must pay 
wages at least equal to the median weekly wage 
for the county in which the jobs are located. The 
new jobs must also provide at least 32 hours of 
work per week for a minimum of nine months 
per year. Businesses are required to match the 
grant on a 5:1 basis.  Eligible businesses may receive up to $200,000.    
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- 145 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Mississippi  Small Business 
and Existing 
Forestry Industry 
(SBEFI) Loan 
Program  Mississippi 
Development 
Authority  Loan Guarantee  Eligible companies include: (1) small 
businesses, defined as commercial enterprises 
with less than 100 full -time employees and 
$7 million in gross revenues or $750,000 in 
profit after taxes, and (2) existing forestry 
industry enterprises that have their principal 
places of business in Mississippi; have operated 
in the state for at least two consecutive years; 
perform the initial processing of pine logs and 
hardwood logs for the production of lumber 
products or are engaged in producing poles or 
timbers; and have employed an average of at 
least 15 employees in the most recent 
36-month period preceding application.  Small businesses may use SBEFI loan proceeds to 
acquire, ren ovate or expand buildings, for working 
capital or to acquire machinery or equipment. 
Existing forestry industry enterprises may use 
SEBFI loan funds for working capital, to acquire 
machinery and equipment, to make upgrades and 
improvements to machinery and  equipment or to 
acquire raw  materials.  
 
SBEFI loan proceeds cannot be used to pay off any 
existing debt for loan consolidation purposes, to 
finance the acquisition, construction, 
improvement or operation of real property 
primarily for sale or investment, to provide funds 
or free funds for speculation in any kind of 
property or as a loan to  owners.  
 
The maximum loan amount is 50 % of the total 
project cost  or $500,000, whichever is less. The 
minimum loan amount is $50,000.  Ongoing  
Mississippi  Job Protection 
Grant  Mississippi 
Development 
Authority  Grant  Recipients are Mississippi businesses, 
manufacturers, warehouses, distribution 
centers, R&D facilities, telecom and data 
processing businesses, national or regional 
headquarters that have operated in the state for 
at least 3 years and have lost jobs or are at risk 
of losing jobs due to outsourcing.  Grant amounts depend on the amount of 
investment the business is making in its 
operations; grants cannot be for more than  50% 
of the project; businesses must provide a 50% 
match.  Ongoing  
Mississippi  Existing Industry 
Productivity (EIB) 
Loan Mississippi 
Development 
Authority  Loan Recipients are manufacturing businesses that 
have operated in Mississippi for at least 2  years; 
local governing authorities may also apply for a 
loan to assist a manufacturing enterprise in their  
areas.  Loan amounts range from $250,000 to $2 million.  Ongoing  
Mississippi  Appalachian 
Regional 
Commission (ARC) 
Grant  Mississippi 
Development 
Authority/Appalach
ian Regional 
Commission 
Mississippi Office  Grant  Recipients are businesses and other entities 
located in ARC 's Mississippi region.  The amounts vary.  Ongoing  
Mississippi  Delta Regional 
Authority (DRA) 
Grant  Mississippi 
Development 
Authority (in 
conjunction with 
local planning and 
development 
districts, economic 
development 
organizations, and 
other state 
agencies)  Grant  Recipients are businesses and other entities 
located in DRA 's Mississippi region.  The amoun ts vary.  Ongoing   
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- 146 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Mississippi  Aerospace 
Initiative Incentive 
Program  Mississippi 
Development 
Authority/Mississip
pi Department of 
Revenue  Tax exemption  Recipients are companies that manufacture, 
assemble, or provide research, development, or 
training services in the aerospace industry, 
invest at least $30 million, and create at least 
100 new jobs.  This program provides a 10 -year exemption from 
income and franchise tax and a sales and use tax 
exemption from the beginning of the project until 
3 months after the start of commercial production.  Ongoing  
Mississippi  Airport Cargo 
Charges Tax 
Credit  Mississippi 
Department of 
Revenue  Tax credit  Recipients are businesses that have their U.S. 
headquarters in Mississippi, employ at least 
5 new full-time employees at the headquarters 
and invest at least $2 million in real or personal 
property.  This program provides an income tax credit equal 
to the import or export cargo charges paid for 
receiving into a state airport, aircraft marshalling 
or handling fees and aircraft landing fees. The 
amount of the credit depends on the number of 
people employed by the business in the state.  Ongoing  
Mississippi  Clean Energy 
Initiative Incentive 
Program  Mississippi 
Development 
Authority/Mississ ip
pi Department of 
Revenue  Tax exemption  Recipients are companies that manufacture 
systems or components used in the generation 
of renewable or alternative energy, invest at 
least $50 million, and create at least 250 jobs in 
the state.  This program provides a 10 -year exemption from 
income and franchise tax and a sales and use tax 
exemption from the beginning of the project until 
3 months after the start of commercial production.  Ongoing  
Mississippi  Growth and 
Prosperity 
Program (GAP) 
Incentives  Mississippi 
Development 
Authority/Mississip
pi Department of 
Revenue  Tax exemption  To qualify for GAP incentives, a company must 
locate in a GAP - designated county and must 
create and maintain at least 10 new jobs; 
manufacturers, processors and companies that 
assemble, store, warehouse, service, distribute 
or sell any product or good, including 
agricultural products, R&D enterprises, and 
other industries as determined on a 
case-by-case basis by MDA may also qualify.  This program provides state in come tax, franchise 
tax and property tax exemptions for up to 
10 years, as well as a sales and use tax exemption 
on all equipment and machinery purchased during 
initial construction or the expansion of an 
approved facility.  Ongoing  
Mississippi  Jobs Tax Cr edit Mississippi 
Department of 
Revenue  Tax credit  Most business types, including manufacturers, 
processors, distributors and wholesalers, may 
qualify; certain other business types may 
qualify upon receiving a designation from MDA; 
businesses must create between 10 and 
20 jobs, depending on the county in which they 
are located, to be eligible for this credit.  Equal to a percentage of payroll for each newly 
created job, the Jobs Tax Credit ranges from 
2.5%  to 10% of payroll, depending on where in 
the state the business is located. The credit is 
available for 5  years and is taken in years 2 -6 after 
jobs are created. The credit can be used to offset 
up to 50% of a business 's state income tax  
liability.  Ongoing  
Mississippi  Motion Picture 
Production 
Incentive Program  Mississippi 
Development 
Authority/Mississip
pi Department of 
Revenue  Rebate  Recipients include motion picture production 
companies certified by the Mississippi 
Development Authority that expend at least 
$50,000 in base investmen t or payroll in 
Mississippi.  This program provides a cash rebate equal to 25% 
of the production company 's base investment 
expended in the state, 25% of non -resident 
payroll and 30% of state resident payroll.  Ongoing  
Mississippi  Sales Tax 
Exemption  Mississippi 
Department of 
Revenue  Tax Exemption  All retail sale of seeds, livestock feed, poultry 
feed, fish feed and fertilizers are exempted from 
sales tax.  The amount is equal to the value of the tax 
exemption.  Ongoing  
Mississippi  Manufacturing 
Investment Tax 
Credit  Mississippi 
Department of 
Revenue  Tax Credit  Existing manufacturers that have operated in 
Mississippi for two or more years must invest 
$1 million or more in building and/or equipment 
used in manufacturing operations qua lify for tax 
credits under this program.  The credit is calculated as 5 % of the eligible 
project investment and is allowed for the year that 
the investment occurs. The tax credit allowed on 
any project cannot exceed $1,000,000.  Ongoing  
Mississippi  Sales Tax 
Exemption 
(Miss.Code Ann. 
27-65-101) Mississippi 
Department of 
Revenue  Sales Tax 
Exemption  Commercial fishermen and barge transportation 
companies . The amount of the benefit is equal to the amount 
of the tax that does not have to be paid. Ongoing   
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- 147 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Mississippi  ACE Fund  Mississippi 
Development 
Authority (Section 
57- 1-16) Grant  This program is typically used as a "deal-closing 
fund" and is often used when there is significant 
competition with other states for projects. The 
types of companies that have been provided 
grants vary.  Since 2012, approximately $46 million in grants 
have been provided.  Ongoing  
Missouri  Missouri Qualified 
Fuel Ethanol 
Producer Fund  Missouri 
Department of 
Agriculture and 
Missouri 
Department of 
Revenue  Grant  Producers must be at least 51% owned by 
agricultural producers actively engaged in 
agricultural production for commercial purposes 
in state.  Ethanol incentives include a payment of 20 cents 
per gallon for the first 12.5 million and 5 cents per 
gallon for the next 12.5 million gallons.  RSMo 142.028 
expired 12 -31-19. 
Last ethanol 
incentive grant 
was paid in 
July 2012.  
Missouri  Business Use 
Incentives for 
Large Scale 
Development 
(BUILD)  Department of 
Economic 
Development/Misso
uri Development 
Finance Board  Tax Credit  The program provides Missouri state income tax 
credits to eligible businesses in the amount of 
debt service payments for bond debt related to 
a portion of project costs. Eligible businesses 
are: (1) manufacturing, processing, assembly, 
research and development, agricu ltural 
processing or services in interstate commerce 
which will invest a minimum of $15 million in 
capital improvements for a project and create at 
least 100 new jobs within three years; (2)  office 
projects (regional, national or international 
headquarters , telecommunications operations, 
computer operations, insurance companies or 
credit card billing and processing centers) are 
also eligible if the capital improvements  exceed 
$10 million and at least 500 new jobs are 
created within three years. Retail, heal th or 
professional services, intra -state relocations or 
replacement facilities are not eligible.  The amount of funding for each economic 
development project will be determined jointly by 
the Missouri Department of Economic 
Development and the Missouri Deve lopment 
Finance Board, based on the need for funding to 
initiate the eligible project. Tax credits issued 
under this program cannot exceed $25 million 
annually.  Ongoing  
Missouri  Wine and Grape 
Production Tax 
Credit Program  Department of 
Economic 
Development  Tax credit  Recipients are vineyards and wine producers.  This program provides state income tax credit to 
an individual, partnership or corporation in an 
amount equal to 25 % of the purchase price of all 
new equipment and materials used directly in the 
growing of grapes or the production of wine in 
Missouri. The program cap is $8 million.  Ongoing. No 
authorizations 
have been 
granted since 
2018. 
Missouri  Missouri Quality 
Jobs Missouri 
Department of 
Economic 
Development  Tax credit  An eligible business must create a minimum 
number of new jobs at the project facility based 
on the type of project: Small/Expanding 
businesses - Rural areas: 20 or more new jobs 
within two years; 40 or more new jobs within 
two years in non -rural areas. Techno logy 
businesses - (classified by NAICS) 10 or more 
new jobs within two years; High Impact 
Business - 100 or more new jobs within 
two years of the first hire and the first hire 
within one year of project approval.  The program expenditure cap for company 
recipients is $80 million.  Ongoing   
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- 148 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Missouri  Business Use 
Incentives for 
Large Scale 
Development 
(BUILD)  Missouri 
Department of 
Economic 
Development and 
Missouri 
Development 
Finance Board  Tax Credit  An eligible industry in manufacturing, 
processing, assembly, research and 
development, agricultural processing or 
services in interstate commerce must invest a 
minimum of $15 million; or $10 million for an 
office industry (regional, national or 
internation al headquarters, telecommunications 
operations, computer operations, insurance 
companies or credit card billing and processing 
centers) in an economic development project. 
Businesses must create a minimum of one 
hundred new jobs for eligible employees at t he 
economic development project or a minimum of 
500 jobs if the economic development project is 
an office industry or a minimum of 200 new jobs 
if the economic development project is an office 
industry located within a distressed  community.  The costs of projects are financed in whole or in 
part from proceeds of bonds issued by the Board 
and loaned to the eligible company. The company 
will make loan payments in amounts sufficient to 
pay the principal and interest on the bonds. The 
company 's loan payments a nd other annual fees 
constitute job development assessment fees. A 
company which pays job development assessment 
fees is allowed to claim state income tax credits 
equal to the amount of such assessment fees. The 
company may claim such tax credits against s tate 
income taxes otherwise due, and may obtain a 
refund to the extent the amount of a tax credit 
exceeds the company 's Missouri state income tax 
liability for a given year. The amount of funding 
will be determined jointly by the Missouri 
Department of Eco nomic Development and the 
Missouri  Development Finance Board, based on 
the need for funding to initiate the eligible  project.  Ongoing  
Montana  Alternative Energy 
Production Credit  Montana 
Department of 
Revenue, 15 -32-
401, MCA  Tax Credit  The credit is available to any corporation that 
purchases depreciable property for a 
commercial or net metering alternative energy 
system.  The credit provides a 35% non -refundable tax 
credit for the costs, less any federal or state 
grants, of depreciable property for a commercial 
or net metering alternative energy system. 
Unused credits can be carried forward 7 years.  Ongoing  
Montana  Biodiesel Blending 
and Storage 
Credit  Montana 
Department of 
Revenue, 15 -32-
703, MCA  Tax Credit  The credit is available to any corporation that 
invests in a biodiesel blending or storage facility 
and begins biodiesel production.  This credit provides a 15% non -refundable tax 
credit for the cost of investments in biodiesel 
blending or storage facilities in a year when the 
taxpayers is blending or in the two years before 
the blending began. The total credits that may be 
claimed are $52,500 for a distributor and $7,500 
for a retailer.  Ongoing  
Montana  Ethanol Tax 
Incentive  Montana 
Department of 
Transportation, 15 -
70- 501, MCA  Tax reduction  The tax reduction is available for a licensed 
ethanol distributor.  The tax incentive is a reduction of $0.20 per gallon 
of ethanol distilled. The tax incentive is available 
for the first six years from the date the facility 
begins production. The  total reductions cannot 
exceed $6  million in any consecutive 12 month 
period.  Ongoing  
Montana  Manufacturer of 
Ammunition 
Components Tax 
Exemption  Montana 
Department of 
Revenue, 15 -24-
1410, MCA  Tax exemption  The credit is available to an entity in the state 
that is engaged in the primary business of the 
manufacture of ammunition components.  All property used in the manufacture of 
ammunition components is exempt from the 
property tax levied for state educational purposes.  Ongoing  
Montana  Mineral and Coal 
Exploration 
Incentive  Credit  Montana 
Department of 
Revenue, 15 -32-
501, MCA  Tax Credit  The credit is available to any corporation that 
engages in solid mineral or coal exploration in 
the state.  This credit is available for expenses incurred up to 
the time that construction commences on a new 
mine or the reopening of a previously closed mine. 
The credit is equal to the full spending amount on 
solid mineral or coal exploration expenditures in 
the state. The maximum credit is $20 million per 
mine.  Ongoing   
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- 149 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Montana  Oilseed Crushing 
and Biodiesel 
Production Facility 
Credit  Montana 
Department of 
Revenue, 15 -32-
701, MCA  Tax Credit  The credit is available to any corporation that 
invests in depreciable property placed in service 
in Montana for the crushing of oil seeds for 
producing biodiesel or lubricants or for their 
production.  This credit provides a 15% non -refundable tax 
credit for investment in depreciable property 
placed in service in the state. The total credits 
claimed cannot exceed $500,000 for a single 
facility. The credit can be carried forward for up to 
7 years.  Ongoing  
Montana  Recycling Credit  Montana 
Department of 
Revenue, 15 -32-
601, MCA  Tax Credit  The credit is available to any corporation that 
invests in depreciable property used in 
collecting or processing reclaimable material or 
in manufacturing a product from reclaimed 
material.  The credit provides a non -refundable tax credit for 
investments in depreciable property used in 
collecting or processing reclaimable material or in 
manufacturing a product from reclaimed material. 
The credit is 25% of the first $250,000 in 
investments, 15% off the next $250,000 and 5% 
of the next $500,000 invested.  Ongoing  
Montana  Ethanol Facility 
Tax Exemption  Montana Code 
Annotated 15 -6-
138 Tax exe mption  Recipients are manufacturers of ethanol.  All manufacturing machinery, fixtures, equipment, 
and tools used for the production of ethanol from 
grain during the course of the construction on an 
ethanol manufacturing facility and for 10 years 
after initial production of ethanol from the facility 
are exempt from taxation.  Ongoing  
Nebraska  Community 
Development 
Assistance Act  Nebraska 
Department of 
Economic 
Development 
(DED)  Tax credit  The Community Development Assistance Act 
enables DED to distribute a 40% state tax credit 
to businesses, corporations, insurance firms, 
financial institutions, and individuals that make 
eligible cash contributions or provide services 
and materials to approved community 
betterment projects. A municipality, count y, 
tribal authority, or non -profit community 
betterment organization can apply for CDAA tax 
credits through DED. Once the project is 
approved, the organization can notify donors 
that they 're eligible for tax credits.  State projects cannot exceed $50,000 in  state tax 
credits per project, per year. There is a maximum 
of $75,000 available to an approved project. 
Subject to legislative changes, a total of  $350,000 
in state tax credits can be allocated each fiscal 
year by the department.  Ongoing  
Nebraska  Nebraska 
Advantage Act  Nebraska 
Department of 
Economic 
Development  Tax credit, tax 
refund or rebate, 
grant, tax 
exemption  Qualifications depend on Tier (dependent on 
size of capital investment and number of jobs 
created), but all businesses except retail w ill 
qualify at some level.  There are various tiers of support. There can be 
up to a 100% exemption of income, sales, 
withholding, and personal property taxes for up to 
10 years.  Ongoing  
Nebraska  Nebraska 
Advantage 
Research and 
Development 
Credit  Nebraska 
Department of 
Economic 
Development  Tax credit  The program offers a tax credit for research and 
development activities undertaken by any 
business entity.  The credit is equal to 3% of research and 
development expenditures that are greater than 
the average of the previous two years of research 
and development spending.  Ongoing  
Nebraska  Nebraska 
Advantage Rural 
Development Act  Nebraska 
Department of 
Economic 
Development  Tax refund or 
rebate  Any business in a qualifying area, or any 
business involved with the construction, 
improvement, or acquisition of depreciable 
agricultural assets for livestock modernization.  There is a total of $1,000,000 available for Level 
1 or Level 2 applicants for each calendar year.  Ongoing   
 G/SCM/N/372/USA  
 
- 150 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Nebraska  Nebraska 
Innovation Fund  Nebraska 
Department of 
Economic 
Development  Equity 
investment  Any Nebraska -based corporation, limited 
liability company, partnership, registered 
limited partnership, sole proprietorship, 
business trust, or other entity with fewer t han 
500 employees engaged in non -retail primary 
industries adding value to products or processes 
in Nebraska is eligible.  Prototype grants can be up to $150,000 per 
project for development.  Ongoing  
Nebraska  Nebraska 
Research and 
Development 
Grant Program  Nebraska 
Department of 
Economic 
Development 
(DED)  Grant  This program offers Nebraska businesses a 
matching competitive grant for research and 
development activities done in conjunction with 
a Nebraska college or university.  Phase I R&D awards are capped at $100,000. 
Phase II R&D awards are capped at $400,000. 
Businesses are eligible to apply for Phase II 
awards if they have successfully completed a 
Phase I award as determined by DED. DED will not 
grant more than two awards in any four -year 
period per project. R&D grant funding must be 
matched at 100% (1:1) of the requested grant 
amount with eligible matching funds. R&D Grant 
funding for value -added agriculture projects must 
be matched at 25% (4:1) of the requested grant 
amount with eligible matc hing funds. Please 
discuss project details with DED staff to determine 
if the project meets the value -added agriculture 
category  requirements.  Ongoing  
Nebraska  Site and Building 
Development Fund  Nebraska 
Department of 
Economic 
Development  Grant  Projects must be taken on by a committed local 
development team, including a local economic 
development corporation. Local governments 
and Nebraska non-profits  are eligible.  Typical awards are between $250,000 and 
$500,000 and may be in the form of a grant  or 
zero-interest loan. Specific amounts and terms 
vary at the Department's discretion . Ongoing  
Nebraska  Tax Increment 
Financing  Nebraska 
Department of 
Economic 
Development  Tax exemption  TIF funds generally allow for acquisition of 
property, site preparation, and construction of 
public improvements associated with projects.  TIF is primarily designed to finance certain eligible 
costs associated with a private development 
project. Essentially, the property tax increases 
resulting from a development a re targeted to 
repay the eligible costs acquired by a project. 
Specifics are subject to policy at the 
municipality -level.  Ongoing  
Nebraska  Capital Gains and 
Extraordinary 
Dividend Exclusion  Nebraska 
Department of 
Revenue  Tax exemption  The Nebraska Special Capital 
Gain/Extraordinary Dividend Election allows 
resident taxpayers to make one election during 
his or her lifetime to exclude from federal 
adjusted gross income the extraordinary 
dividends paid on and the capital gain from the 
sale or exchange of capital stock of a 
corporation acquired by the individual (a) on 
account of employment by such corporation or 
(b) while employed by such  corporation.  The benefit amounts vary based on the amount of 
taxes that would have been owed on the capital 
gains ea rned.  Ongoing   
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- 151 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Nebraska  New Markets Job 
Growth 
Investment Tax 
Credit  Nebraska 
Department of 
Revenue  Tax credit  The New Markets Job Growth Investment Act 
allows individuals, corporations, estates and 
trusts, financial institutions, and insurance 
companies to claim non-refundable  
non-transferable  tax credits for investments in 
a qualified community development entity. 
Recipients may use the credits against income 
tax, the premium tax on insurance companies, 
or the franchise tax on financial institutions.  The total amount of qualified equity invest ments 
available for the latest round of applications is 
$12,437,866.  Ongoing  
Nebraska  Renewable Energy 
Tax Credit  Nebraska 
Department of 
Revenue  Tax credit  Any producer of electricity generated by a new 
renewable electric generation facility can earn a 
renewable energy tax credit.  For electricity generated on or after July  14, 2006, 
and before October 1, 2007, the credit shall be 
.075 cent for each kilowatt -hour of electricity 
generated by a new renewable electric generation 
facility. For electricity gen erated on or after 
October  1, 2007, and before January 1, 2010, the 
credit shall be .1 cent for each kilowatt - hour of 
electricity generated by a new renewable electric 
generation facility. For electricity generated on or 
after January 1, 2010, and before 
January  1, 2013, the credit shall be .075 cent per 
kilowatt - hour for electricity generated by a new 
renewable electric generation facility. For 
electricity generated on or after January  1, 2013, 
the credit shall be .05 cent per kilowatt -hour for 
electrici ty generated by a new renewable electric 
generation facility. The credit may be earned for 
production of electricity for ten  years after the 
date that the facility is placed in operation on or 
after July  14, 2006.  Ongoing  
Nebraska  Ethanol Tax Credit  Department of 
Revenue  Tax credit  The tax credit is available to ethanol producers.  The amount of the credit is $0.18 per gallon.  Ongoing  
Nebraska  Industrial 
Development 
Bonds 
(IDB)/Locally 
Issued  Nebraska 
Investment 
Finance Authority  Financing  Except as specified with respect to blighted 
areas, eligibility for IDB financing is limited to 
manufacturing or industrial facilities. Selection 
criteria used by local governing bodies to screen 
eligible applicants may vary among localities.  The maximum i ssue period is 30 years, however, 
projects typically average 15 to 20 years in 
duration. The company using the facility is 
responsible for all taxes levied by state and local 
governments.  Ongoing  
Nebraska  Lodging Tax 
Exemption  Department of 
Economic 
Devel opment  Tax exemption  The recipient is the film industry.  This program provides for a lodging tax exemption 
on hotel rooms for production companies after 
30 days.  Ongoing  
Nebraska  The Nebraska 
Advantage Rural 
Development Act  Department of 
Revenue  Tax credit  This program is for businesses expanding in 
counties with populations of 25,000 or less or 
for livestock modernization projects in all areas 
of the state. Qualifying businesses engage in: 
(1) storage, warehousing, or distribution of 
tangible persona l property, (2) livestock 
production, (3) research and development, 
(4) data processing or financial institutions, 
(5) manufacturing, or (6) a headquarters 
operation.  The program provides refundable tax credits to 
companies that generate at least 5 new job s and 
$250,000 of new investment in counties with 
populations of 25,000 or less; or two jobs and 
$125,000 in investment in counties with a 
population of 15,000 or less. The wage 
requirement will be indexed annually according to 
the average rural Nebraska w eekly wage. The 
total amount of benefits requested in 2015 was 
approximately $935,500.  Ongoing   
 G/SCM/N/372/USA  
 
- 152 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Nevada  State Income Tax 
Exemption  Commission on 
Economic 
Development 
(Nevada Film 
Office)  Tax exemption  The recipient is the film industry.  Under this program there is no corporate or 
individual income tax.  Ongoing  
Nevada  Reduced Lodging 
Tax Commission on 
Economic 
Development  
(Nevada Film 
Office)  Tax exemption  The recipient is the film industry.  Under this program, there is a low hotel room tax. 
The tax exemption does not take place until the 
31st day of the stay.  Ongoing  
Nevada  Modified Business 
Tax Abatement  Nevada 
Commission on 
Economic 
Development  Tax Exemption  Two of the follow three criteria must be met: 
(1) Wage Requirement - The company 's 
average hourly wage must equal or exceed 
100% of the county average hourly wage or 
state-wide average hourly wage, whichever is 
less. (2)  Number of Jobs Required - For 
counties/cities with a population of more than 
100,000 or 60,000, respectively , a minimum of 
75 full -time permanent jobs by the fourth 
quarter of  operation.  For counties/cities with a 
population of less than 100,000 or 60,000, 
respectively, a minimum of 15 full -time 
permanent jobs by the fourth quarter of 
operation. (3) Capital Inve stment Requirement 
- For counties/cities with a population of more 
than 100,000 or 60,000 respectively, a capital 
investment of $1  million. For counties/cities 
with a population of less than 100,000 or 
60,000, respectively, a capital investment 
ofv$250,000  is required.  This program provides abatement of 50 % of the 
modified business tax otherwise due during the 
first four years of its operations.  Ongoing   
 G/SCM/N/372/USA  
 
- 153 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Nevada  Property Tax 
Abatement  Nevada 
Commission  on 
Economic 
Development  Tax exemption  To qualify under this program, there are several 
requirements: (1) Wage Requirement - The 
company 's average hourly wage at the Nevada 
facility must equal or exceeds 100% of the 
county average hourly wage or state-wide 
average hourly wage. (2) Number of Jobs 
Required - For counties/cities with a population 
of more than 100,000/60,000 a minimum of 
75 full-time permanent jobs in Nevada is 
required by the fourth quarter of operation and 
continues to employ at least the minimum. For 
counties/cities with a population of les s than 
100,000/60,000 a minimum of 15 full - time 
permanent jobs in Nevada in required by the 
fourth quarter of operation and continues to 
employ at least the minimum. (3) Capital 
Investment Requirement - For counties/cities 
with a population of more than 1 00,000/60,000, 
the business will make a capital investment of 
$50 million if the business is an industrial or 
manufacturing business or at least $5 million if 
the business is not an industrial or 
manufacturing  business.  Partial abatement from personal prop erty taxes is 
available to companies who locate or expand their 
business in Nevada. The abatement can be up to 
50% of the taxes due for up to 10 years.  Ongoing  
Nevada  Sales and Use Tax 
Abatement  Nevada 
Commission on 
Economic 
Development  Tax benefits  The eligibility criteria are as follows: (1) Wage 
Requirement - The company 's average hourly 
wage at the Nevada facility must equal or 
exceed 100% of the county average hourly 
wage or state-wide average hourly wage, 
whichever is less.  (2) Number o f Jobs Required 
- For counties/cities with a population of more 
than 100,000 or 60,000, respectively, a 
minimum of 75 full -time permanent jobs in 
Nevada by the fourth quarter of operation. For 
counties/cities with a population of less than 
100,000/60,000 r espectively, a minimum of 
15 full-time permanent jobs in Nevada by the 
fourth quarter of operation. (3) Capital 
Investment Requirement - For counties or cities 
with a population of more than 100,000 or 
60,000 respectively, a capital investment of 
$1 millio n is required. For counties or cities with 
a population of less than 100,000 or 60,000 
respectively a capital investment of $250,000 is 
required.  Partial sales and use tax abatements are available 
for purchases of capital equipment. The 
abatement reduces t he applicable tax rate to 2%.  Ongoing   
 G/SCM/N/372/USA  
 
- 154 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Nevada  Aviation Parts 
Abatement  Governor's Office 
of Economic 
Development 
(GOED)  Tax benefits  The incentives under this program are available 
to companies engaged in aircraft or aircraft 
components manufacture, operation, service, 
maintenance, testing, repair, overhaul or 
assembly.  Companies' responsibilities include: 
(1) committing to maintain the business in 
Nevada for 5  years;  (2) registering pursuant to 
Nevada law and obtaining the necessary stat e, 
county, city or town licenses and permits; 
(3)providing an approved medical insurance 
plan for all employees, covering at least 50% of 
the employee premium cost.  Within one year of 
eligibility certification, new businesses must 
have 5 or more full -time employees (FTE), while 
existing businesses must increase their in -state 
FTEs by 3 or 3%, whichever is greater. 
Companies must also meet one of the following: 
(1) at least $250,000 of new capital investment 
in Nevada within one year of certification; (2) at  
least $5,000,000 of tangible personal property 
owned and maintained in Nevada; (3) average 
hourly wage for employees at or above the 
state-wide average; (4) ownership, 
development or refinement of a patent or other 
intellectual property, or receipt of an FAA 
certification pursuant to 14  CFR Part 21. Property tax abatement of up to 50% for 20 years 
and sales & use tax reductions to 2%, also for 
20 years, are both available for aviation -related 
purchases.  Ongoing  
New 
Hampshire  R & D Tax Credit  Revenue 
Administration  Tax credit  Recipients include any business that has new 
research and development wages in 
New Hampshire which qualify and are reported 
as a credit by the business organization under 
section 41 of the Internal Revenue Code.  The amount  of the credit is the lesser of 10% of 
the business organization 's qualified 
manufacturing research and development 
expenditures or $50,000. In the event that the 
aggregate amount of credit applied for, in any 
given fiscal year, exceeds $1,000,000, all cre dits 
for that year shall be reduced proportionately.  Ongoing  
New 
Hampshire  Coos County Job 
Creation Tax 
Credit  New Hampshire 
Department of 
Resources and 
Economic 
Development 
(DRED)  Tax credit  Recipients include any business locating in 
Coos County in northern New Hampshire.  This program is a tax credit to businesses hiring 
new employees in Coos County and paying wages 
equal to or above 200 % of minimum wage 
($7.25  per hour). The credit is $1,000 for any 
new, full -time, year -round jobs applied to the 
Business Enterprise Tax. Any unused portion of 
the credit can be applied to the Business Profits 
Tax. All new jobs created after the bill's effective 
dates are eligible for the credit and there is no cap 
on the amount of jobs created. Unused benefits 
can b e carried forward for five years.  Ongoing   
 G/SCM/N/372/USA  
 
- 155 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New Jersey  Edison Innovation 
Clean Energy 
Manufacturing 
Fund (CEMF)  New Jersey 
Economic 
Development 
Authority/Board of 
Public Utilities  Mixed financing  Recipients are a qualified manufacturer of 
renewable energy or energy efficiency systems, 
products or technologies.  The program provides funding under two separate 
components:  
 
Project Assessment and Design Grant : 
Up to $300,000, not to exceed 10% of total CEMF 
project funds requested, as a grant to assist w ith 
manufacturing site identification, procurement, 
design, and permits. 20% is available up front as 
seed funding at closing.  
 
Project Construction and Operation Loan : 
Up to $3 million as a 10 -year, 2% interest loan 
with repayments to start at the beginni ng of 
4th year, to support site improvements, equipment 
purchases, and facility construction/completion. 
One- third of loan, not to exceed $1 million, may 
be converted to a performance grant if business 
and tech milestones specific to each company are 
met during first three years. No more than 1/2 of 
the funds may be advanced prior to commercial 
production.  Ongoing  
New Jersey  Edison Innovation 
Angel Growth 
Fund; Edison 
Innovation VC 
Growth Fund; 
Edison Innovation 
Growth Stars Fund  New Jersey 
Economic 
Development 
Authority  Loan Recipients are emerging technology companies 
that have attracted capital through angel and 
venture capital investors.  This program provides support under different 
funds.  
 
Angel Growth  Fund: Angel supported technology 
companies with minimum trailing 12  month 
commercial revenues of $500,000 may be eligible 
for up to $250,000 in subordinated convertible 
debt financing.  
 
VC Growth Fund : Venture capital (VC) supported 
technology companies with minimum trailing 
12 month commercial revenues of $500,000 may 
be eligible for up to $500,000 in subordinated 
convertible debt financing.  
 
Growth Stars Fund : Angel and/or VC supported 
technology companies with minimum trailing 
12 month commercial revenues of $2,000,000 
may be eligib le for up to $500,000 in subordinated 
convertible debt financing.  Ongoing  
New Jersey  Energy Sales Tax 
Exemption on 
Electricity and 
Natural Gas 
Consumption 
Program in Urban 
Enterprise Zones 
(UEZ)  New Jersey 
Economic 
Development 
Authority  Tax exemption  Recipients include a UEZ -certified manufacturer 
employing at least 250 full -time workers, at 
least 50% of whom are involved in the 
manufacturing process.  This program provides an exemption from the 
sales and use tax for electricity and natural ga s 
utilities, both the commodity and its transmission, 
consumed at the UEZ -certified location.  Ongoing   
 G/SCM/N/372/USA  
 
- 156 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New Jersey  Energy Sales Tax 
Exemption 
Program (Salem 
County)  New Jersey 
Economic 
Development 
Authority  Tax exemption  Recipients have a manufacturing facility in 
Salem County. The business must employ at 
least 50 people, at least 50% of whom are 
directly involved in the manufacturing process.  This program provides a sales tax exemption for 
the retail sale, transmission, or distribution of 
electricity and natural gas.  Ongoing  
New Jersey  Technology 
Business Tax 
Credit Certificate 
Transfer Program  New Jersey 
Economic 
Development 
Authority  Tax incentives  Recipients include unprofitable New Jersey -
based technology or biotechnology companies 
with fewer than 225 U.S. employees (including 
parent company and all subsidiaries).  There is up to $60 million budgeted each year for 
this program. Net operating losses and R&D tax 
credits may be sold for at least 80% of their value, 
up to a maxi mum lifetime benefit of $15 million 
per business.  Ongoing  
New Jersey  Urban Enterprise 
Zone Program  Community Affairs  Mixed tax 
incentives  Recipients are businesses that locate within the 
zones.  This program provides a 50 % reduction of NJ sales 
tax on "in person" purchases as well as sales tax 
exemptions for materials and for tangible personal 
property. Other zone benefits include: one - time 
corporation tax credit of $1,500 for full -time hires 
of residents in city where zon e is located or 
$500 for hiring residents within the zone, within 
another zone or within a qualifying municipality; 
subsidized unemployment insurance costs for 
certain employees who earn less than $4,500; an 
incentive tax credit of 8% in the zone for certain 
eligible firms; and, priority for financial assistance 
from New Jersey Local Development Financing 
Fund and Job Training Program.  Ongoing  
New Jersey  Fund for 
Community 
Economic 
Development  New Jersey 
Economic 
Development 
Authority  Mixed  Recipients include a community economic 
development organization or a for -profit 
developer of real estate development projects in 
urban and Smart Growth locations.  This program provides the following types of 
support:  
 
Loans to  Lenders  - Up to $750,000 in loans for 
urban -based community organizations with 
successful "Loans to Lenders" history with EDA, 
who in turn offer term loans and lines of credit to 
micro -enterprises and small businesses not 
qualified for traditional bank financing.  
 
Up to $500,000 in loans for newly applying urban -
based community organizations who in turn offer 
term loans and lines of credit to micro -enterprises 
and small businesses not qualified for traditional 
financing.  
 
Predevelopment funding : Up to $50,000 in f unds 
for feasibility studies and other predevelopment 
costs that will determine the viability of a real 
estate project.  
 
Real estate funding : Up to $1.25 million in loans 
to fill financing gaps in the development of 
community facilities and other real esta te-based 
economic development projects, including 
associated environmental remediation costs.  Ongoing   
 G/SCM/N/372/USA  
 
- 157 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New Jersey  Grow New Jersey 
Assistance 
Program  New Jersey 
Economic 
Development 
Authority  Tax credit  In order to qualify for consideration, a company 
must: make capital investments of at least 
$20 million at a qualified business facility at 
which it will employ at least 100 full -time 
employees in retained full -time jobs, or create 
at least 100 new full -time jobs; and, locate the 
project in a Qua lified Incentive Area which is 
currently defined as: Planning Area 1 
(Metropolitan), Planning Area 2 (Suburban), 
and any urban, regional, or town designated 
center locations under the State Development 
and Redevelopment Plan; Former military bases 
closed u nder the federal Base Closure and 
Realignment Act; vacant commercial office, 
laboratory, or industrial properties having over 
400,000 square feet for at least one year or 
impacted by Urban Transit Hub Tax Credit 
Program approval;  or areas targeted for 
development in the New Jersey Meadowlands, 
Highlands, and Pinelands, as specified in the 
acts establishing these areas.  This program provides up to $8,000 per each new 
or retained full time job per year up to 10 years. 
Qualified eligible businesses may receive  tax 
credits of $5,000 per year for a period of ten years 
for each new or retained full -time job. In addition, 
a bonus award of up to $3,000 per job per year 
for a period of ten years may be awarded if the 
qualified eligible business meets additional 
criteria, such as: if the business is in a desirable 
industry; if the business locates or relocates to a 
location within a qualified incentive area adjacent 
to or within one -half a mile or short -distance  
shuttle service of a  public transit facility; if the 
business creates jobs using full -time employees in 
eligible positions whose annual salaries, are 
greater than the average full -time salary in NJ; or, 
is locating to a project site that is, or has been 
negatively impacted by the approval of a qualified 
business  facility under the Urban Transit Hub Tax 
Credit Program. Applicants will be eligible for a 
$1,000 bonus for each criterion met up to the 
maximum of $3,000 per  job. Ongoing  
New Jersey  NJ CoVest Fund  New Jersey 
Economic 
Development 
Authority  Convertible 
Notes with 
Warrants  Funding under the program is targeted to NJ 
technology and life sciences companies that 
commit to remain headquartered in NJ for 
5 years. The company must be registered and 
in good standing in NJ; in early stage technology 
or life sciences industries; structured as a 
C-corporation or LLC; maintain a Board of 
Directors/Advisors; located in a NJ  commercial 
office, co -working or incubator space; have 
75% of full -time employees that spend 80% of 
their time in NJ; and, have a mini mum of two 
full-time founders with some financial 
investment in the company. The company 
should also be product -based, capital -efficient 
and scalable; have a large, identifiable target 
market; own proprietary intellectual property 
protected by U.S. Library  of Congress copyright 
or USPTO patents; and already have sales 
revenue from at least 3  commercial customers 
(excluding research, grants, consulting or other 
service -based  revenue).  The CoVest  Fund can provide $100,000 - 
$250,000 in the form of Convertible Notes with 
Warrants, based on match funding. EDA provides 
$1 for every $2 of qualified outside investment. 
Notes have a 10 -year maturity, with no payments 
due in the first 7 years, but with 3 % interest 
accrued and capitalized annually, and pledged 
against the company's protected intellectual  
property.  Ongoing  
New Mexico  Aerospace Facility 
Deduction  New Mexico 
Taxation and 
Revenue 
Department  Tax deduction  Recipients are New Mexico -based companies 
that launch, operate, recover and prepare space 
vehicles or payloads or operate a spaceport in 
New Mexico.  Receipts from launching, operating, recovering, 
preparing or operating a spaceport are deductible 
from gross receipts.  Ongoing   
 G/SCM/N/372/USA  
 
- 158 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New Mexico  Aviation 
Deductions  New Mexico 
Taxation and 
Revenue 
Department  Tax deduction  Recipients are New Mexico -based companies 
that manufacture, sell, refurbish or maintain 
aircrafts in the state of New Mexico.  Receipts from the sale of aircrafts or aircraft 
vehicles may be eligible for a 50% deduction.  Ongoing  
New Mexico  High Wage Jobs 
Tax Credit  Taxation & 
Revenue 
Department  Tax credit  Recipients are companies with the following 
qualifications: (1) Eligible for the Job Training 
Incentive Program; (2) Employment greater 
than the previous year; (3) Offering jobs at the 
following wages: (a) at least $40K/year in a 
community with a population of less than 
40,000; (b) at least $60K/year in a community 
with a population of 40,000 or  more. This program provides a tax credit equal to 10% 
of the wages and benefits paid for each new 
economic -base job created.  Ongoing  
New Mexico  Single Sales 
Factor 
Apportionment  Taxation & 
Revenue 
Department  Tax reduction  Recipients are manufacturing companies, 
excluding those in construction, farming, power 
generation, and natural resource processing 
(including hydrocarbons). In addition, in taxable 
years beginning on or after January  1, 2015, 
corporate headquarters operations may elect 
the single sales factor methodology for its 
business income. (Under the single sales factor 
method, the sales factor is the only factor 
considered when determining the tax base 
attributable to the state.)  Over a 5 -year period beginning January 1, 2014, 
the "single sales factor" apportionment 
methodology is phased in as follows:  
2014: Sales  double -weighted  
2015: Sales triple -weighted  
2016:  Sales  70% 
2017:  Sales  80% 
2018: Single sales factor . Ongoing  
New Mexico  Job Training 
Incentive Program  Economic 
Development 
Department (EDD)  Grant  Recipients are manufacturers, non -retail service 
companies and certain green industries. 
Excluded are businesses in agriculture, 
construction, extractive industries, gambling, 
health care and retail.  The program reimburse s 50-75% of employee 
wages. Custom training at a New Mexico public 
educational institution may also be covered.  Ongoing  
New Mexico  Refundable Film 
Production Tax 
Credit  New Mexico Film 
Office/EDD  Tax refund  The film industry is the recipient.  This program provides a refundable 25% tax 
credit on all direct production and postproduction 
expenditures (including New Mexico resident 
crew) subject to New Mexico taxes, and an 
additional 5%  credit for qualifying television pilot 
or TV series, or on resident  wages for productions 
that utilize a qualified production facility for 10 or 
15 days of principal photography, depending on 
budget. Credit is subject to an annual cap of 
$50 million for each film production project.  Ongoing  
New Mexico  Film Crew 
Advanceme nt 
Program  New Mexico Film 
Office/EDD  Labor & Training 
Reimbursement 
Funds  The film industry is the recipient.  This program provides 50% wage reimbursement 
for on the job training for New Mexico residents in 
advanced below the line crew positions.  Ongoing  
New Mexico  Film Investment 
Loan Program  New Mexico Film 
Office/EDD  Loan The film industry is the recipient.  This program provides fixed interest rate loans 
($500K - $15M) for qualifying feature films or 
television projects. Payback terms are not to 
exceed two years and a guarantor is required.  Ongoing  
New Mexico  Manufacturer 
Investment Credit  New Mexico 
Taxation and 
Revenue 
Department  Tax credit  Recipients are manufacturers.  The tax credit is equal to 5.125% of the value of 
certain equipment brought into New Mexico in 
connection with a manufacturing operation in 
New Mexico.  Ongoing   
 G/SCM/N/372/USA  
 
- 159 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New Mexico  Filmmaker's Gross 
Receipts Tax 
Incentive  Tax Information 
Office  Tax exemption  The film industry is the recipient.  A qualified production company may execute 
non-taxable  transaction certificates with its 
suppliers for tangible personal property or 
services. The suppliers may then deduct the value 
of these certificates from the gross receipts tax.  Ongoing  
New Mexico  State Sales Tax 
exemption  New Mexico Film 
Office  Tax exemption  The recipient is the film industry.  This program provides an exemption of state sales 
tax. Ongoing  
New Mexico  Technology Jobs 
and Research and 
Development Tax 
Credit  Economic 
Development 
Department & 
Taxation and 
Revenue 
Department  Tax credit  Recipients include businesses conducting 
qualified R&D in New Mexico.  This program provides a basic tax credit equal to 
5% in urban areas and 10% in rural areas of 
qualified expenditures, and an additional 
5% credit toward income tax liability by ra ising its 
in-state payroll $75,000 for every $1 million in 
qualified expenditures claimed.  Ongoing  
New Mexico  Alternative Energy 
Product 
Manufacturers Tax 
Credit  Economic 
Development 
Department & 
Taxation and 
Revenue 
Department  Tax credit  Recipients are alternative energy companies.  Manufacturers of electric or hybrid vehicles, fuel 
cell systems, renewable energy systems, IGCC 
systems, and carbon sequestration equipment 
may receive for a tax credit of up to 5% of their 
capital  expenses.  Ongoing  
New Mexico  Preferential Tax 
Rate for Small 
Wineries and 
Breweries  New Mexico 
Taxation and 
Revenue 
Department  Tax abatement  Recipients are small wineries and breweries.  Wine produced by a small winery carries a tax of 
10 cents per liter on the first 80,000 liters; 
20 cents on production over that level. The basic 
tax rate for wine is 45 cents per liter. Beer 
produced by a microbrewery is taxed at 25 cents 
per gallon. The basic tax rate for beer is 41 cents 
per gallon.  Ongo ing 
New Mexico  Renewable Energy 
Production Tax 
Credit  Economic 
Development 
Department & 
Taxation and 
Revenue 
Department  Tax credit  Recipients are renewable energy companies.  Each renewable energy generator of one 
megawatt or more may earn an income tax credit 
(personal or corporate) of 2.7 cents (on average) 
per kilowatt -hour for the first 400,000 megawatt -
hours of electricity produced for ten consecutive 
years, beginning with the first year of production. 
This credit is fully refundable.  Ongoing  
New Me xico Rural Jobs Tax 
Credit  Economic 
Development 
Department & 
Taxation and 
Revenue 
Department  Tax credit  Recipients are businesses in rural communities 
in the state. Rural areas are defined as those 
communities not within the 10 mile radius of a 
large city. This program provides a maximum credit of 
$1,000/per job. There is a tax credit of 12.5% to 
25% of the first $16,000 in wages paid for a 
qualifying job. Credit extends for 4 years if in Tier 
1 county, 2 years for Tier 2 county. Unused credits 
can be carried forward for up to 3  years.  Ongoing  
New Mexico  Tax Increment 
Financing  New Mexico 
Taxation and 
Revenue 
Department  Financing  Recipients are companies in a designated 
enterprise zone.  The support is the amount of additional tax 
proceeds flowing  from the increase in property 
valuation, diverted to finance the  project.  Ongoing  
New Mexico  Catalyst Fund  Economic 
Development 
Department  Equity  The program is focused on technology startups, 
subject to an investment -ready checklist 
review. Businesses seeking investment need to 
contact participating portfolio funds in which the 
Catalyst Fund is invested.  The Catalyst Fund is providing a total of 
$20 million into participating portfolio funds that 
together provide another $20 million i n matching 
private funds.  Ongoing   
 G/SCM/N/372/USA  
 
- 160 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New York  Commercial Tax 
Program  Empire State 
Development 
Corporation  Tax Credit  This program is limited to advertisements 
recorded on film, audiotape, videotape or digital 
medium in New York State (NYS) for 
multi-market distribution by way of radio, 
television, or motion picture theaters.  Credits of up to $7 million per year can be 
allocated to encourage qualified production 
companies to produce commercials in NYS and 
help create and maintain jobs. The $7 million p er 
year consists of three components for companies: 
shooting commercials Downstate ($3 million), 
shooting Upstate ($3 million), and those 
demonstrating incremental "growth" in 
commercial production ($1  million). An applicant 
can receive a credit of 5% on q ualified production 
expenses under the Upstate and Downstate 
components of the Commercial Tax Credit 
Program. An additional 20% credit is available 
under the Growth component for eligible 
incremental growth in production expenses from 
one year to the  next. Ongoing  
New York  Economic 
Development Fund 
(EDF)  Empire State 
Development 
Corporation  Grant  Eligible companies include:  
(1) businesses involved in industrial, 
manufacturing, warehousing and distribution;  
(2) research and development, high technology, 
service and other non -retail commercial 
enterprises; (3) not -for-profits;  
(4) local development corporations and 
industrial development agencies (IDAs); and  
(5) municipalities.  Companies not eligible 
include residential, casino or gambling 
institutions, legal, medical, nursing services and 
retail firms.  EDF is a flexible program, providing a range of 
assistance to businesses, municipalities, IDAs and 
other economic development organizations to 
ensure that the diversity of business needs are 
being met by the state. EDF funds assist with 
construction, expansion and rehabilitation of 
facilities; acquisition of machinery and equipment; 
working capital; and the training of full -time 
permanent employees.  Ongoing  
New York  Innovation 
Technology 
Commercialization 
(ITC) Fund  Empire State 
Development 
Corporation  Grant  Eligible companies are engaged in the 
commercialization of an emerging technology 
with the potential to achieve significant 
technical advances and innovation, are at the 
stage of development appropriate for initial 
equity financing, are located in or agree in 
writing to be located in NYS, and have the 
potential to generate additional economic 
activity in the State and are able to secure a 
1:1 match from private sector funding  sources 
at the time of  investment.  The ITC Fund investment entities will make 
investments of up to $100,000 per eligible 
company; all require at least a 1:1 match from 
private sector funding sources at the time of 
investment.  Ongoing   
 G/SCM/N/372/USA  
 
- 161 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New York  Innovation 
Venture Capital 
Fund Program  Empire State 
Development 
Corporation  Grant  Companies must be located in or agree in 
writing to be located in NYS and have the 
potential to generate additional economic 
activity in the state and participate in an 
emerging technology field and are achieving, or 
have the potential to achieve, technological 
advances and innovation.  The Fund considers occasional and opportunistic 
seed rounds. It provides capital for first -time CEOs 
and/or founders and consider industry seg ments 
and geographic regions not adequately served by 
the venture community. The Fund also makes 
direct equity investments in companies with an 
emphasis on strategic industries such as 
information technology, life sciences, clean 
energy, and advanced manuf acturing. Initial 
investments typically range in size from 
$500,000  to $1.5  million. All investments by the 
Fund require at least a 2:1 match from private 
sources at the time of  investment.  Ongoing  
New York  Job Development 
Authority (JDA) 
Direct Loan 
Program  Empire State 
Development 
Corporation  Loan JDA Loans may not be used for:  
Retail facilities, which customers must 
personally visit in order to obtain the goods or 
services being  sold 
Hotel or residential  facilities  
Motor  vehicles  
Working capital  loans  
 
Other requirements include the following:  
The borrower must secure a letter of 
commitment from the bank providing the 
50% financing portion of the project  cost. 
The borrower must provide at least 10% of the 
project cost as an equity contribu tion to the  
project.  
Personal guarantees are required from any 
person owning 20% or more of the operating 
company for whose benefit the JDA loan is being  
made.  In most cases, JDA Loans can be for up to 40% of 
the total project cost of real estate projects or M&E 
projects. Loans may be up to 60% for projects 
located in Empire Zones or economically 
distressed area. The combination of a bank loan 
and a JDA  Loan allows up to 90% financing of a 
project. The typical financing structure is: 
50% bank loan, 40% JDA loan 10% borrower 
equity. A JDA real estate loan is normally a second 
mortgage loan, subordinate to a first -mortgage 
loan provided by a bank.  Real estate project costs 
include the cost of an existing building and 
renovations, purchase of land and const ruction of 
a new building and soft costs normally associated 
with a real estate  transaction.  
 
Project costs include the acquisition costs and 
eligible soft costs only.  Ongoing  
New York  Life Sciences 
Research and 
Development Tax 
Credit  Empire State 
Development 
Corporation  Tax Credit  This program is available to a new business 
entity that devotes the majority of its efforts to 
the various stages of research, development, 
technology transfer and commercialization 
related to any life sciences field.  Program credits of $10 million per year can be 
allocated and used to encourage new businesses 
to conduct their research and development in the 
state.  
 
Qualified life sciences companies may be eligible 
to receive a fully refundable credit based on 
qualified re search and development expenditures 
incurred in NYS. The credit is 15 % for a company 
that employs 10 or more persons and 20 % for a 
company that employs 10 or less.  
 
The credit is allowed for up to three consecutive 
years beginning with the first taxable year on or 
after January 1, 2018 during which the qualified 
life sciences company meets the eligibility criteria. 
The credit is capped at $500,000 per year for a 
lifetime cap of $1.5 million.  Ongoing   
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- 162 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New York  Entertainment 
Industry Tax 
Credits  Empire State 
Development 
Corporation  Tax incentives 
Tax Law sections 
24, 28, 210 -B.1, 
210-B.2, 606(a)  Recipients are in the entertainment industry: 
film production, commercial production, music 
and theatrical production.  Film Production Credit : 30% to 40% refundable 
tax credit on qualified expenses while filming or 
post-producing a film project in the state. Program 
is capped at $420 million per year through 2022.  
Commercial Production Tax Credits : Refundable 
tax credits available for qualified commercials.  The 
program is capped at $7 million per year through 
2018.  
Sales Tax Exemptions : Film production 
activities/expenses are exempt from New York 
State and local sales and use taxes.  
Investment Tax Credit:  Up to 5% tax credit on 
investments in construction an d upgrades to 
qualified film production facilities.  
Employment Incentive Tax Credi t: up to 2.5% tax 
credit for each of the two years following the year 
the investment tax credit is claimed based on 
increased  employment.  Ongoing  
New York  Biofuels 
Production Credit  Tax Law section 28  Tax credit  Recipients are manufacturers of qualified biofuel 
products (primarily ethanol and bio -diesel).  Biofuels production credit allows for $.15/gallon 
after first 40,000 gallons produced, capped at 
$2.5 million per  entity per year per plant for up to 
no more than four consecutive years.  Ongoing  
New York  Excelsior Jobs 
Program  Dept of Economic 
Development  Tax credit  Recipients are firms in the biotechnology, 
pharmaceutical, high -tech, clean -technology, 
green technology, financial services, 
agriculture, manufacturing and entertainment 
industries.  This program provides financial assistance in the 
form of refundable tax credits to qualifying 
businesses, with an annual cap of $250 million for 
2015, $200 million through 2021, $150 million for 
2022,  
$100 million for 2023 and $50 million for 2024. 
The program provides four types of tax credits:  
Excelsior Jobs Tax Credit: 6.85% of the gross 
wages paid for each net new job created in the  
state;  
Excelsior Investment Tax Credit: 2% of qualified 
investments;  
Excelsior Research and Development tax credit: 
50% of the federal R&D credit, capped at 6% of 
research expenditures attributable to activities 
conducted in the state; and  
Excelsior Real Property Tax Credit: available to 
firms locating in certain distressed areas and firms 
in targeted industries that meet higher 
employment and investment thresholds 
(e.g.,  Regionally Significant Projects).  Ongoing   
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- 163 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New York  New York City 
(NYC) 
Biotechnology Tax 
Credits  Tax Law section 
1201-a(d), NYC 
Admin. Code 
sections 11 -503(o) 
and 11 -604.21  Tax credit  This program provides early stage biotech 
companies with a refundable credit, for R&D and 
employee training expenses. Company must 
engage in bi otech and:  
Have 100 full -time employees or less, with at 
least 75% of those employees employed in 
New York City; 
Have a ratio of research and development funds 
to net sales which equals or exceed 6%;  
Have gross revenues which did not exceed 
20 million doll ars for the immediately preceding  
year. The amount of the credit is the sum of the 
following amounts:  
18% of the cost or other basis of research and 
development property, and certain other costs and 
fees incurred in connection with emerging 
technology acti vities;  
9% of qualified research expenses paid or incurred 
by the taxpayer;  
100% of high -technology training expenses paid 
or incurred by the taxpayer, limited to $4,000 per 
employee per  year. 
 
The total amount of credit allowable to a taxpayer 
cannot be more than $250,000 per year. 
Additional details on emerging technology 
definitions and eligibility requirements are 
available in the NYC  Department of Finance 
Biotechnology Tax Credit Application Definitions 
and Instructions.  Until end of 2019 . 
New York  Qualified 
Emerging 
Technology 
Company (QETC) 
Tax Credits  Tax Law sections 
210-B.7, 210 -B.8 Tax credit  A qualified emerging technology company is, 
pursuant to section 3102 -e of the Public 
Authorities Law (PAL), a company located in 
New York State that has total annual product 
sales of $10 million or less, and meets either of 
the following criteria: (1) its primary products 
or services are classified as emerging 
technologies under section 3102 -e(1)(b) of the 
PAL; or (2) it has research and developme nt 
activities in New York State and its ratio of 
research and development funds to net sales 
equals or exceeds the average ratio for all 
surveyed companies.  This program provides tax credits for Qualified 
Emerging Technology Companies (QETCs): 
1. QETC Empl oyment Credit -- Refundable tax 
credit equal to $1,000 per new full -time employee 
(employees in excess of base year employment 
level), available for one 3 -year period.  
2. QETC Capital Credit -- Credit equal to a 
percentage of each qualified investment in a  
qualified emerging technology company. Credit 
equals 10% for qualified investments that are 
certified to be held for at least four years 
(maximum credit per taxpayer of $150,000); 20% 
for qualified investments certified to be held for at 
least 9 years (ma ximum credit per taxpayer of 
$300,000).  Ongoing  
New York  START -UP NY  Empire State 
Development 
Corporation  Tax Incentives  Recipients include businesses partnering with 
colleges/universities for direct access to 
advanced research laboratories, development 
resources and experts in key industries. 
Participating company must be a new business 
in New York State, or an existing New York 
business relocating to or expanding within the 
state; partner with a New York State college or 
university; or creat e new jobs and contribute to 
the economic development of the local 
community.  
 
Any business that wants to locate in a New York 
tax-free area (TFA) must submit an application 
to the campus, university or college sponsoring 
the TFA by December 31, 2020.  Under this program the business income tax is 
eliminated for 10 years. A tax elimination credit 
eliminates corporate franchise taxes related to 
income earned in the TFA. There is also a credit or 
refund of New York state and local sales and use 
taxes, incl uding the 3/8% state tax on the sale of 
tangible personal property, utility services, and 
other taxable services in the Metropolitan 
Commuter Transportation District. Sales tax 
benefits are also available for a period of 
120 consecutive months. The Metropo litan 
Commuter Transportation Mobility Tax benefit for 
employers is available for 40 consecutive calendar 
quarters beginning with the calendar quarter 
during which the business locates in the TFA.  Ongoing   
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- 164 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New York  Empowerment 
Zone Program  New York 
Empowerment 
Zone Corporation 
(NYEZC)  Mixed financing  Qualified businesses are generally any business 
except those consisting primarily of the 
development or holding of intangibles for sale or 
license, golf courses, country clubs, massage 
parlors, hot tub o r suntan facilities, 
racetrack/gambling facilities, liquor stores, or 
farms with assets greater than $500,000 at 
close of tax year.  This program provides bond financing at lower 
than market interest rates. Total outstanding EZ 
facility bonds allocated to a ny person cannot 
exceed $3  million per zone or $20 million for all 
zones nationwide.  At least 95 % of the net 
proceeds of the bond issue must be used to 
finance qualified zone property. New York State 
and New York City each have committed 
$100 million over the next 10 years to match the 
Federal commitment for a total of $300 million.  Ongoing  
New York  Energy Products 
Center  New York State 
Energy R&D 
Authority  Loans  Recipients are businesses involved with a 
technology, product, or service that generates 
new supplies of energy more efficiently and 
cleanly.  This program provides up to $500,000 of project 
costs, with 50 % co-funding. Project funding is 
budgeted in advance by program topic and specific 
in each "Program Opportunity Notice". The 
progra m money is allocated among the chosen 
projects. New York State lenders provide loans 
with an interest rate of 4.5 %. The average cost of 
a project being funded is up to $200,000.  Ongoing  
New York  Linked Deposit 
Program (LDP)  Empire State 
Development 
Corporation  Loans  Recipients are qualifying New York firms (see 
neighboring cell detailing support amounts) . The program provides a two to three percentage 
points savings on the prevailing interest rate to 
make borrowing less expensive with a m aximum 
loan amount of $500,000 for four years. This 
program is for manufacturers with 500 or fewer 
FT employees in New York State. A 3% interest 
rate reduction is provided to Empire Zone certified 
business with 100 or fewer FT employees; state 
businesses i n highly distressed census tracts with 
100 or fewer FT employees; businesses in a 
Federal Empowerment Zone, or Enterprise or 
Renewal Community with 100 or fewer 
FT employees; Certified Minority - or Women -
Owned Business Enterprises (MWBEs) that  need 
financi ng to fulfill a state or federal procurement 
contract; defense industry manufacturers with at 
least 25 % of gross revenue derived from defense 
contracts/  subcontracts investing to reduce 
dependence on the defense.  In 2014, $560 million 
in funding was author ized, and approximately 
$212.5 was used.  Ongoing   
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- 165 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New York  Metropolitan 
Economic 
Revitalization 
Fund (MERF)  Empire State 
Development 
(ESD) Corporation  Loan Eligible businesses should retain or create 
significant numbers of private sector jobs in 
economically distressed areas.  This program provides loans of up to a maximum 
of $5,000,000, or 10 % of total project cost, 
whichever is less, for acquisition or improvement 
of land and/or buildings, construction and 
renovation, and for machinery and equipm ent 
purchases. A minimum of 10 % borrower equity is 
required. Interest rates will be determined by 
market conditions, applicant's ability to repay, and 
project requirements, and set at the time of 
approval. Terms for project loans will not exceed 
20 years f or real estate and seven years (or useful 
life of collateral) for machinery and equipment.  Ongoing  
New York  Brownfield 
Cleanup Program 
Tax Credit  Department of 
Taxation and 
Finance, Tax Law 
sections 21, 22  Tax credit  Recipients are qualifying redevelopers who 
complete certified remediation and/or 
redevelopment of brownfield sites.  Credits are equal to a percentage of certified 
remediation or redevelopment costs. 
Redevelopment credits are limited to $35 million 
($45 million if used for manufacturing activities) . Ongoing; Eligible 
sites must have 
been accepted 
into the 
Brownfield 
Cleanup Program 
before 
Jan 1, 2023 and 
have until 
April 1, 2026 to 
receive the 
certificate of 
completion in 
order to receive 
credits.  
New York  Sales Tax 
Exemption for 
Commercial 
Vessels and 
Commercial 
Fishing Vessels  New York State 
Department of 
Taxation and 
Finance; Tax Law 
sections 
1101(B)(16), 
1105(c)(3)(iv), 
1115(a)(24), 
1105(c)(3)(vii)  Tax Exemption  Sales and use tax on commercial fishing vessels 
used directly and predominately in the 
harvesting of fish for sale are qualified for 
exemption under this program.  Sales tax foregone on the sale and maintenance 
and repair of such vessels.  Ongoing  
New York  Alcoholic Beverage 
Production Credit  New York State 
Department of 
Taxation and 
Finance; Tax Law 
sections 210 -B.39, 
606(uu)  Tax credit  A business can claim this refundable credit if: 1) 
it is a registered distributor under Article 18 of 
the Tax law; and 2) produced in New York State 
during the tax year: 60,000,000 or fewer 
gallons of beer; 60,000,000 or fewer gallons of 
cider; 20,000,000 or fewer gallons of wine; 
800,000 or fewer gallons of  liquor.  The credit is equal to 14 cents per gallon for the 
first 500,000 gallons of beer, cider, wine or l iquor 
produced in New York State in a tax year, plus 
4.5 cents per gallon for each additional gallon over 
500,000 (up to 15,000,000 additional gallons for 
beer, cider and wine and up to 300,000 additional 
gallons for liquor) produced in New York State in 
the same tax year.  Ongoing   
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- 166 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
New York  Sales Tax 
Exemption for 
maintenance/  
repairs performed 
on commercial 
vessels and 
commercial fishing 
vessels  New York State 
Department of 
Taxation and 
Finance; Tax Law 
section 
1105(c)(3)(iv), 
(vii) Tax exemption 
on any 
maintenance and 
repairs 
performed on 
commercial and 
fishing vessels.  The commercial and fishing vessel industries are 
eligible.  Sales tax foregone on the maintenance and repair 
of such vessels.  Ongoing  
North Carolina  One North 
Carolina (OneNC) 
Fund North Carolina 
Department of 
Commerce  Grant  Awards are based on the number of jobs 
created, level of investment, location of the 
project, economic impact of the project and the 
importance of the project to the state and 
region. Awards are allocated to loca l 
governments as part of a negotiated challenge 
grant. By statute, OneNC requires that a local 
government provide an incentive to match the 
OneNC funding. The required local match 
depends on the tier designation of the county. 
OneNC funding is dispersed in  25% increments 
as the company creates new jobs. For instance, 
if a company commits to creating 100 jobs over 
three years, as soon as the company has 
created the first 25 jobs, it is eligible to receive 
25% of the award. North Carolina statute 
requires tha t the company maintain at least 
90% of the new jobs in operation at the project 
location, or at another approved site in 
North  Carolina, for a period of up to two years 
after the grant end date. Note: The OneNC and 
JDIG will not be co -awarded for the same  
project.  Awards are based on the number of jobs created, 
the level of investment, the location of the project, 
the economic impact of the project, and the 
importance of the project to the state and region. 
The OneNC and JDIG will not be co -awarded for 
the same project.  Ongoing   
 G/SCM/N/372/USA  
 
- 167 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
North Carolina  Data Centers 
Sales & Use Tax 
Exemptions  North Carolina 
Department of 
Revenue  Tax exemption  North Carolina provides three sales and use tax 
exemptions for purchase of the following items 
related to data centers and their  operations:  
 
Electricity and support equipment purchased for 
a "Qualifying Data  Center ". 
 
Electricity and certain business prop erty 
purchased for an "Eligible Internet Data  Center " 
Computer software at a "Data Center " "Data 
Center " is defined as: A facility that provides 
infrastructure for hosting or data -processing 
services and is concurrently maintainable. The 
power and cooling systems serving the 
computer equipment must include redundant 
capacity components and multiple distribution 
paths. Although the facility must have multiple 
distribution paths serving the computer 
equipment, a single distribution path may serve 
the computer  equipment at any one  time. Amount of tax exempted . Ongoing  
North Carolina  R&D and Software 
Publishing Sales 
Tax Exemptions  North Carolina 
Department of 
Revenue  Tax Exemption  Research and development activities for 
physical, engineering and life science companies 
or software publishing activities for software 
publishers.  The benefit amount is the amount of the tax 
exempted . Ongoing  
North Carolina  Recycling Business  
Development 
Grants  North Carolina 
Recycling Business 
Assistance  Center  Grant  Projects involving the collection, processing or 
end use of materials in the solid waste stream 
are eligible for funding.  Applicants may request a maximum of $40,000 
and must provide at least a 50% cash match.  Ongoing  
North Carolina  The Film and 
Entertain ment 
Grant Fund  North Carolina 
Department of 
Commerce  Grant  Production of motion pictures, television shows, 
and commercials.  Through the North Carolina Film and 
Entertainment Grant, North Carolina offers a 
rebate of up to 25% on qualified expenses and 
purchases made by productions while filming in 
the state. To qualify, a television series must 
average a minimum in -state spend of $1 million 
per episode, while a feature -length film must 
spend at least $3 million, made -for-television 
movies must spend at least $1  million, and a 
commercial production must have a minimum 
spend of at least $250,000. Grant awards shall not 
exceed $12 million per season for a television 
series, $7 million for a feature -length film 
(including made -for-television movies), and 
$250,000 for commercials.  Ongoing   
 G/SCM/N/372/USA  
 
- 168 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
North Carolina  Job Maintenance 
and Capital 
Development Fund  Department of 
Commerce General 
Statutes § 143B 
437.012  Grant  Recipients are must be located in a Tier 1 county 
and be a major manufacturing employer, 
meaning it either (1) has at least 
2,000  employees and invests at least 
$200 million, or (2) has at least 320 full -time 
employees and invests at least $65 million. 
Local government entities must provide 
incentives equivalent to a tax credit of 50% of 
the incremental additional ad valorem  taxes 
payable by a grantee on the required 
investment, over a period of between 5 and 
10 years. Must have no overdue tax debts, 
OSHA, or DENR violations.  A total of five (5) grants may be made under the 
program. Annual payments to gra ntees is subject 
to future appropriations. Grants may be made for 
a term of up to 10 years. Annual grant payments 
will be capped at an amount that may not exceed 
$4 million. The sum of all grants awarded under 
the program may not exceed $60 million.  Ongoin g 
North Carolina  Job Development 
Investment Grants 
(JDIG)  Department of 
Commerce, 
General Statutes 
N.C.§ 105-164.14A  Grants  The JDIG provides a limited number of cash 
grants directly to new and expanding 
businesses that will provide economic benefits 
to the state, are competitive with other 
locations and need the grant to carry out the 
project in North Carolina.  
 
Grants are based on the job creation and 
investment commitment by companies in their 
applications prior to a location decision. A 
5-member Economic Investment Committee 
(EIC) evaluates projects, makes award 
decisions, and determines funding levels, grant 
periods and other terms of the grants.  Grants are based on a percentage of the 
withholding taxes paid by new employees, and are 
disbu rsed annually for up to 12 years. The per 
employee amount is capped at $6,500/year; the 
program in the aggregate is capped at 
$15 million/year. In Tier 2 and Tier 3 counties, 
15 and 25 %, respectively, of total JDIG grant is 
transferred to state's utility a ccount to fund 
infrastructure in economically distressed counties.  Ongoing  
North Carolina  Sales Tax 
Exemption  Department of 
Revenue General 
Statute 105 -
164.4(a)(11)  Tax exemption  Certain sales of service contracts entered after 
January 1, 2014, including, but not limited to 
1) Logging machinery used by a person 
engaged in commercial logging to harvest raw 
forest products for transport to first market; 
2) Qualifying  farm machinery used by a 
"farmer " in the planting,  cultivating, harvesting, 
or curing of farm crops or in the production of 
dairy products, eggs, or animals; 3) Boats sold 
to a commercial fishing operator that meet the 
statutory requirements of N.C. Gen. 
Stat. § 105-164.13(9) are qualified to receive 
the tax  exemption.  The amounts vary.  Ongoing   
 G/SCM/N/372/USA  
 
- 169 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
North Carolina  Retail Sales and 
Use Tax 
Exemption  Department of 
Revenue General 
Statute 105 -
164.13  Tax exemption  Qualified agriculture group includes, but is not 
limited to 1) cotton, tobacco, peanuts or other 
farm products sold to manufacturers for further 
manufacturing or processing; 2) sales of 
products of waters in their original or 
unmanufactured state when such sales are 
made by the producer in the capacity of 
producer. Fish and seafoods are likewise 
exempt whe n sold by the fisherman in that 
capacity are eligible to receive the tax 
exemption.  The amounts vary.  Ongoing  
North Carolina  Pollution Control 
and Abatement & 
Recycling Sales 
and Use Tax 
Exemption  North Carolina 
Department of 
Revenue  Tax exemption  Pollution control and abatement equipment for 
manufacturing is exempt from sales and use 
tax. Pollution abatement equipment means any 
equipment, including parts and accessories, 
used to eliminate, prevent or reduce air and 
water pollutants emitted resultin g from the 
manufacturing process. This category also 
includes equipment used for the purpose of 
treating, pre-treating  or modifying any potential 
solid, liquid or gaseous pollutants that might be 
harmful, detrimental or offensive to human, 
animal or plant life or to property. Neither 
buildings housing such control and abatement 
equipment, nor equipment used within a 
building 's interior primarily for health, comfort 
or safety purposes is eligible for this exemption.  Pollution control and abatement equipment for 
manufacturing is exempt from sales and use tax, 
but is subject to a 1% privilege tax, capped at a 
maximum of $80 per article. In addition, 
chemicals purchased by manufacturers to be used 
in air or stream pollution abatement equipment or 
processes are e xempt from sales and use tax, but 
are subject to a 1% privilege tax, capped at a 
maximum of $80 per article.  Ongoing  
North Carolina  Tax Exemption on 
Ice North Carolina 
Department of 
Revenue  Tax Exemption  Farmers and fishermen . The amount of the benefit is equal to the amount 
of the tax that does not have to be paid.  Ongoing  
North Dakota  Biodiesel or Green 
Diesel Tax Credits  Tax Department  Tax credit  Recipients are biodiesel or green diesel 
producers, suppliers and sellers.  This program provides an income tax credit equal 
to 10% per year for 5 years of costs to establish, 
adapt, or retrofit a facility to produce or blend at 
least 2% biodiesel or green diesel fuel. Any credit 
in excess of the current year's liability may be 
carried forward  5 taxable years. The credit is 
limited to a cumulative credit  of $250,000 for all 
taxable years. A licensed fuel supplier who blends 
at least 5% biodiesel or green diesel fuel is allowed 
an income tax credit of 5 cents per gallon of fuel. 
Excess credit ma y be carried forward 5 taxable 
years. A seller of biodiesel or green diesel fuel 
having at least a 2% blend is allowed an income 
tax credit equal to 10% per year for 5 years of the 
seller's direct costs to adapt or add equipment to 
their facility to enable  them to sell the biodiesel or 
green diesel blend.  Ongoing   
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- 170 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
North Dakota  Biofuels 
Partnership in 
Assisting 
Community 
Expansion (PACE)  Bank of North 
Dakota  Interest rate 
subsidy  Recipients are ethanol and biodiesel producers 
who meet the following criteria:  
 
-- Production facility must be located in 
North  Dakota;  
-- Facility must produce agriculturally derived 
denatured ethanol, or biodegradable, 
combustible liquid fuel derived from vegetable 
oil or animal fat;  
-- Fuel must be suitable for blending with a 
petroleum product for use in internal 
combustion engines;  
-- Ownership must consist of: agricultural 
producers who hold at least 10% interest in the 
facility and residents of North Dakota who own 
at least 50%.  Biofuels PACE was established to buy do wn the 
interest rate on loans to biodiesel and ethanol 
production facilities, and livestock operations. 
Interest buy down of 5.0% below the note rate.  Ongoing  
North Dakota  Ethanol Incentive 
Program  Department of 
Commerce  Grants  Recipients are ethanol producers.  The incentive is based on a calculation that factors 
in the difference between the baseline prices for 
ethanol and corn and the quarterly average 
North  Dakota prices for ethanol and corn. 
Producers may apply for these incentives on a 
quarterly basis by providing proof of the number 
of gallons of ethanol produced. The total 
cumulative incentive available to all eligible 
producers in any year is capped at $1.6 million. 
Also, no producer may receive in excess of 
$10 million in incentive payments over the life of 
their production facility.  Ongoing  
North Dakota  Regional Rural 
Development 
Revolving Loan 
Fund North Dakota 
Development Fund  Mixed financing  This fund is allocated equally among the state 's 
eight economic regions for projects located 
more than five miles outside the limits of a city 
with a population less than 8,000.  The maximum investment is $300,000.  Debt and 
equity investments are priced based upon the 
appropriate risk/return. The amount of loans 
issued in fiscal year was  approximately 
$2,181,015.  Ongoing  
North Dakota  Sales & Use Tax 
Exemptions for 
Agricultural 
Processing Plant 
Construction 
Materials  Tax Department  Tax exemption  Construction materials used to construct an 
agricultural processing facility are exempt from 
sales and use taxes. The processor must apply 
to the State Tax Commissioner for a refund of 
the tax paid by a contractor. As defined by the 
sales tax exemption, a qualifying agricultural 
commodity processing facility means a 
proces sing facility for the processing or 
production of marketable products from 
agricultural commodities.  The sales tax exemption, if applicable, will provide 
a 5% sales tax exemption based on the cost of 
construction materials for a qualifying agricultural 
commodity processing facility.  Ongoing  
North Dakota  Lignite R&D and 
Marketing 
Program  Lignite Energy 
Council  Grants  The program is available to R&D and marketing 
projects related to lignite.  The program is funded through the North Dakota 
coal severance tax at the rate of approximately 
10 cents/ton. With annual lignite production of 
approximately 30 million tons/year, about 
$3 million is available each year for the  program.  Ongoing   
 G/SCM/N/372/USA  
 
- 171 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
North Dakota  Renewable Energy 
Program  North Dakota 
Industrial 
Commission/North 
Dakota 
Department of 
Commerce  Grants  Any project proposing education, R&D or 
marketing of renewable energy resources, 
materials or products is eligible. Projects must 
demonstrate a high probability of advancing to 
a commercially  viable stage supported by a road 
map to commercialization; have significant 
involvement from a North Dakota private entity; 
not be duplicative of other research or 
demonstration projects or  technology.  Grant awards are limited to $500,000, and require 
a 50% match.  Ongoing  
North Dakota  North Dakota 
Small Business 
Technology 
Investment 
Program  North Dakota 
Department of 
Commerce  Loan Any North Dakota start -up primary sector 
business in a technology field may receive loan 
or equity financing from this fund. The benefit level varies.  Ongoing  
North Dakota  Sales & Use Tax 
Exemptions for 
Carbon Dioxide  Tax Department  Tax exemption  Recipients are companies who use enhanced 
recovery for oil or natural gas.  The sale of carbon dioxide to be used for enhanced 
recovery of oil or natural gas is exempt from sales 
and use tax.  Ongoing  
North Dakota  Sales & Use Tax 
Exemptions for 
Gas Processing 
Facilities  Tax Department  Tax exemption  Recipients are gas processing facilities.  Gas processing facilities may be granted a sales 
and use tax exemption for purchasing building 
materials, equipment and other tangible personal 
property used in the expansion or construction of 
a gas processing facility. In addition, 
environmental upgrades which exceed $ 100,000 
for reducing emissions, increasing efficiency, or 
enhancing reliability of equipment may also 
qualify for an exemption.  Ongoing  
North Dakota  Sales & Use Tax 
Exemptions for Oil 
Refineries  Tax Department  Tax exemption  Recipients are oil refineries.  A sales and use tax exemption may be granted for 
building materials, equipment and other tangible 
personal property used to construct or expand an 
oil refinery in North Dakota. Facility must have a 
nameplate capacity of producing at least 
5,000  barrels a day; environmental upgrades 
greater than $100,000 may also qualify.  Ongoing  
North Dakota  Carbon Dioxide for 
Enhanced 
Recovery of Oil & 
Gas Tax Department  Tax exemption  Recipients are companies who produce oil or 
natural gas.  A sales tax exemption is available for purchasing 
tangible personal property used to construct or 
expand a system to compress, gather, collect, 
store, transport or inject carbon dioxide for use in 
enhanced recovery of oil or natural gas in 
North  Dakota.  Ongoing  
North  Dakota  Gas Gross 
Production Tax 
Exemptions + Oil 
Extraction Tax 
Exemptions  Tax Department  Tax Exemption  Recipients would normally pay the gross 
production tax on their gas -producing 
properties in North Dakota.  Exempt from this 5% tax is gas used on the lease 
for production purposes and the royalty interest in 
gas produced from a state, federal, or municipal 
holding and from an interest held by an organized 
Indian tribe; shallow gas produced during the first 
24 months of production from and after the firs t 
date of sales from a shallow gas zone; and gas 
used for electricity generation when the electricity 
is used on -site also benefits from the exemption. 
Value listed for 2018 and 2019 is zero.  Ongoing   
 G/SCM/N/372/USA  
 
- 172 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
North Dakota  Reduced Tax Rate 
for Certain Wells 
Outside  the 
Bakken and Three 
Forks Region  North Dakota 
Office of State Tax 
Commissioner  Tax Reduction  Tax payers who drill certain wells drilled and 
completed outside the Bakken and Three Forks 
formations in North Dakota . The normal gross production tax rate on oil is 5%. 
A reduced oil extraction tax rate of 2% is available 
for wells drilled and completed after 30 June 2013, 
outside the Bakken and Three Forks formations 
and 10 miles or more outside an established field 
as defined by the North Dakota Industrial 
Commission (NDIC). The first 75,000 barrels of oil 
produced during the first 18 months after 
completion is subject to the reduced rate. 
Exemptions from the oil extraction tax also exist 
for oil extracted from wells on lands in Indian 
reservations for a perio d of 60 months. If the 
trigger price of $90 is exceeded for 3 consecutive 
months, the oil extraction tax rate increases to 6% 
and will revert back to 5% after the trigger price 
is below $90 for 3 consecutive months.  No values 
available for 2018 or  2019. Ongoing  
Ohio Commercial 
Acceleration Loan 
Fund Development 
Services Agency  Loans  The program is aimed at the following 
"Technology Focus Areas":  
 
Advanced Materials  
Aero propulsion Power  Management  
Fuel Cells and Energy  Storage  
Medical  Technology  
Software Applications for Business and  
Healthcare  
Sensing and Automation  Technologies  
Situational Awareness and Surveillance  
Systems  
Solar Photovoltaics  
Agribusiness and Food Processing  
Shale . This program provides loans on competitive terms 
ranging from  $500K to $2.5 million to finance up 
to 75% of allowable costs for eligible projects, with 
terms ranging from 5 to 10 years depending on 
industry sector. The amount loaned in fiscal year 
2015 was approximately $8.1 million.  Ongoing  
Ohio Direct 166 Loan 
Program  Development 
Services Agency  Loans  Recipients are projects related to commerce, 
manufacturing, distribution or research 
activities in targeted industries. Loans are for 
land and building acquisition, construction, 
expansion or  renova tion and equipment 
purchases for eligible businesses. Priority may 
be given to eligible projects based on job 
creation and payroll commitments, fixed asset 
investment commitment, project return on 
investment, project location and other project  
factors.  This program provides loans ranging from 
$500K  to $1.5 million, covering 20 -40% of total 
project investment.  Ongoing  
Ohio Entrepreneurial 
Signature Program  Development 
Services Agency  Services  Entrepreneurial companies in strategic 
technology -based sectors.  Assistance is in the form of comprehensive, 
coordinated region -based networks of high -value 
services and assistance providers that integrate 
sources of deal flow, entrepreneurial support and 
capital. The amount loaned in fiscal year 2015 was 
approximately $143,308,996.  Ongoing   
 G/SCM/N/372/USA  
 
- 173 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Ohio Motion Picture Tax 
Credit  Development 
Services Agency  Tax credit  Recipients are film, TV and video production 
companies.  This program provides a refundable franchise or 
income tax credit equal to 25 % of in -state 
spending and non -resident wages and 35 % of 
resident wages. The amount of tax credits issued 
in fiscal year 2015 was approximately 
$12,144,569.  Ongoing  
Ohio Pre Seed Fund 
Capitalization 
Program  Development 
Services Agency  Loan Funding goes to the highest scoring proposals 
to invest in the following technology areas:  
 
Advanced Materials related to advanced 
polymers, ceramics, composites, carbon fibers 
and nanotubes, and specialty metals and alloys;  
Aero propulsion Power  Managemen t; 
Fuel Cells and Energy  Storage;  
Medical Technology related to imaging, surgical 
instruments/equipment, implant devices, and 
regenerative medicine;  
Software Applications for business and  
healthcare;  
Sensing and Automation  Technologies;  
Situational Awarene ss and Surveillance  
Systems;  
Solar Photovoltaics.  This program provides non -recourse loans equal 
to the amount of private capital raised, up to 
$3 million. The amount provided in fiscal year 
2015 was approximately $81,334,057.  Ongoing  
Ohio R&D Investment 
Loan Servicing  Development 
Services Agency  Loan & tax credit  Recipients are Ohio businesses that create R&D 
capabilities and high -wage jobs. Eligible 
projects include those where R&D is undertaken 
to discover information that is technological in  
nature and the application is useful in the 
commercialization of a new or improved 
product, process, technique, formula or 
invention.  This program provides low -interest loans 
partnered with a tax credit.  Ongoing  
Ohio Advanced Energy 
Fund Development 
Services Agency  Loan Projects must be located in Ohio and in the 
service territories of one of the four participating 
electric distribution companies: American 
Electric Power, Duke Energy, Dayton Power and 
Light and First Energy. Eligible entit ies may 
apply through the Energy Loan  Fund.  Amounts under this program are based on entity 
type: (1) Manufacturers & Small Businesses: loan 
up to 80% of total project costs; and (2) Public 
Entities: loan up to 90% of total project costs. 
Typical loan amounts range from $50,000 - 
$5 million.  Ongoing  
Ohio Community 
Reinvestment 
Areas  Development 
Services Agency  Tax incentives  Recipients are companies that are making a new 
real property investment in a designated 
Community Reinvestment Area.  The company 
must formalize an agreement with the local 
community prior to going forward with the 
qualifying project.  This program provides a tax exemption of up to 
100% of the value of real property improvements 
for up to 15 years. Local legislative authority 
establishes terms and rates.  Ongoing  
Ohio Enterprise Zones  Development 
Services Agency  Tax incentives  Recipient businesses must finalize an Enterprise 
Zone Agreement prior to project initiation, 
agree to retain or create employment and 
establish, expand, renovate, or occupy a facility 
in an Enterprise Zone.  This program provides a property tax exemption 
up to 100 % for up to 15 years. In some instances, 
local school board approval may be required.  Ongoing   
 G/SCM/N/372/USA  
 
- 174 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Ohio Film Production 
Tax Credit  Development 
Services Agency  Tax credit  The credit is available to qualifying motion 
picture companies, as defined by statute. 
Eligible expenditures for a project must exceed 
$300,000 for the project to be eligible for a 
credit.  This program provides  a refundable tax credit of 
up to 25% of eligible expenses up to a maximum 
of $5 million per project. A total of $20 million in 
tax credits are available annually.  Ongoing  
Ohio Governor's Office 
of Appalachia 
Grants  Development 
Services Agency  Grant  The recipients under this program include 
various industries in the Appalachian Region.  In fiscal year 2015, approximately $8 million was 
spent under this program.  Ongoing  
Ohio Innovation Ohio 
Loan Fund (IOF)  Development 
Services Agency  Loan Recipients are established Ohio businesses with 
a proven operating history undertaking an 
investment project in targeted industry sectors.  The IOF can finance up to 75 % of a project's 
qualifying costs through loans in the range of 
$500,000 to $3 million.  Ongoing.  
Ohio Sales Tax 
Exemption  Development 
Services Agency  Tax exemption  The film industry is the recipient.  This program provides for no sales tax on hotel 
stay in excess of 30 days.  Ongoing  
Ohio Ohio Incumbent 
Workforce 
Training Voucher 
Program (IWTVP)  Development 
Services Agency  Grants  Recipients are companies that fall into one of 
the State's targeted industry sectors or key 
business functions: Advanced Energy and 
Environmental Technologies; Aerospace and 
Aviation; Agriculture and Food Processing; 
Bioscience and Bioproducts; Corporate and 
Professional Services; Distribution and 
Logistics; Instruments, Controls, and 
Electronics; Motor Vehicles and Parts  
Manufacturing.  The IWTVP will reimburse a portion of the 
grantee' s cost of approved training for full -time 
employees. The program provided approximately 
$29,398,154 in fiscal year 2015.  Ongoing through 
2015. 
Ohio Advanced 
Manufacturing 
Program (AMP) 
Grant  Development 
Services Agency  Grants  The grants under this program fund proposals 
from non -profit organizations, research 
institutions and universities in collaboration with 
Ohio manufacturers. Projects must have the 
material participation of two or more for -profit 
Ohio manufacturers that are licensed to do 
busine ss and have a principal place of business 
in Ohio, and actively engaged in post -revenue 
design, development, production, service or 
manufacturing operations in Ohio, and have 
established product or service lines in the 
market.  Awards range from $250,000 to  $500,000 for 
projects of up to 2 years in duration, with 
awardees required to provide matching funds on a 
1:1 basis. The amount spent in fiscal year 2015 
was approximately $39,958,822.  Ongoing  
Ohio Qualified Energy 
Project Tax 
Exemption  Development 
Services Agency  Tax exemption  The incentive is available to owners or lessees 
of qualifying projects, with large projects above 
5 MW requiring approval from each Board of 
County Commissioners where the project is 
located. If the project meets t he requirements 
of the exemption, then the Director of the Ohio 
Development Services Agency will certify the 
project as a Qualified Energy Project. Qualified 
Energy Projects remain exempt from taxation so 
long as they are completed within the statutory 
deadlines, meet the Ohio Jobs Requirement, 
and continue to meet several ongoing 
obligations including providing Development 
Services Agency with project information on an 
annual basis.  The amount of benefit is the amount of the 
exemption from public utility t angible personal 
property tax. No information available as to any 
caps on the benefit.  Ongoing   
 G/SCM/N/372/USA  
 
- 175 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Oklahoma  Aerospace 
Engineer Employer 
Tax Credits  Tax Commission; 
Aeronautics 
Commission; HB 
3239, 68 O.S. 
2357.301 - 
2357.304  Tax credit  House Bill 3239 provides that "qualified 
employees" and "qualified employers" may 
claim these tax credits.  A "qualified employer" 
is any legally recognized business entity such as 
a general or limited partnership, or a 
corporation, or a public entity whose principal 
busin ess activity involves the aerospace  sector.  The employer tax credit comes in two forms:  
 
Employer Tax Credit for Compensation Paid:  
Provides an annual income tax credit of up to 
5 years for qualified employers of 10% of the 
compensation paid to a qualified  employee with a 
degree from an Oklahoma university or college 
and 5% if the employee has a degree from outside 
Oklahoma. Credit cannot exceed $12,500 for each 
qualified employee annually.  
 
Employer Tax Credit for Tuition Reimbursement:  
Provides an annual income tax credit of up to 
4 years for qualified employers for tuition 
reimbursed to qualified employees. This credit 
shall be 50% of the tuition reimbursed to a 
qualified employee but cannot exceed 50% of the 
average annual tuition in a qualified program at a 
public university in Oklahoma. This credit may 
only be claimed if the qualified employee received 
his undergraduate or graduate degree within 
1 year of beginning employment with the qualified 
employer.  Program will 
terminate as of 
January  1, 2026. 
Oklahoma  Alternative Energy 
Sources Tax 
Credits  Tax Commission; 
68 O.S. 2357.32A 
and B SB 498, SB 
501 Tax credit  Recipients are producers of electricity utilizing 
alternative, zero -emission fuel. As of 
December  31, 2012, the program no longer 
covered small  wind turbine manufacturers. As of 
July 1, 2017, the program no longer covered 
new wind facilities.  Producers may receive a tax credit of 
50 one-hundredths of one cent per kilowatt -hour 
of electricity generated by facilities placed in 
operation between Jan uary 1, 2007 and before 
January 1, 2016. The tax credits will be for a 
period of 10 years and may be transferrable. For 
facilities placed in operation before 
January  1 2007, producers may receive a tax 
credit of 25 one -hundredths of one cent per 
kilowatt -hour of electricity generated between 
January 1, 2007 and before January 1,  2012.  
 
Small wind turbine manufacturers may earn a 
credit of $25 per square foot of rotor swept area 
starting in 2003. The credits are freely 
transferable and may be carried forward  10 years.  
Senate Bill 498 modifies an ad valorem  tax 
exemption for manufacturing by wind companies; 
SB 501 establishes a five -year step -down for 
zero-emission tax credits and sets a $6  million 
annual cap state-wide. Program ended 
December  31, 
2012, for small 
wind turbine 
manufacturers, 
and July 1, 2017, 
for all wind 
developments, 
but continues for 
others.   
 G/SCM/N/372/USA  
 
- 176 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Oklahoma  Five-Year General 
Property 
(Ad Valorem ) Tax 
Exemptions for 
Manufacturing and 
R&D Oklahoma Tax 
Commission; Title 
68 O.S.2902  
SB 498, SB 501  Tax exemption  Recipients include certain new/expanding 
manufacturers, R&D companies, computer 
services and data processing companies, 
aircraft repair companies, oil refineries, and 
certain wind power generators. Threshold 
requirements include: investment o f at least 
$250,000 and addition  of $250,000 in annual 
payroll in counties with a population of 75,000 
or less. If the company is located in a larger 
county, an annualized payroll of at least 
$1,000,000 is required.  
 
Certain types of wind power generators are 
exempt from the payroll requirement, if there is 
an increase of $2 million or more in capital 
improvements while maintaining or increasing 
payroll. Eligible property may include land, 
buildings, improvements, machinery, fixtures 
and equipment used dire ctly and exclusively in 
the primary activity or process of the facility 
site. As of November 1, 2017, new facilities that 
create at least 100 new jobs at the state index 
wage and invest at least ten times the 
investment cost in certain new depreciable 
property may choose to delay the exemption 
until January 1st of the year following the 
expiration of a tax exemption district.  The incentive is equal to the ad valorem  tax (the 
general property tax) otherwise payable on real 
property, which is collected by cou nty 
governments. The average effective tax rate for 
locally assessed property is about 1% of the value 
of the property. (Under Senate Bill 498, wind 
power generators will no longer qualify for the 
ad valorem tax exemption after the sunset date; 
SB 501 esta blishes a five -year step -down for zero 
emission tax credits and sets a $6 million annual 
cap state-wide.) Ongoing  
Oklahoma  Investment New 
Jobs Income Tax 
Credit  Oklahoma Tax 
Commissio nTitle 
68 O.S. § 2357.4  Tax credit  Recipients are manufacturing, aircraft 
maintenance facilities and various computer 
service industries.  The credit allowable in any year is limited to the 
employer's tax liability; any credit not used may 
be carried forward indefinitely.  Ongoing  
Oklahoma  Oklahoma Film 
Enhancement 
Rebate  Oklahoma Film and 
Music Commission 
68 O.S. 3624 
Compete with 
Canada Film Act  Rebate  The film industry is the recipient.  The program offers up to 35% rebate on 
Oklahoma expenditures to qualifying companies 
filming in the state, cappe d at $4 million per year.  
There is an additional 2 % rebate when $20,000 is 
spent on music recorded in  Oklahoma.  The provisions of 
the Compete with 
Canada Film Act 
shall be 
terminated 
effective 
July 1, 2024, and 
no claim shall be 
paid thereafter.  
Oklahoma  Sales Tax 
Exemption  Oklahoma Film and 
Music Office  Tax exemption  The film industry is the recipient.  This program provides a point of purchase (POP) 
tax exemption to qualified productions on sales 
taxes paid for property or services to be used in 
productions. The state 's current sales tax is 4.5%. 
Local taxes, which vary from city to city and 
county to county, average between 3% and 4%. 
The POP Tax Exemption cannot be used in 
conjunction with the 35% rebate.  Ongoing   
 G/SCM/N/372/USA  
 
- 177 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Oklahoma  Sales Tax Refunds 
for Computer -
related Products  Oklahoma Tax 
Commission 68 
O.S. 1357  Tax refund  Qualifying companies include:  
 
New or expanded aircraft maintenance and 
manufacturing facilities that create 250 or more 
jobs, with construction investment of $5 million 
and purchases of at least $2 million worth of 
computers and other listed  items.  
 
Research and development or computer 
services companies (SIC 7372 -7375, 8731 -
8734). Companies classified as SIC 7374 must 
attain a minimum of $100,000 purchases, when 
at least 50 % of the annual gross revenue of the 
business is generated by sales of products or 
services to an out -of-state buyer or consumer 
(includes the federal government); 75 % of 
annual gross income must result from computer 
services/data processing or research and  
development activities; and the company must 
employ at least 10 new workers at an average 
salary of $35,000 for at least three years.  The amounts vary.  Ongoing  
Oklahoma  Agricultural 
Commodity 
Processing Facility 
Income Tax 
Exemption  Tax Commission 68 
O.S. SS 2358 
[A][6]  Tax exemption  Recipients are owners investing in new or 
expanded agricultural commodity processing 
facilities for commodities that have not been 
touched by the manufacturing process. An 
example is milk from farm to dairy, but not 
processed milk from dairy to bakery.  The program provides a taxable income exclusion 
up to 15% of investment.  Ongoing  
Oklahoma  Construction 
Materials  Oklahoma Tax 
Commission; Title  
68 O.S. 1359[7] 
and 68 O.S. 
1357[17]  Sales tax 
exemption (68 
O.S. 1359[7]) or 
a sales tax 
refund (68 O.S.  
1357[17])  Eligible manufacturers include: (1) Facilities 
with construction costs exceeding $5 million 
that create 100 new manufacturing jobs and are 
maintained for a minimum of 36 months. 
Construction costs incl ude building and 
construction costs, and engineering and 
architectural fees, but not legal fees  
 
(2) Facilities with construction costs exceeding 
$10 million, and with combined total costs of 
material, construction, and machinery 
exceeding $50 million, which add 75 new 
employees who are retained for 36 months.  
 
(3) Facilities with construction costs exceeding 
$300,000,000 which maintain an employment 
level of at least 1,750 full time equivalent 
employees.  
 
(4) Qualified new or expanded aircraft 
maintenance and overhaul facilities that create 
250 or more jobs, with construction totaling at 
least $5  million.  The amount of the exemption varies based on 
eligible costs.  Ongoing   
 G/SCM/N/372/USA  
 
- 178 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Oklahoma  Enterprise Zones  Department of 
Commerce; Title 
62 O.S. 860  Mixed financing  Recipients are any type of manufacturing 
company locating in low income, high out -
migration, or high unemployment areas.  Loans can be for up to 100 % of the estimated cost 
of the building and equipment.  Ongoing  
Oklahoma  Local Incentive 
Districts  Department of 
Commerce; Local 
Governments; Title 
62 O.S. 860  Tax exemption  Recipients are companies in locally designated 
Incentive Districts. The exemption is allowed on 
new investment only and is not available to 
predominantly retail establishments.  The incentive is equal to the ad valorem  tax (the 
general property tax) otherwise payable on real 
property, which is collected by county 
governments. Exemptions are for five years unless 
the business is located in an Enterprise Zone - 
then, the exemption may be for up to six years. It 
may be extended for the sixth year only by 
agreement of all local taxing entities. Companies 
enrolled in the five year manufacturers exemption 
under 68 O.S. § 2902 are not eligible for the local 
incentive, nor are companies relocating from 
within the state.  Ongoing  
Oklahoma  21st Century 
Quality Jobs 
Program  Department of 
Commerce; Tax 
Commission; 68 
O.S. 3911  Grants  The program rewards businesses with a highly 
skilled, knowledge -based workforce.  All 
applicants must: (1) be within a qualifying basic 
industry; (2) create a minimum of 10 new direct 
jobs, i.e., jobs that did not exist in the state 
during the 6 -month period prior to application 
date; (3) offer a basic health insurance plan for 
employees; (4) pay an annual average wage of 
at least 300% of the county's average wage, but 
not exceeding the state index  wage.  The program allows for a net benefit rate of up to 
10% of payroll, with benefit claims submitted to 
the Oklahoma Tax Commission, which sets up a 
reimbursement account to monitor jobs, payroll 
and pay qualifying claims. At the time of the first 
incentive payment, the company pays the 
Department of Commerce an origination fee 
ranging from $2,500 to $7,500, dep ending on the 
maximum benefit amount.  Ongoing  
Oklahoma  Quality Jobs + 
Investment Tax 
Credits  Oklahoma Tax 
Commission SB 
1582 Tax credits  The incentive is available to companies in a 
qualifying industry, limited to manufacturing 
industries that presently qualify for Investment 
Tax Credits. Companies must make capital 
investments greater than $40 million within 
3 years of start date. Companies must offer 
wages greater than the state average wage.  The program provides a 2% tax credit per year for 
5 years, but may not exceed a net benefit rate of 
5% of new taxable payroll for the Investment Tax 
Credits portion, in addition to the Quality Jobs 
payments of the net benefit rate multiplied by the 
actual payroll of new direct jobs per calendar 
quarter. Af ter January 1, 2016, and ending on or 
before December 31, 2018, the total amount of 
credits authorized by this section used to offset 
tax shall be adjusted annually to limit the annual 
amount of credits to $25 million.  Ongoing as of 
November  1, 
2016.  
Oklahoma  Investment Tax 
Credit  Oklahoma Tax 
Commission, 
Oklahoma 
Department of 
Commerce, 68 OS 
2357.4  Tax credits  To be eligible, the investor must invest in 
depreciable property greater than $40 million, 
creating a net increase in the number of full time 
employees engaged in  manufacturing.  Credit is provided at 2% of the cost of qualifying 
property or $1000 per employee, for 5 years, but 
may not exceed a net benefit rate of 5% of new 
taxable payroll. After January 1, 2016, and ending 
on or before December 31, 2018, the total amount 
of credits authorized by this section used to offset 
tax shall be adjusted annually to limit the annual 
amount of credits to $25 million.  Ongoing   
 G/SCM/N/372/USA  
 
- 179 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Oklahoma  Gross Production 
Tax Rebate for 3D 
Seismic  Wells  Oklahoma Tax 
Commission, 
Oklahoma Policy 
Institute, IPAA  Tax rebate  This tax provision provides a rebate worth 
6/7ths of the 7% gross -production tax paid on 
oil and gas wells drilled using three -dimensional 
seismic technology, and for which production 
commenced after 1  July 2000. Oil and gas 
producers are eligible for a tax rebate with a 
maximum duration of 28 months from the date 
of first sale. New discovery wells must have 
been completed prior to 1 July 2014.  Revenue forgone averaged $2.67 million on a 
yearly basis fo r the period 2010 -2016. Amounts 
for 2019 and 2020 are currently unavailable.  Ongoing  
Oklahoma  Gross Production 
Tax Rebate for 
Economically At - 
Risk Wells  Oklahoma Tax 
Commission, 
Oklahoma Policy 
Institute, IPAA  Tax rebate  This tax provision provides a rebate worth 
6/7ths of the 7% gross -production tax paid on 
oil and gas produced from wells operating at a 
net loss or at a profit that is less than the total 
gross -production tax remitted during the 
previous calendar year.  Revenue forgone averag ed $3.07 million on a 
yearly basis for the period 2010 -2016. Amounts 
for 2019 and 2020 are currently unavailable.  Ongoing  
Oklahoma  Gross Production 
Tax Exemption for 
O&G Owned by 
Government  Oklahoma Tax 
Commission, IPAA  Tax exemption  This measure consists of an exemption of 
royalty interests from Oklahoma 's gross -
production and petroleum -excise tax for oil and 
gas companies owned by government entities 
(e.g. cities, counties, school districts, Indian 
tribes, state or federal government).  Subsidy am ount is the royalty interest exempted 
from gross - production and petroleum excise tax. 
Total amount of revenue forgone in 2019 was 
$11.10 million. The yearly average since 2010 was 
$4.05 million. The amount for 2020 is currently 
unavailable.  Ongoing  
Oklahoma  Gas Marketing 
Deduction Against 
Gross Production 
Tax Oklahoma Tax 
Commission  Tax deduction  This tax provision provides a deduction 
applicable against Oklahoma 's gross -production 
and petroleum -excise tax for certain 
non-production -related costs ass ociated with 
the marketing and transportation of natural gas.  Revenue forgone averaged $21.03 million on a 
yearly basis since 2010 and totaled $19.5 million 
in 2019. The amount for 2020 is currently 
unavailable.  Ongoing  
Oklahoma  Sales Tax 
Exemption for 
Electricity Used in 
Enhanced Oil 
Recovery  Oklahoma Tax 
Commission  Tax exemption  This measure exempts all sales of electricity 
used in enhanced - recovery methods for 
extracting oil (including fracking) from 
Oklahoma 's sales tax.  Revenue forgone averaged $1.07 million on a 
yearly basis during the period of 2010 -2016. 
Amounts for 2019 and 2020 are currently 
unavailable.  Ongoing  
Oklahoma  Cost of Complying 
with Sulphur 
Regulations  Oklahoma Tax 
Commission  Tax deduction  This tax provision allows eligible refineries in 
Oklahoma to allocate all or a portion of the cost 
of complying with sulphur regulations (issued by 
the Environmental Protection Agency) to their 
respective owners rather than incurring the 
corresponding corporate tax es at the refinery 
level. The rules can thus enable owners to 
transfer deductions to taxpayers facing higher 
marginal tax rates.  The benefit amount is the reduction in taxes 
resulting from the cost deduction. Revenue 
forgone data are currently unavailable.  Ongoing  
Oklahoma  Full Expensing of 
Capital 
Investments in 
Qualified New 
Refinery Capacity  Oklahoma Tax 
Commission  Tax deduction  This measure allows eligible investment costs in 
new, expanded, or upgraded refineries within 
the state of Oklahoma to be fully expensed in 
the year in which they are incurred.  The benefit amount is the reduction in taxes 
resulting from the full expensing of capital 
investments. Revenue forgone data are currently 
unavailable.  Ongoing   
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- 180 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Oklahoma  Excess of 
Percentage over 
Cost D epletion  Oklahoma Tax 
Commission  Tax deduction  This measure extends the corresponding federal 
provision for percentage depletion to 
Oklahoma 's corporation tax system. It allows oil 
and natural -gas producers operating in 
Oklahoma to calculate deductions from their 
taxable income based on a percentage of the 
gross value of the resources being extracted. 
Under normal income -tax treatment, producers 
would recover investment costs over time as 
resources are depleted. In the case of 
percentage deple tion, the sum of deductions 
can exceed the actual cost of investment. The 
State of Oklahoma limits the percentage 
depletion deduction to 50% of net income; this 
limitation applied only to major oil companies 
between 2001 and 2011. The Oklahoma 
percentage d epletion rate for oil and gas is 22%, 
higher than the 14% federal  rate. Revenue forgone in 2019 was $8.25 million, 
averaging $6.56 million on a yearly basis since 
2010. Amount for 2020 is currently unavailable.  Ongoing  
Oklahoma  Enhanced Oil 
Recovery 
Deduction  Oklahoma Tax 
Commission  Tax exemption  This tax provision took effect in 1988 and can 
be claimed by any eligible oil producer with an 
approved enhanced oil recovery operation. It 
provides an exemption from gross - production 
and petroleum -excise tax on incremental 
production for up to five years for secondary 
recovery projects, and up to ten years for 
tertiary recovery projects.  Revenue forgone averaged $325,167 on a yearly 
basis for the period 2010 -2016. Data for later 
years are currently unavailable.  Ongoing  
Oklahoma  Gross Production 
Tax Rebate for 
Horizontally 
Drilled Wells  Oklahoma Tax 
Commission  Tax exemption  This tax provision took effect in 1988 and can 
be claimed by any eligible oil producer with an 
approved enhanced oil recovery operation. It 
provides an exemption from gross - production 
and petroleum -excise tax on incremental 
production for up to five years for secondary 
recovery projects, and up to ten years for 
tertiary recovery projects.  Revenue forgone averaged $26.84  million on a 
yearly basis for the period 2010 -2016. Amounts 
for later years are currently unavailable.  Ongoing  
Oklahoma  Gross Production 
Tax Rebate for 
Reestablished 
Production  Oklahoma Tax 
Commission, 
Oklahoma Policy 
Institute, IPAA  Tax rebate  This tax provision provides a rebate worth 
6/7ths of the 7% gross -production tax paid on 
oil and gas produced from wells that have been 
inactive for at least one year, and for which 
production commenced after 1 July 1994. Oil 
and gas producers are eligible for a tax rebate 
for a maximum duration of 28 months starting 
when production is re -established. 
Re-established production wells must have been 
completed prior to 1 July  2014.  Revenue forgone averaged $625,278 on a yearly 
basis for the period 2010-2016. Amounts for later 
years are currently unavailable.  Ongoing   
 G/SCM/N/372/USA  
 
- 181 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Oklahoma  Gross Production 
Tax Rebate for 
Production 
Enhancement  Oklahoma Tax 
Commission, 
Oklahoma Policy 
Institute, IPAA  Tax rebate  This tax provision provides a rebate worth 
6/7ths of the 7% gross -production tax paid on 
oil and gas incremental production from 
production -enhancement wells, and for which 
production commenced after 1 July 1994. Oil 
and gas producers are eligible for a tax rebate 
for a maximum duration of 28 month s starting 
on the date of the first sale after project 
completion. Production -enhancement wells 
must have been completed prior to 1 July  2014.  Revenue forgone averaged $4.39 million on a 
yearly basis for the period 2010 -2016. Amounts 
for later years are currently unavailable.  Ongoing  
Oklahoma  Gross Production 
Tax Rebate for 
Deep and Ultra 
Deep Wells  Oklahoma Tax 
Commission, 
Oklahoma Policy 
Institute, IPAA  Tax rebate  This item groups estimates for two distinct tax 
provisions that allow a rebate worth 6/7ths of 
the 7% gross -production tax paid on oil and gas 
incremental production from deep and 
ultra-deep wells.  
 
The first provision concerns certain deep wells 
having a depth of 12,500 to 14,999 feet, and for 
which production must have started after 
1 July 1997. Deep wells must have been 
completed prior to 1 July 2014 and a rebate is 
available for a period of up to 28 months from 
the date of first sales. The second provision 
concerns ultra -deep wells having a depth of 
15,000 to 17,499 feet, and for which production 
must have started after 1 July 2002. Ultra -deep 
wells must have also been completed prior to 
1 July 2015, and the corresponding rebate is 
then available for a period of 48 months from 
the date of first sales. In addition, those wells 
that are de eper than 17,500 feet attract rebates 
for a period of up to 60 months. Payments under 
these provisions are capped at USD 25 million 
annually, with excess claims reduced pro -rata. 
Starting from 1 July 2011, ultra -deep wells are 
now taxed at 4% and payments uncapped.  Revenue forgone averaged $5.41 million on a 
yearly basis for the period 2010 -2016. Amounts 
for later years are currently unavailable.  Ongoing  
Oklahoma  Gross Production 
Tax Rebate for 
New Discovery 
Wells  Oklahoma Tax 
Commission, 
Oklahoma Policy 
Institute, IPAA  Tax rebate  This tax provision provides a rebate worth 
6/7ths of the 7% gross -production tax paid on 
oil and gas produced from new discovery wells 
for which production commenced after 
1 July 1995. Oil and gas producers are eligible 
for a tax rebate for a maximum duration of 
28 months from the date of first sales. New 
discovery wells must have been completed prior 
to 1 July 2014. Eligible oil wells must also be a 
mile distant from the nearest existing well 
(two miles in the case of natu ral-gas wells).  Revenue forgone averaged $105,556 on a yearly 
basis for the period 2010 -2016. Amounts for later 
years are currently unavailable.  Ongoing   
 G/SCM/N/372/USA  
 
- 182 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Oregon  Business 
Development Fund  Business Oregon  Loan Recipients include any non -retail business - a 
preference is given to businesses with fewer 
than 100 employees located in rural areas or 
"distressed" areas.  This program provides for a maximum of 40 % 
Oregon Business Development Fund participation.  
The maximum loan size is $1,000,000. The t erm 
of the loan cannot exceed the useful life of the 
collateral or 20 years, whichever is less.  The 
interest rate is one point above the current yield 
of U.S. Treasury securities of a comparable term, 
with a 1.5% origination  fee. Ongoing  
Oregon  Greenlight Labor 
Rebate  The Governor's 
Office of Film & 
Television 
Development  Cash rebate  Recipients include eligible productions for film or 
television.  This program provides qualifying productions a 
cash rebate of up to 6.2 % of wages paid to 
Oregon -based production personnel. The amount 
available for cash rebates is $7.5 million annually.  Ongoing  
Oregon  Long-term rural 
enterprise zone 
facility exemption  Local/tribal 
governments, 
Department of 
Revenue & 
Business Oregon  Proper ty tax 
abatement  Recipients include any facility meeting special 
criteria in a designated rural zone and inside a 
county with chronic unemployment or lower 
income.  The incentive is seven to 15 consecutive years of 
full relief from assessment of all local property 
taxes on new facility property. Local 
approval/agreement is mandatory.  Ongoing  
Oregon  Oregon 
Investment 
Advantage  Business Oregon & 
Department of 
Revenue  Income tax 
reduction  Recipients must create at least five new 
full-time jobs, the operations must be the first 
of their kind in Oregon, and must be located 
inside an eligible county, about 14 of the state 's 
more rural counties out of a total of 36.  The income attributable to new operations in a 
qualifying facility may be exempt from sta te 
taxable income.  Ongoing  
Oregon  Standard 
enterprise zone 
exemption  Local/tribal 
governments, 
Department of 
Revenue & 
Business Oregon  Property tax 
abatement  Recipients include any eligible (non -retail, etc.) 
business in any of 75 or more enterprise zone 
designations found throughout the state . Increased hiring entitles a business to 100 % 
abatement on qualified, new plant & equipment. 
Exemptions last from three to five years, 
depending on local approval/criteria.  Ongoing  
Oregon  Strategic 
Investment 
Program  Local/tribal 
governments, 
Department of 
Revenue & 
Business Oregon  Property tax 
abatement  Recipients include any business in traded -sector 
industry.  This program provides an exemption from 
property tax on new investment in exces s of the 
taxable portion. The taxable portion starts at 
$25 million, $50 million, or $100 million in rural 
areas and $100 million in urban areas. Business 
must also pay a community service fee equal to a 
portion of the tax savings. Local additional 
require ments commonly apply.  Ongoing  
Oregon  Refunds Generally 
(ORS 319.280(a))  Department of 
Revenue  Tax refund  Commercial operators of boats are eligible.  Refund of the tax paid on the purchase of fuel used 
for the purpose of operating or propelling a motor 
boat, if the motor boat in used for commercial 
purposes.  Ongoing  
Pennsylvania  Alternative Fuels 
Incentive Grants  Act 178  Grants  Recipients include qualified renewable fuel 
producers.  This program provides reimbursement of up to 
$0.05/gal of renewable fuels produced in a 
calendar year up to 12,500,000 gals total.  Ongoing  
Pennsylvania  Ben Franklin 
Technology 
Development 
Authority (BFTDA) 
Technology 
Company 
Investment 
Program  Department of 
Community and 
Economic 
Development  Loan Recipients include businesses that fall within 
identified SIC or NAICS codes.  The amounts vary.  Ongoing   
 G/SCM/N/372/USA  
 
- 183 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Pennsylvania  Ben Franklin 
Technology 
Development 
Authority 
(BFTDA) -Venture 
Investment 
Program  Department of 
Community and 
Economic 
Development  Loan The recipients include businesses involved in 
technology or life sciences.  The amounts vary.  Ongoing  
Pennsylvania  Ben Franklin 
Technology 
Partners  Department of 
Community and 
Economic 
Development  Loan and grant  Recipients include start-up or existing 
companies which are technology oriented or 
involved in research and development.  Incentives range from $5,000 to $250,000.  Ongoing  
Pennsylvania  Building PA -Real 
Estate 
Development Fund  Community 
Financing Authority  Loan Focused on industrial, commercial and multi -
use projects, the program supports the 
acquisition, development, redevelopment, and 
revitalization of communities. In addition, in 
order to focus capital investments in 
traditionally underserved areas, 50% of the 
funds have  been earmarked for those real 
estate projects located in areas other than cities 
of the first and second class.  Building PA will provide a total of $150 million, 
which will be matched by the private investors 
looking to facilitate projects within the stat e. Ongoing  
Pennsylvania  Business 
Opportunities 
Fund (BOF)  Department of 
Community and 
Economic 
Development  Loan Any small business may apply, but the program 
will give priority to small businesses requiring 
capital and technical assistance in order to 
compete for governmental and private sector 
contracts. This program is open to businesses 
located in the following counties: Adams, 
Allegheny, Armstrong, Beaver, Berks, Butler, 
Chester, Clarion, Crawford, Cumberland, 
Dauphin, Erie, Fayette, Franklin, Green e, 
Indiana, Lancaster, Lawrence, Lebanon, Lehigh, 
Mercer, Montgomery, Northampton, Perry, 
Washington, Westmoreland and York.  The amounts vary.  Ongoing  
Pennsylvania  Community 
Economic 
Development Loan 
Program  Department of 
Community and 
Economic 
Development 
(DCED)  Loan Recipients include for -profit small businesses 
(100 employees or less) that are located in a 
DCED designated distressed community, 
Keystone Opportunity Zones.  This program provides loans up to $100,000 or 
50% of total eligible proje ct cost, whichever is 
less. There is a 2% interest rate, with flexible 
terms.  Ongoing  
Pennsylvania  Film Tax Credit 
Program  Department of 
Community and 
Economic 
Development  Tax credit  Projects eligible for tax credits under the 
program include: the production of a feature 
film, a television film, a television talk or game 
show series, a television commercial, a 
television pilot or each episode of a television 
series intended as programming for a national 
audience.  The amount of the tax credit availab le for an 
eligible project is equal to 25 % of qualified 
Pennsylvania production expenses for the project.  Ongoing   
 G/SCM/N/372/USA  
 
- 184 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Pennsylvania  Keystone 
Innovation Zone 
(KIZ) Tax Credits  Department of 
Community and 
Economic 
Development  Tax credit  Recipients include for-profit business entities: 
1) located within the geographic boundaries of 
a particular KIZ; 2) in operation less than 
8 years; 3) operating within one of the KIZ 
targeted industry segments or sectors; 4) and 
meeting any other requirements as specified b y 
the DCED, may be qualified KIZ Companies and 
eligible to participate in the KIZ Tax Credit  
Program.  A KIZ company may claim a tax credit equal to 
50% of the increase in that KIZ Company 's gross 
revenues in the immediately preceding taxable 
year attributable to activities in the KIZ, over the 
KIZ Company 's gross revenues in the second 
preceding taxable year attributable to its activities 
in the KIZ. The KIZ Tax Credit is limited to 
$100,000 annually per KIZ company, a total pool 
of up to $25 milli on in tax credits is available to all 
KIZ companies annually.  Ongoing  
Pennsylvania  Keystone 
Opportunity Zone 
(KOZ)  Department of 
Community and 
Economic  
Development  Tax 
abatement/reduc
tion Recipients are businesses, property owners or 
residents located in one of the 12 designated 
zones.  This program provides abatement of sales, 
corporate, and other taxes in varying amounts.  Ongoing  
Pennsylvania  Neighborhood  
Assistance, 
Enterprise Zone 
Tax Credit (NAP -
EZP) Department of 
Community and 
Economic 
Development  Tax credit  Recipients include any private company with an 
investment located in an enterprise zone.  The tax credits equal 25% of the amount invested; 
up to $ 500,000 total tax credits per project; up to 
35% tax credit for a priority project.  Ongoing  
Pennsylvania  Pennsylvania 
Industrial 
Development 
Authority (PIDA)  Department of 
Community and 
Economic 
Development  Loan Recipients are companies in: manufacturing; 
industrial; research and development; 
agricultural processors; and, firms establishing 
a national or regional headquarters.  This program provides loans up to $2 million 
(within Enterprise Zones, Act 47 Industrial 
Communities, Brownfield Sites, and Keystone 
Opportunity Zones, loans up to $2.25 million). No 
more than 30% to 70% of total eligible project 
costs, based on firm size and unemployment rate, 
is allowed.  Ongoing  
Pennsylvania  Second Stage 
Loan Program  Department of 
Commu nity and 
Economic 
Development  Loan guarantees  Recipients include 2 -7 year old manufacturing, 
biotech, and technology -oriented companies . For first two years, this program covers 50% of 
outstanding principal up to $1 million; after the 
first two years, 25% of the outstanding principal 
amount is covered.  Ongoing  
Pennsylvania  The Pennsylvania 
Regional Cente r-
New American 
Development Fund  Department of 
Community and 
Economic 
Development  Loans  Recipients include creditworthy developers, 
businesses and other enterprises with projects 
to be located within the boundaries of 
Pennsylvania 's federally -designated EB5 
regional center. Projects must generally be 
located in either a rural area or an area of high 
unemployment or economic distress.  This program provides loans not less than 
$1,000,000 with no upper limit. In general, 
$500,000 may be borrowed for every 10 new 
direct or indirect jobs that the borrower can 
demonstrate the project will create.  Ongoing   
 G/SCM/N/372/USA  
 
- 185 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Pennsylvania  Renewable Energy 
Program  (REP) – 
Geothermal and 
Wind Projects  The program is 
administered 
jointly by the 
Department of 
Community and 
Economic 
Development 
(DCED) and the 
Department of 
Environmental 
Protection (DEP) 
under the direction 
of the 
Commonwealth 
Financing Authority 
(CFA) . Loans, loan 
guarantees, and 
grants  Recipients include geothermal and wind energy 
equipment manufacturers and operators of 
geothermal and wind energy generators.  Loans for component manufacturers of renewable 
energy generation equipment up to $40,000 for 
every new job created. Loans for geothermal 
systems or wind energy generation or distribution 
projects shall not exceed $5 million or 50 % of the 
total project cost, whichever is less.  Grants for 
component manufacturers of renewable energy 
generation equipment up  to $5,000 for every new 
job created. Grants for wind energy  generation or 
distribution projects up to $1 million, or 30 % of 
the total project cost, whichever is less. Grants for 
planning and feasibility studies up to 50 % of the 
total cost of the planning project or $175,000, 
whichever is less. Guarantees shall not  exceed 
$5 million and have a term of not more than five 
years. In the event of a default, the grant will pay 
up to 75 % of the deficiency.  Ongoing  
Pennsylvania  Solar Energy 
Program (SEP)  The program is 
administered 
jointly by the 
Department of 
Community and 
Economic 
Development 
(DCED) and the 
Department of 
Environmental 
Protection (DEP) 
under the direction 
of the 
Commonwealth 
Financing Authority 
(CFA).  Grants and loans  Recipients include solar energy equipment 
manufacturers and operators of solar energy 
generators . Loans for component manufacturers of solar 
energy generation equipment may be up to 
$35,000 for every new job created within 
three  years after approval of the loan. Loans for 
solar energy generation or distribution projects 
shall not exceed $5 million or $2.25 per watt, 
whichever is less. Grants fo r component 
manufacturers of solar energy generation 
equipment may be up to $5,000 for every new job 
created by the business within three years after 
approval of the grant. Grants for solar energy 
generation or distribution projects, solar research 
and dev elopment facilities, and solar thermal 
projects shall not exceed $1 million or $2.25 per 
watt, whichever is less. Grants for planning and 
feasibility studies shall not exceed 50 % of the total 
cost of the planning project  or $175,000, 
whichever is less.  Ongoing  
 G/SCM/N/372/USA  
 
- 186 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Pennsylvania  Alternative Clean 
Energy Program 
(ACE)  The program is 
administered 
jointly by the 
Department of 
Community and 
Economic 
Development 
(DCED) and the 
Department of 
Environmental 
Protection (DEP), 
under the direction 
of the 
Commonwealth 
Financing Authority 
(CFA).  Grants and loans  Recipients include manufacturers of alternative 
and/or clean energy generation equipment and 
operators of alternative and/or clean energy 
generation projects.  Loans for manufacturers of alternative a nd/or 
clean energy generation equipment or 
components shall not exceed $40,000 for every 
new job created within three years after approval 
of the loan. Loans for any alternative energy 
production or clean energy project shall not 
exceed $5 million or 50 % of the total project cost, 
whichever is less. Grants for manufacturers of 
alternative and/or clean energy generation 
equipment or components shall not exceed 
$10,000 for every job projected to be created by 
the business within three years after approval of 
the grant. Grants for any alternative energy 
production or clean energy project shall not 
exceed $2 million or 30 % of the total project cost, 
whichever is less.  Ongoing  
Pennsylvania  Realty -Transfer 
Tax Exemption for 
Resource Leases  Pennsylvania 
Department of 
Revenue  Tax Exemption  Recipients are entities which are engaged in the 
transfer of real estate leases for the extraction 
of oil, natural gas, coal, and minerals in 
Pennsylvania. Both grantor and grantee are held 
jointly and sever ally liable for payment of the 
tax. Incentives under this program reduce the transfer 
tax paid on real estate by the amount of the 
exemption. The real estate transfer tax in 
Pennsylvania is imposed at a rate of 1% of the 
value of the real estate.  
No values  available for 2018 or 2019  Ongoing  
Puerto Rico  International 
Financial Entities 
(Section 2041.01 
of Act 60 -2019)  Puerto Rico 
Department of 
Economic 
Development and 
Commerce 
("DEDC") and the 
Incentives Office 
for Businesses in 
Puerto Rico within 
the DEDC  Tax Exemptions  International Financial Entities ( "IFEs") are 
licensed and regulated by the Office of the 
Commissioner of Financial Institutions of Puerto 
Rico. Coupled with a robust U.S. and local legal 
and regulatory framework, tax incentives for 
IFEs make Puerto Rico an attractive jurisdiction 
for offering financial products and services to 
clients around the globe.  Incentives under this program include:  
-4% fixed Puerto Rico income tax rate on 
authorized eligible activities;  
 
-100% exemption on dividend distributions to 
foreign shareholders;  
-6% dividend tax on distributions to Puerto Rico 
resident shareholders;  
-75% exemption on personal and real property tax 
used in eligible activities;  
-50% exemption on municipal taxes, including 
municipal license tax upon volume of business, 
with respect to eligible  activities.  
Additional Benefits:  
The income derived by a foreign corporation or 
partnership consisting of the interests, financing 
charges, dividends, or participation in partnership 
benefits coming from IFEs that have a grant under 
Act 60 -2019 and comply with the provisions of the 
"International Financial Center Act", shall not be 
subject to the following taxes imposed by 
subsection (A) of paragraph (1) of section (a) of 
Section 1092.0 1 of the Puerto Rico Internal 
Revenue Code of 2011, as amended:  
-29% on interests, finance charges, and 
participation in partnership distributions;  
-10% on  dividends.  Ongoing  
 
Note: The eligible 
business must 
hold a grant of 
tax exemption 
issued by DEDC 
for an exemption 
period of fifteen 
(15) years; said 
tax grant may be 
extended for  
(15) additional 
years.   
 G/SCM/N/372/USA  
 
- 187 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Puerto Rico  Businesses 
Engaged in 
Infrastructure 
(Section 
2071.01(1) -(5) of 
Act 60 -2019)  Puerto Rico 
Department of 
Economic 
Development and 
Commerce 
("DEDC") and the 
Incentives Office 
for Businesses in 
Puerto Rico within 
the DEDC  Tax exemptions  The Government of Puerto Rico offers attractive 
incentives and significant tax benefits to 
stimulate the rehabilitation and development of 
property loc ated in Puerto Rico Historical Zones 
and affordable housing designated for moderate 
to low - income families and eligible senior  
citizens.  Incentives under this program include:  
-4% fixed preferential income tax rate on eligible  
activities;  
-4% fixed tax rate on the gain obtained from the 
sale or exchange of shares or  assets;  
-100% exemption on personal and real property 
taxes for property used on eligible activities, 
except for "Assisted Living " projects, that have a 
90% exemption;  
-90% exemption from mun icipal license and other 
municipal taxes on eligible  income;  
-90% exemption from municipal taxes, duties, 
construction excise taxes, or any other fee 
imposed by any municipality over construction 
works. This applies to contractors and 
subcontractors of the  Exempt Business, not 
including the contractor 's and subcontractor 's 
municipal license tax over the volume of business 
related to the  construction;  
-12% fixed tax rate on payments made to foreign 
persons not engaged in a trade or business in 
Puerto Rico fo r the use of royalties and licensing 
rights.  Ongoing.  
 
Note: The eligible 
business must 
hold a grant of 
tax exemption 
issued by DEDC 
for an exemption 
period of fifteen 
(15) years; said 
tax grant may be 
extended for 
(15) additional 
years.   
 G/SCM/N/372/USA  
 
- 188 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Puerto Rico  Businesses 
Engaged in Green 
Energy (Section 
2071.01(6) -(10) 
of Act 60 -2019)  Puerto Rico 
Department of 
Economic 
Development and 
Commerce 
("DEDC") and the 
Incentives Office 
for Businesses in 
Puerto Rico within 
the DEDC  Tax exemptions  Addressing the critical need to reduce the 
environmental impact of economic activities, 
the Government of Puerto Rico offers significant 
tax benefits to stimulate the creation of 
businesses engaged in renewable energy 
generation.  
 
Recipients include any business engaged in the 
production and sale, at a commercial level, of 
green energy for consumption in Puerto Rico, 
whether as the owner and direct operator of the 
production unit or as owner of a production unit 
operated by another  person.  Incentives under this program include:  
-4% fixed preferential income tax rate on eligible  
activities;  
-4% fixed tax rate on the gain obtained from the 
sale or exchange of shares or  assets;  
-75% exemption from personal and real property 
taxes for property used in the development, 
organization, c onstruction, establishment, or 
operations of the Eligible  Business;  
-50% exemption from municipal license tax, 
municipal excise tax, and other municipal taxes 
imposed by municipal  ordinance;  
-75% exemption from municipal and state 
property taxes on Renewab le Energy Certificates 
(known as "CERs" for its Spanish acronym). 
Exemption from municipal taxes, duties, 
construction excise taxes, or any other fee 
imposed by any municipality over construction 
works. This exemption applies to contractors and 
subcontract ors of the Exempt Business, not 
including the contractor 's and subcontractor 's 
municipal license tax over the volume of business 
related to the  construction;  
-100% Exemption from excise tax and Sales and 
Use Tax on raw material and machinery and 
equipment to be used in the production of Green 
or Highly Efficient Energy or used in the handling 
of raw materials within the exempt business  
premises;  
-12% fixed tax rate on payments made to foreign 
persons not engaged in a trade or business in 
Puerto Rico for the use of royalties and licensing 
rights.  Ongoing.  
 
Note: The eligible 
business must 
hold a grant of 
tax exemption 
issued by DEDC 
for an exemption 
period of fifteen 
(15) years; said 
tax grant may be 
extended for 
(15) additional 
years.   
 G/SCM/N/372/USA  
 
- 189 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Puerto Rico  Companies 
Engaged in 
Agriculture, the 
Livestock 
Industries, and 
Agro- industries 
(Section 2081.01  
of Act  60-2019)  Puerto Rico 
Department of 
Economic 
Development and 
Commerce 
("DEDC") and the 
Incentives Office 
for Businesses in 
Puerto Rico within 
the DEDC  Tax exemptions  Prioritizing the development and growth of the 
agroindustry 's business, the Government of 
Puerto Rico offers ample tax exemptions and 
incentives aiming to counterbalance the 
economic challenges confronted by this 
industry.  Incentives under th is program include:  
-90% exemption from income tax imposed on 
income directly related to an eligible business of a 
bona fide farmer;  
 
-100% exemption from personal and real property 
tax for bona fide farmers engaged in eligible 
activities, if the property is owned or leased and 
used by 35% in the eligible  activity;  
 
-100% exemption on municipal license tax; and 
exemption on excise tax and sale and use tax for 
articles acquired and used by a bona fide farmer 
on certain activities related to the elig ible 
business;  
 
-100% income tax exemption on the interest 
income received from bonds, promissory notes, 
and other debt instruments issued by bona fide 
farmers and financial institutions under 
Act 4-1985, as amended, or issued on 
transactions authorized by  the Commissioner of 
Financial Institutions related to the financing of 
agroindustry 's businesses.  Ongoing.  
 
Note: The eligible 
business must 
hold a grant of 
tax exemption 
issued by DEDC 
for an exemption 
period of fifteen 
(15) years; said 
tax grant may be 
extended for 
(15) additional 
years.   
 G/SCM/N/372/USA  
 
- 190 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Puerto Rico  Businesses 
Engaged in 
Creative 
Industries 
(Section 2091.01 
of Act  60-2019)  Puerto Rico 
Department of 
Economic 
Development and 
Commerce 
("DEDC") and the 
Incentives Office 
for Businesses in 
Puerto Rico within 
the DEDC  Tax credits and 
exemptions  With a diverse range of attractive locations for 
film projects throughout Puerto Rico, the 
Government offers competitive incentives to 
develop its creative industry and generate new 
sources of employment in Puerto  Rico. Incentives under this program include:  
4% fixed preferential income tax rate on eligible  
activities;  
 
75% exemption on property taxes for property 
used on eligible activities; - 
 
 75% exemption from the payment of any 
municipal tax, encumbrance, license, excise tax, 
dues or fees on construction works to be used in 
eligible activities within the municipality applicable 
to the exempt business as well as to its 
contractors and subcont ractors;  
 
100% exemption on municipal license and any 
other municipal tax on income, with respect to 
eligible activities imposed by municipal ordinance; 
100% exemption on sales and use tax for tangible 
property introduced or purchased by grantee and 
used i n eligible activities when said property 
remains temporarily in Puerto Rico.  
 
Transferrable Tax Credits for Film Projects:  
40% tax credit on production costs payments 
made to residents of Puerto Rico;  
 
20% tax credit on production costs payments 
made to non-residents  of Puerto Rico; 15% tax 
credit on payments made to residents of Puerto 
Rico, for feature films, short films, and 
documentaries in which a local producer is in 
charge of the project, and either the director, 
cinematographer, editor, production designer, 
post-production supervisor, or the line producer is 
a resident of Puerto Rico. Up to a maximum credit 
of $4 million per Film Project.  Ongoing.  
 
Note: The eligible 
business must 
hold a grant of 
tax exemption 
issued by DEDC. 
The exemption 
period for a Film 
Project, will be 
granted in a term 
equivalent to the 
duration of the 
project, including 
its exploitation. 
For studio 
operators the tax 
exemption grants 
have an effective 
term of fifteen 
(15) years.   
 G/SCM/N/372/USA  
 
- 191 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Puerto Rico  Young 
Entrepreneurs 
(Section 2100.01 
of Act 60-2019)  Puerto Rico 
Department of 
Economic 
Development and 
Commerce 
("DEDC") and the 
Incentives Office 
for Businesses in 
Puerto Rico within 
the DEDC  Tax exemptions  Prioritizing the development and growth of new 
businesses of Young Entrepreneurs who enter 
into a Youth Business Creation Agreement, as 
defined in Act 60 -2019, with the Secretary of 
the DEDC by offering ample tax exemptions and 
incentives aiming to counterbalance the 
economic challenges and the startup costs.  Incentives under this program includ e: 
100% for the first five hundred thousand dollars 
($500,000) of their net income subject to 
taxation. Any net income generated by new 
businesses in excess of first five hundred thousand 
dollars ($500,000) shall be subject to the regular 
tax rates established in the Puerto Rico Internal 
Revenue Code, as  amended;  
 
100% exemption from real property  tax; 
 
100% exemption on municipal license  tax. Ongoing.  
 
Note: The eligible 
business must 
hold a grant of 
tax exemption 
issued by DEDC. 
The exemption 
period to enjoy 
these tax 
exemptions shall 
be during the first 
three (3) years 
from the 
commencement 
of operations.  
Puerto Rico  Priority Projects 
within opportunity 
zones (Sections 
6070.54 - 
6070.69 of Act  60-
2019).  Puerto Rico 
Department of 
Economic 
Development and 
Commerce 
("DEDC") and the 
Incentives Office 
for Businesses in 
Puerto Rico within 
the DEDC  Tax credits and 
exemptions  As the largest contiguous Opportunity Zone in 
the United States, the Government of Puerto 
Rico aims to position itself as a n incomparable 
investment destination for Opportunity Zone 
Funds that invest in Puerto Rico. Incentives are 
built upon a robust legal and regulatory 
framework designed to establish the right 
environment for the development of local and 
foreign capital in P uerto Rico.  Incentives under this program include:  
18.5% fixed income tax rate on opportunity zone 
net income and license fee payments made to 
foreign entities not engaged in a trade or business 
in Puerto  Rico; 
100% exemption on dividend  distributions;  
100% lenders have a total tax exemption on 
interest payments received from the exempt 
business with respect to bonds, promissory notes, 
or other obligations used for development, 
construction, or rehabilitation of the  business;  
25% exemption on property taxes  and municipal 
license taxes. May be increased up to 75% by 
municipal  ordinance;  
5% guaranteed transferrable investment tax 
credit issued to investors on eligible investment 
made in cash which may be increased up to  25%.  
Tax Credits for the Priority Projec t In Opportunity 
Zones:  
A 5% incremental tax credit will be granted in 
connection to an eligible investment in a exempt 
business up to a maximum 25% tax credit on 
eligible investment.  
Act 60 -2019 allows the Investor to use the credit 
in four (4) installmen ts: 
25% of the credit in the year the Exempt Business 
finished the total construction of the Priority 
Project, or had made a significant expansion in the 
constructed real estate or in the exempt business, 
or, in the case the Priority Project does not requi re 
construction, when the Exempt Business starts 
operations, whichever is later,  and 25% of the 
remaining balance of the tax credit in the next 
three (3) subsequent years.  Ongoing.  
 
Note: The eligible 
business must 
hold a grant of 
tax exemption 
issued by D EDC 
for an exemption 
period of fifteen 
(15) years.   
 G/SCM/N/372/USA  
 
- 192 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Rhode Island  ReBuild RI Tax 
Credit Programs  RI Commerce  Tax Credit/ 
Incentive  Application based, focus on targeted industries . Rebuild Rhode Island Tax Credits may be available 
for up to 20% of total project costs. The credits 
are paid out to the applicant in five equal 
disbursements following the issuance of a 
certificate of occupancy. Rebuild Rhode Island Tax 
Credits cannot exceed the amount of any 
demonstrated financing gap, which includes an 
amount  necessary to gain a competitive 
advantage over a viable comparable location in 
another state.  Sunset Date  
June 2021 
Rhode Island  Qualified Jobs Tax 
Credit Programs  RI Commerce  Tax Credit/ 
Incentive  Application based, focus on targeted industries . Companies expanding their workforce in 
Rhode  Island or relocating jobs from out of state 
can receive annual, redeemable tax credits for up 
to 10 years with the Qualified Jobs Incentive 
program.  
 
Credits can equal up to $7,500 per job per year, 
depending on the wage level and other criteria. 
The minimum number of new jobs needed to 
qualify varies by industry and company size, but 
can be as few as 10 -20. Sunset Date 
June 2021 
Rhode Island  Biotechnology 
investment tax 
credit  Rhode Island 
Division of 
Taxation  Tax Credit  Biotech R&D or manufacturing . Any company primarily engaged in commercial 
biological research and development or 
manufacturing and sale of biotechnology products 
or active pharmaceutical ingredients shall be 
allowed a  credit of 10.0 % of the cost or other basis 
for federal tax purposes of tangible personal 
property, excluding vehicles and furniture, and 
other tangible property with situs in Rhode Island 
and principally used in the production of 
biotechnology products  Ongoing  
Rhode Island  Film and 
Television Tax 
Credit  The Rhode Island 
Film & Television 
Office  Tax credit  The recipient is the film industry.  30% of state certified production costs incurred 
directly attributable to activity within the state. 
There is a $20M annual cap. There is also a 
$7M cap per project, which can be waived  for 
qualifying motion picture and TV productions.  Ongoing   
 G/SCM/N/372/USA  
 
- 193 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Rhode Island  High Performance 
Manufacturing 
Investment Tax 
Credit  Rhode Island 
Division of 
Taxation  Tax Credit  For high performance manufacturers; computed 
as provided in this chapter against a tax 
imposed by chapters 11, 12, 13, 14, 17, and 30 
of this . General manufacturers are provided with a  credit 
of 4.0 % of the cost or qualified amounts for leased  
assets of tangible personal  property and buil dings 
and structural components of buildings  provided 
that the assets have  a useful life of at least four 
years. A credit equal to 10.0 % of the cost or 
qualified  amounts for leased assets of tangible 
personal property, excluding  motor vehicles and  
furniture, provided that the assets have a  useful 
life of at least four  years, is granted to  
manufacturers that are classified in major groups 
20 through 39, 50  and 51, 60 through 67,  73, 76, 
80 through 82, 87, and 89 in the Standard 
Industrial  Classification manual (SIC  Codes). A 
10.0% credit of the cost or qualified amounts for  
leased assets of  buildings  and structural 
components is also provided to "high performance  
manufacturers " which  are defined as businesses 
described in major groups 28, 30, 34 to 36  and 38 
of the SIC Codes.  Ongoing  
Rhode Island  Accelerated 
Amortization for 
Defense Industry 
Manufacturers  Rhode Island 
Division of 
Taxation  Accelerated 
Depreciation  Defense  industry manufacturers are the eligible 
recipients.  Qualified corporations which have annually 
produced goods worth at least $10,000,000 at 
facilities located in Rhode Island, over a period of 
five consecutive years, may accelerate the 
amortization of dep reciable assets over a five -year 
period if an average of at least 80% of that 
production has been for sale to a branch of the 
United States Armed Services. Credit shall not 
exceed five million dollars and shall be limited to 
certified production.  Ongoing  
South Carolina  Employee Wage 
and Supplier 
Rebate  South Carolina 
Department of 
Parks, Recreation & 
Tourism - Film 
Commission  Cash rebate  The recipient is the film industry.  This program provides a rebate equal to 20% of 
employee wages (25% for SC residents), not to 
exceed $10 million per year, or up to a 30% of 
South Carolina supplier expenditures if they spend 
at least $1,000,000 in the state.  Ongoing  
South Carolina  Motion Picture 
Production Facility 
Credit  South Carolina 
Department of 
Parks, Rec reation & 
Tourism - Film 
Commission  Tax credit  The recipient is the film industry.  This program provides an income tax credit equal 
to 20% of the investment in a company that 
constructs, converts or equips a motion picture 
production or post-production facility. For a 
production facility, the company must spend at 
least $2 million, excluding land costs, and for a 
post-production facility, the company must spend 
at least $1 million, excluding land costs. Limited 
to $5 million for all years  and cannot exceed 50% 
of tax liability.  Ongoing   
 G/SCM/N/372/USA  
 
- 194 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
South Carolina  Motion Picture 
Project Credit  South Carolina 
Department of 
Parks, Recreation & 
Tourism - Film 
Commission  Tax credit  The recipient is the film industry.  This program provides an income tax credit equal 
to 20% of the cash investment in a company that 
develops or produces a qualified motion picture 
project. At least $250,000 in costs must be 
incurred in the state and at least 20% of filming 
days of principal photography, but not less than 
10 days of filming, must be done in the state. 
Limited to $100,000 for all years and cannot 
exceed 50% of tax liability.  Ongoing  
South Carolina  Commercial 
Production Credit  South Carolina 
Department of 
Parks, Recreation & 
Tourism - Film 
Commission  Tax credit  The recipient is the film industry.  This program provides an income tax credit equal 
to 10% of investment in the state for the 
production of commercials. At least $500,000 in 
costs must be incurred in the state. The state may 
only disburse $1 millio n in total tax credits per 
year, which will be awarded on a first come first 
serve basis.  Ongoing  
South Carolina  Renewable Fuels 
Processing 
Facilities Tax 
Credits  South Carolina 
(SC) State Energy 
Office  Tax credit  Recipients include commercial facilities, placed 
in service after 2006, that process certain 
renewable fuels, including ethanol and 
biodiesel.  This program provides a credit against income tax 
equal to 25% of the cost of constructing and 
equipping the facility, to be taken in 7 equal 
annual installments.  Ongoing; credit is 
not available for 
facilities placed in 
service after 
2019.  
South Carolina  Renewable Fuels 
Processing 
Facilities Tax 
Credits  South Carolina 
(SC) State Energy 
Office  Tax credit  This program provides a credit equal to 
$0.075  per gallon of ethanol or biodiesel for up 
to 36 months. Not more than 10 million gallons 
produced during a 12 -month period is eligible.  This program provides a credit equal to $0.075 per 
gallon of ethanol or biodiesel for up to 36 months. 
Not more t han 10 million gallons produced during 
a 12-month period is eligible.  Ongoing  
South Carolina  Tax Credit for 
Renewable Energy 
Systems 
Manufacturers  South Carolina 
Department of 
Revenue  Tax credit  Recipients include manufacturers of renewable 
energy systems that (1) invest at least 
(a) $50 million in a Tier IV county, 
(b) $100 million in a Tier III county, 
(c) $150 million in a Tier II county or (d) $200 
million in a Tier I county  and (2) meet certain 
job and wage thresholds.  This program provides an income tax credit equal 
to 10% of qualifying expenditures. Credits cannot 
exceed $500,000 for any taxable year or 
$5 million total.  Until end of 
December 31, 
2020. No longer 
available.  
South Carolina  Investment Tax 
Credit  South Carolina 
Department of 
Revenue  Tax credit  Recipients include manufacturers engaged in an 
activity listed under NAICS Section 326 (Plastics 
and Rubber) that: (i) employed 
5,000  employees and invested $2.5 billion prior 
to July 1, 2011 or (ii) commits to employ 
1,200  employees and invest $400 million by 
January 1, 2022.  The credit may first be applied against 100% of a 
company's income tax liability and any excess can 
be applied as a rebate of withholding tax liability.  Ongoing   
 G/SCM/N/372/USA  
 
- 195 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
South Carolina  Port Volume 
Credit  SC Coordinating 
Council for 
Economic 
Development  Tax credit  This program is available to (1) a company that 
is engaged in manufacturing, warehousing, 
freight forwarding, freight handling, goods 
processing, cross docking, trans loading, 
wholesaling of goods or distribution, which uses 
port facilities in SC and which increases its port 
cargo volume at these facilities by a minimum 
of 5% in a calendar year; (2) a new warehouse 
or distribution facility with a base cargo of at 
least 5,000 TEUs or its non -containerized 
equivalent that commits to spending at least 
$40 million and creating at least 100 new jobs; 
or (3) a company involved in the movement of 
goods through a port that has 250 employees in 
the state and has a base cargo of at least 
5,000  TEUs or it s non -containerized equivalent 
and commits to build a distribution facility within 
5 years. The credit may be used as an income 
tax credit or a refund of withholding tax  liability.  The amount of credit and the type of taxes that 
may be offset is individual ly determined by the 
South Carolina Coordinating Council for Economic 
Development.  Ongoing  
South Carolina  Recycling Facility 
Tax Credit  South Carolina 
Department of 
Revenue  Tax credit  Recipients include manufacturers of products 
composed of 50% or more post -consumer 
waste material that invests at least $300 million 
within 5 years.  The credit is equal to 30% of investment in 
recycling property and may be used to reduce 
income taxes, sales and use taxes and corporate 
license fees.  Ongoing  
South Carol ina Sales tax 
exemption for fuel 
used in 
commercial fishing 
vessels  South Carolina 
Department of 
Revenue  Sales Tax 
Exemption  Fuels used in commercial fishing vessels are 
exempt from sales and use taxes under section 
12-36-2120(15) of the South Carolina Code.  The exemption applies to the state sales tax of 6% 
plus the local option tax, if any.  Ongoing  
South Carolina  Sales tax 
exemption for 
parts and supplies 
used in the 
business of 
repairing or 
reconditioning 
aircraft  South Carolina 
Department of 
Revenue  Sales Tax 
Exemption  Parts and supplies used by persons engaged in 
the business of repairing or reconditioning 
aircraft are exempt from sales and use taxes 
under section 12 -36-2120(52) of the 
South  Carolina Code. This exemption does no t 
extend to tools and other equipment not 
attached to or that do not become part of the 
aircraft.  The exemption applies to the state sales tax of 6% 
plus the local option tax, if any.  Ongoing  
South Carolina  Sales tax 
exemptions for 
qualifying tangible 
personal property 
and certain 
supplies, 
machinery and 
electricity used in 
filming  South Carolina 
Department of 
Revenue  Sales Tax 
Exemption  Available to a motion picture production 
company that is approved by the South Carolina 
Film Commission at t he South Carolina 
Department of Parks, Recreation and Tourism. 
All qualifying tangible personal property used in 
connection with filming in SC and certain 
supplies, machinery and electricity used in 
filming or producing motion pictures in SC are 
exempt fro m sales and use tax. Company must 
spend at  least $250,000 in SC within a 
consecutive 12 -month  period.  The exemption applies to the state sales tax of 6% 
plus the local option tax, if any.  Ongoing   
 G/SCM/N/372/USA  
 
- 196 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
South Carolina  Tax Credit for 
Distribution, 
Dispensing and 
Storing Equipment 
for Alternative 
Fuel South Carolina 
Department of 
Revenue  Tax credit  This program is available to companies 
purchasing, constructing, installing, and placing 
in service eligible property used for distributing, 
dispensing, o r storing alternative fuel.  The credit is equal to 25% of the cost of 
purchasing, constructing, and installing eligible 
property used for distributing, dispensing, or 
storing alternative fuel. The credit must be taken 
in 3 equal annual installments.  Ongoing  
South Dakota  Alternative Annual 
Tax on Wind Farm 
Property  South Dakota 
Department of 
Revenue; South 
Dakota Codified 
Laws § § 10-35-16 
through 10 -35-21 Tax incentives  Recipients include any company owning or 
holding under lease, or otherwise, real or 
personal property used, or intended for use, as 
a wind farm producing power.  The tax liability is based on the generative 
capacity of the wind farm. These taxes are in lieu 
of all taxes levied by the state, counties, 
municipalities, school districts, or other political 
subdivisions of the state on the personal and real 
property of the company which is used or intended 
for use as a wind farm, but are not in lieu of the 
retail sales and service tax or other taxes.  Ongoing  
Tennessee  Film Incen tive Tennessee 
Department of 
Economic and 
Community 
Development 
("ECD") & 
Tennessee Film, 
Entertainment and 
Music Commission  Cash refund  Recipients include a production company which 
has incurred at least $200,000 in qualified 
Tennessee expenses producing a theatrical film 
or television show in Tennessee.  This program provides a 25% refund calculated on 
Qualified Tennessee Expenses that are necessary 
for the production of a theatrical film or television 
show in Tennessee.  Ongoing  
Tennessee  Carbon  Charge 
Tax Credit  Tennessee 
Department of 
Revenue  Tax credit  Recipients include certified green energy supply 
chain manufacturers. Any manufacturer that 
has made during the investment period a 
required capital investment in excess of 
$250 million in constructing, expanding, or 
remodeling a facility that is certified by the 
Commissioner of Revenue, Commissioner of 
Economic and Community Development and 
Commissioner of the Tennessee Economic 
Development Council in their sole discretion, to 
be a facility engaged in manufacturing a product 
that is necessary for the production of green 
energy.  A certified green energy supply chain 
manufacturer shall be allowed a carbon charge 
credit, against the sum total of franchise and 
excise tax liability, eq ual to any carbon tax levied 
by the Tennessee Valley Authority on a certified 
supply chain manufacturer 's energy  bill. 
 
The credit must be used to offset a certified green 
energy supply chain manufacturer 's Tennessee 
franchise and excise tax liability. Any  credit that 
cannot be used during a fiscal year may be 
refunded to the taxpayer in the form of a cash 
overpayment.  Ongoing   
 G/SCM/N/372/USA  
 
- 197 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Tennessee  Emerging Industry 
and HQ Sales Tax 
Credit  Tennessee 
Department of 
Revenue  Tax credit  An emerging industry is one that promotes 
high-skill, high -wage jobs in high -technology 
areas, emerging occupations, or clean energy 
technology, including, but not limited to clean 
energy technology research and development 
and installation, as determined by the 
Commissioner of Revenue and the 
Commissioner of Department of Economic and 
Community Development (ECD). Qualified 
Headquarters Facility means a headquarters 
facility where the taxpayer is making a 
minimum investment of $50 million in a building 
or buildings, newly constructed, expanded or 
remodeled during the investment period not to 
exceed six years or $10 million and the creation 
of 100 new full -time jobs paying at least 150% 
of Tennessee 's average occupational wage 
during the investment period.  Tennessee law makes a sales and use tax credit 
available to taxpayers that establish a qualified 
facility to support an emerging industry in 
Tennessee.  The credit is equal to the amount of 
sales and use tax paid to Tennessee, less the 0.5% 
that is earmarked for education, on the sale or use 
of qualified tangible personal property. A Qualified 
Headquarters facility locating in this state shall be 
eligible for a credit of all state sales and use tax 
paid on qualified tangible personal property except 
tax at the  rate of 0.5% on qualified tangible 
personal  property.  Ongoing  
Tennessee  Enhanced Rural 
Jobs Tax Credit  Tennessee 
Department of 
Revenue  Tax credit  Eligible business enterprises include, but are not 
limited to: manufacturing operations, call 
centers, warehouse and distribution facilities, 
headquarter operations, data centers.  The credit is $4,500 per new full time job for Tier 
2 & 3 economically distr essed counties. The credit 
is applied against the total of both franchise and 
excise tax liability. The offset amount is 100 %. 
Credit is taken annually for 3 years for a 
Tier 2 community and taken for 5 years for a 
Tier 3 community. There is no carry forwa rd 
provision.  Ongoing  
Tennessee  Green Energy Tax 
Credit  Tennessee 
Department of 
Revenue  Tax credit  Recipients include certified green energy supply 
chain manufacturers. Any manufacturer that 
has made during the investment period a 
required capital investment in excess of 
$250 million in constructing, expanding, or 
remodeling a facility that is certified by the 
Commissioner of Revenue, Commissioner of 
ECD and Commissioner of TDEC, in their sole 
discretion, to be a facility engaged in 
manufacturing a product that is necessary for 
the production of green  energy.  The Green Energy Tax Credit is equal to the 
amount by which the charge for electricity sold to 
the certified green energy supply chain 
manufacturer exceeds the charge that would have 
been made for such total delivered electricity if the 
maximum certified rate had been applied during 
the applicable tax year.  The Maximum Certified 
Rate means a rate expressed as a price per 
kilowatt hour established by private letter ruling 
by the Commissioner  of Revenue, subject to 
approval by the Commissioner of ECD and the 
Commissioner of Finance &  Administration.  Ongoing  
Tennessee  Integrated 
Supplier Credit  Tennessee 
Department of 
Revenue  Tax credit  An integrated supplier is a supplier located 
within the footprint of a project site, as 
determined by the Commissioner of Economic 
and Community Development and the 
Commissioner of Revenue, which provides 
goods and services on the project site solely for 
the qualified manufacturer.  This new tax credit will provide integrated 
suppliers that locate within a qualified 
manufacturer's footprint with a one -time super job 
tax credit equal to $5,000 per net new full -time 
occupational wage job to offset one -third of the 
integrated supplier 's total franchise  and excis e tax 
liability with a fifteen (15) year carry -forward plus 
an additional $5,000 per job annual credit each 
year for six (6) years  to offset 100% of the 
integrated supplier 's total franchise and excise tax 
liability with no carry forward.  Ongoing   
 G/SCM/N/372/USA  
 
- 198 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Tennesse e Jobs Tax Credit  Tennessee 
Department of 
Revenue  Tax credit  Recipients are eligible business enterprises 
including, but not limited to: manufacturing 
operations, call centers, warehouse and 
distribution facilities, headquarter operations, 
data centers . The credit is $4,500 per new full time job for 
companies locati ng in a Non -Enhancement County 
or Tier 1 Enhancement County; $4,500 per new 
full time job for Tier 2 and Tier 3 Enhancement 
Counties in addition to the Enhanced Rural Job Tax 
Credit previously described. The credit may offset 
up to 50% of the total franchi se and excise tax 
liability. Credit may be carried forward for up to 
15 years.  Ongoing  
Tennessee  PILOT Program  Economic and 
Development 
Growth Engine 
(EDGE) for 
Memphis and 
Shelby County  Property tax 
abatement  EDGE offers several PILOT programs designed 
for firms looking to expand or relocate in 
Memphis and Shelby County.  The level of property tax abatement varies 
depending on the project.  Ongoing  
Texas  Ethanol and 
Biodiesel Tax 
Exemption  Texas Comptroller 
of Public Accounts  Tax exemption  Motor fuels tax exemption to licensed fuel 
sellers. TX Tax Code Section 162.204(a)(9) & 
Rule 3.443 . The exemption is only for the portion of ethanol or 
biodiesel that is blended into the diesel fuel 
otherwise subject to TX fuel tax of $0.20/gal.  Ongoing  
Texas  Vessel Sales Tax 
Exemption  Texas Comptroller 
of Public Accounts  Tax exemption  Boat and Boat Motor and Sales tax exemption 
to owners and/or operators of commercial 
vessels longer than 115 ft. and some 
stevedoring service providers  
 
Texas Tax Code Sections 151.329, 151.3291, 
151.330, 160.001(2) & Rule 3.297(a) -(c). The exemption applies to the cost of:  
the vessel and its component parts 
(e.g.,  materials, equipment, & machinery) when  
bought,  
a commercial vessel of eight tons or more 
displace ment when bought from builder,  
materials and labor used in repairing, renovating, 
or converting a ship or  vessel,  
materials & supplies bought for vessels operating 
exclusively in foreign or interstate coastal 
commerce by the vessel owners and operators and  
stevedoring service providers . Ongoing  
Texas  Defense Economic 
Readjustment 
Zone Program  Office of the 
Governor  Tax incentives  Designated readjustment projects are eligible to 
apply for state sales and use tax refunds on 
qualified expenditures. A community must 
nominate and receive a designation as a 
Defense Economic Readjustment Zone and 
provide specific local incentives in the z one. The projects are eligible for a sales and use tax 
refund paid on qualifying items and the number of 
jobs created/retained at the site. The project 
would be eligible for a refund based upon 
$2,500  per new job created up to a maximum of 
$1,250,000. The number of jobs eligible for a 
refund cannot exceed 500 or a number equal to 
110% of the projected jobs, whichever is  less. Inactive  
Texas  Economic 
Development 
Refund  Texas Comptroller 
of Public Accounts  Tax refund  A company who meets the following three 
conditions may apply for a refund: (1) the 
company paid property taxes to a school district 
on property that is located in a reinvestment 
zone established under Chapter 312; (2) the 
company is exempt in whole or in part from 
property tax im posed by a city or county under 
a tax abatement agreement established under 
Chapter 312; or, (3) the company is not in a tax 
abatement agreement with a school district.  The refund is equal to the amount of property 
taxes that would have been paid had the company 
entered into a school district abatement 
agreement with terms identical to the city or 
county abatement agreement, not to exceed the 
net state sales and use taxes  and state franchise 
taxes paid or collected and remitted during that 
calendar year. The refund amount may also be 
limited by a state-wide appropriation per year for 
this refund  program.  Ongoing   
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- 199 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Texas  Enterprise Zone 
Program  Office of the 
Governor  Tax ref und A business making at least a $40,000 capital 
investment into a community may be 
nominated by the local governmental 
jurisdiction to the state for enterprise project 
status. In return for hiring a percentage of new 
employees that are economically 
disadvantaged, or enterprise zone residents, 
the businesses become eligible for a refund of 
state sales and use taxes paid on certain items 
used at the qualified business  site. Enterprise projects are eligible for a refund of state 
sales or us e taxes paid on items used at the 
qualified business site. The amount reimbursed is 
based on the capital investment connected to the 
project and the number of jobs created/retained 
at the site. The project would be eligible for a 
refund of state sales and use taxes paid of up to 
$7,500 per new job created, up to a maximum of 
$3.75 million. The number of jobs eligible for a 
refund cannot exceed 500.  Ongoing  
Texas  Economic 
Development Act - 
Chapter 313 (HB  
1200)  Local Independent 
School Districts  Tax incentives  Recipients are manufacturing, R&D, or 
renewable energy businesses subject to 
franchise taxation expanding or relocating in a 
community.  The bill works by capping the appraised value of 
capital investments that qualify based on a sliding 
scale ti ed to the total property  wealth of the school 
district where the investment is made. The scale 
ranges from a cap of $100 million for school 
districts with tax bases exceeding $10 billion to a 
cap of $1 million for school districts with tax bases 
under $100  thousand.  Ongoing  
Texas  Lodging and Fuel 
Tax Exemption  Texas Comptroller 
of Public Accounts  Tax exemption  The recipient is the film industry.  On hotel rooms occupied for more than 
30 consecutive days, Texas's 6 % state occupancy 
tax is waived. The fuel tax that was paid for fuel 
used in off -road (as in generators or boats) may 
also be refunded.  Ongoing  
Texas  Moving Image 
Industry Incentive 
Program  Texas Film 
Commission  Grant  Recipients are film, TV, and video production 
companies. Available for review at the Texas 
Film Commission's website are the specific 
eligibility qualifications for projects including 
investment thresholds, employment 
requirements and content.  In 2020 -2021, approximately $50 million w as 
budgeted for this program.  Ongoing  
Texas  Media Production  
Development 
Zone Texas Film 
Commission  Tax exemption  Media production industry  Allowable sales tax on items contributing to the 
production of the film, television, or commercial 
project.  Ongoing  
Texas  Sales and Local 
Tax Exemption  Texas Comptroller 
of Public Accounts  Tax exemption  Film industry  Filmmakers are exempt from 100 % of state and 
local sales taxes on most items and services 
bought or rented for direct use in production.  Ongoing  
Texas  Product 
Development Fund 
& Small Business 
Incubator Fund  Office of the 
Governor  Loan Recipients are small businesses or eligible 
products with a statutory preference to be given 
in the areas of semiconductors, 
nanotechnology, biotechnology, and 
biomedicine.  The Product Development and Small Business 
Incubator Funds have a total of $45 million in 
bonding authority.  Ongoing  
Texas  Property Tax 
Abatement  Texas Comptroller 
of Public Accounts  Tax abatement / 
reduction  Recipients are companies located in 
reinvestment zones state-wide. The designation of a reinvestment zone may be for 
five-year, renewable periods. Tax abatement 
agreements have a maximum term of 10 years 
and provide for the exemption of real property and 
tangible personal property located on the real 
property. Only the increased value of the property 
may be exempted.  Ongoing   
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- 200 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Texas  Tax Increment 
Financin g Texas Comptroller 
of Public Accounts  Loan Recipients are in a community that has a 
geographic area known as a reinvestment zone. 
Businesses benefiting from the incentives must 
be located within the zone.  A municipality may 
designate an area as a reinvestment  zone.  A municipality creating a reinvestment zone may 
issue tax increment bonds or notes, the proceeds 
of which may be used to pay project costs. Tax 
increment bonds and notes are payable, as to both 
principal and interest, solely from a tax increment 
fund established for a reinvestment zone.  Ongoing  
Texas  Wind and Solar 
Energy Tax 
Exemptions and 
Deductions  Texas Comptroller 
of Public Accounts  Tax exemptions 
and deductions  Franchise tax exemptions to manufacturers, 
sellers, or installers of solar and wind energy 
devices that are exclusively engaged in at least 
one of these activities are exempted from 
franchise tax after submitting AP -204 with 
supporting documentation.  
 
TX Tax Code Section 171.056 & Rule 3.583.  
 
Any qualifying t axpayer, however, may take an 
allowable deduction for 5 consecutive reporting 
years (i.e., 60 months) after installing solar or 
wind energy systems to power its own 
facilities  – offices, manufacturing, etc.  
 
TX Tax Code Section 171.107 . Franchise tax amoun ts are exempted or deducted 
in varying amounts.  Ongoing  
Texas  Texas Enterprise 
Fund Office of the 
Governor  Grant  Projects that are considered for the TEF must 
demonstrate a significant rate of return on the 
public dollars being invested in the project. 
Additionally, there are several primary 
measures that every TEF project must meet, 
including the active support of a Texas 
community and the presence of competition 
with another state or country for the project 
location.  Recipients of the grants a nd amounts awarded are 
decided on a case -by-case basis by unanimous 
agreement of the Texas Governor, Lt. Governor, 
and Speaker of the House. Current budgeted 
amount $150 million.  Ongoing  
Texas  Sales Tax 
Exemption for 
tangible personal 
property (TPP) 
used in Oil, Gas, & 
other mineral 
exploration or 
production  Texas Comptroller 
of Public Accounts  Sales Tax 
Exemption  The Texas tax code exempts certain purchases 
of equipment destined to oil, natural gas, & 
other minerals exploration or production from 
the sales tax that is normally levied on most 
sales of goods and services in the state. 
Qualifying equipment consists of certain 
tangible assets used offshore (e.g., TPP 
including drilling equipment, drill pipe, casing, 
tubing, and other pipe).  
 
TX Tax Code Section 151.324 & Rule 3.322 . 2019: Crude Oil: $32,365,182; Natural Gas: 
$38,334,818; 2018: Crude Oil: $31,541,175; 
Natural Gas: $37,358,825 . Ongoing   
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- 201 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Texas  Severance Tax 
Exemptions for 
Crude Oil and 
Natural Gas  Texas Comptroller 
of Public Accounts  Tax exemption  Production of crude oil and natural gas in the 
state of Texas are subject to multiple taxes and 
fees. 
 
Crude oil production is subject to one tax and 
one fee – the production tax and oil field 
clean-up regulatory fee.  
 
The oil produc tion tax rate is 4.6% to the 
market value of oil produced in the state.  
 
The oil field clean -up regulatory fee is $0.00625 
(5/8 of a cent) per barrel.  
 
Natural Gas production is taxed on  
Gas: 7.5% of market value of  gas. 
Condensate (crude oil produced from  gas well) 
Production Tax: 4.6% of market value of  
condensate.  
Regulatory Fee: For report periods September 
2001 and later, 0.0667% per 1000 cubic feet of 
gas produced.  
 
Several exemptions are, however, granted 
depending on whether wells are high -cost or 
have been inactive for a few years, or whether 
producers use specific enhanced recovery 
methods. Marginal and orphaned wells are also 
eligible for tax relief.  Data for 2018 -2019 not available. Most recent 
data for 2016: Crude Oil: $111,993,026; Natural 
Gas: $30,962,125 . 
 
CPA Transparency – Revenue Sources at State 
Revenue and Expenditure Dashboard  Ongoing  
Texas  R&D Tax Credit  Texas Comptroller 
of Public Accounts  Tax credit  Any qualifying taxpayer may take an allowable 
deduction for 5 consecutive reporting years 
(i.e., 60 months) after installing solar or wind 
energy systems to power its own facilities – 
offices, manufacturing, etc.  The amount of credit for any report equals 5% of 
the difference between qualified research 
expenses in Texas (QRET) a nd 50 % of the average 
amount of QRET incurred during the three tax 
periods preceding the period on which the report 
is based. Other credit amounts  vary. Ongoing  
Utah Economic 
Development Tax 
Increment Finance 
(EDTIF) Tax Credit 
(UCA 63M -1- 
2401)  Governor's Office 
of Economic 
Development 
(GOED)  Tax credit  Recipients include for profit businesses.  The tax credit can be up to 30% of new state 
revenues over the life of the project. Typical 
project length is 5 -10 years. The percentage and 
duration is set by the GOED Board. The total 
amount of tax credit commitments paid in fiscal 
year 2014 was approximately $17,197,608.  Ongoing  
Utah Industrial 
Assistance Fund  Governor's Office 
of Economic 
Development  Grant  Recipients are medium to large businesses and 
must be an existing business preferably in a 
targeted industry and be creating at least 
50 new jobs. Salaries must be at least 125% of 
the county average wage. The company must 
demonstrate stability and profitability. This is a 
negotia ted post -performance grant.  Grants given in fiscal year 2016 totaled 
approximately $3,887,700.  Ongoing   
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- 202 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Utah Renewable Energy 
Development 
Incentive (REDI) 
Tax Credit (UCA 
63M- 1-2803)  Governor's Office 
of Economic 
Development 
(GOED)  Tax credit  Recipients must be in the solar, wind, 
geothermal, biomass, hydroelectric, petroleum 
coke, shale oil, nuclear fuel, tar sands, or 
oil-impregnated diatomaceous earth industry. 
The incentive is for the direct manufacturing of 
said industry, related products,  or utility scale 
generation in said industry. The project must 
create new jobs. The company must 
demonstrate stability and profitability. New jobs 
created must pay at least 125 % above the 
county average wages within the urban area 
and for rural areas 100 % of county wages must 
be paid. The tax credit can be up to 100% of new state 
revenues over the life of the project on a post -
performance basis. Typical project length is 
5-10 years. The percentage and duration is set by 
the GOED Board.  Ongoing  
Utah Motion Picture 
Incentive Fund 
(UCA 63M -1-
1801)  Governor's Office 
of Economic 
Development/Utah 
Film Commission  Cash grant and 
tax credit  The recipients are the film industry and digital 
media industry.  Film productions can receive up to a 
20% refundable income tax credit based on 
spending in Utah. A film production that highlights 
the State of Utah, may be eligible to receive up to 
5% in addition to the 20%. Digital Media 
productions can receive up to a 20% refundable 
income tax credit on new s tate revenue generated 
by the project. Tax credits issued in fiscal year 
2016 totaled  $3,998,900.  Ongoing.  
Utah Sales and Use Tax 
Exemption  Governor's Office 
of Economic 
Development/Utah 
Film Commission  Tax exemption  The film industry is the recipient.  This program allows film, television and video 
production to take a sales tax exemption at the 
point of sale on machinery and equipment. This 
exemption does not apply for still photography.  Ongoing  
Utah Transient Room 
Tax Rebate  Governor's Office 
of Economic 
Development  Tax rebate  The tourism industry is the recipient.  Accommodation charges for stays of 
30 consecutive days or longer are not subject to 
sales and use tax and all sales -related taxes.  
 
Approximately $50.5 million was budgeted for this 
program in 2015.  Ongoing  
Utah Recycling Market 
Development 
Zone (UCA 63M -1-
1101)  Governor's Office 
of Economic 
Development  Tax credit  Recipients are eligible individuals and 
businesses operating in Recycling Market 
Development Zones.  This program provides: (1) a 5% state tax credit 
on machinery and equipment; (2) 20 % state 
credit on the first $10,000 of expenditures (up to 
$2,000) on eligible operating costs;  (3) technical 
assistance from economic development 
specialists; and (4) other local incentives. In 2013, 
approximately $900,000 in tax credits were  
issued.  Ongoi ng 
Utah Life Science and 
Technology  Tax 
Credits  Governor's Office 
of Economic 
Development  Tax credit  Recipients are investors in life science and 
technology  companies.  Tax credits may not exceed $350,000 in any year 
and tax credit cannot be carried forward or carried 
back.  Ongoing   
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- 203 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Utah Technology 
Commercialization 
& Innovation 
Program  Governor's Office 
of Economic 
Development  Grants  Small businesses that have generated no more 
than $500,000 in revenue from their technology 
and raised no more than $3 million in financing 
are eligible. Criteria for determining grant 
awardees is based on potential economic 
development in Utah; company management 
and leadership; strength of technology and 
potential for commercialization; size and market 
for propos ed technology; ability to sell and 
market technology; and strength of the 
company's competitive advantage.  Technologies can be awarded up to $200,000 in 
grants over the life of the technology.  Ongoing  
Utah Rural Fast Track 
Program (UCA 
63M-1-904) Governor's Office 
of Economic 
Development  Grant  The company must be located in an eligible 
county, have been in business for at least two 
years and have at least two full -time 
employees.  This is a post -performance grant worth up to 
$50,000 for a  qualifying business development 
project or 50% of the cost; whichever is less. 
Funds are disbursed as follows: $1,000 for each 
new incremental job paying 110 % of the county's 
average annual wage; $1,250 for each new job 
paying 115 % of the county's average  annual 
wage; $1,500 for each new incremental job paying 
125% of the county's average annual wage. The 
amount expended in fiscal year 2016 was 
approximately  $881,200.  Ongoing  
Utah Utah Enterprise 
Zone Program 
(UCA 63M -1-401) Governor's Office 
of Economic 
Development  Tax Credit  Application for designation must be made by a 
city with 10,000 or less population located in a 
county with 50,000 or less population or an 
Indian Tribe for tribal lands. Applications will be 
reviewed and approved on the basi s of economic 
development need.  Income tax credits may be claimed by eligible 
businesses locating or expanding employment and 
investments in enterprise zones.  Ongoing  
Utah Sales and Use Tax 
Exemption (59 -
12-104(44))  Tax Commission  Tax exemption  The recipient is the semiconductor industry.  Sales or leases of semiconductor fabricating, 
processing, research, or development materials 
are exempt from sales and use tax.  Ongoing  
Utah Sales and Use Tax 
Exemption (59 -
12-104(55))  Tax Commission  Tax exemption  The recipient is a renewable energy production 
facility.  Leases or purchases of machinery or equipment 
that has an economic life of five or more years that 
will be used to create or expand the operations of 
a renewable energy production facility are exempt 
from sales and use tax.  Ongoing  
Utah Sales and Use Tax 
Exemption (59 -
12-104(56))  Tax Commission  Tax exemption  The recipient is a waste energy production 
facility.  Leases or purchases of machinery or equipment 
that has an economic life of five or more years that 
will be used to create or expand the operations of 
a waste energy production facility are exempt 
from sales and use tax.  Ongoing  
Utah Sales and Use Tax 
Exemption (59 -
12-104(57))  Tax Commission  Tax exemption  The recipients are a facility that produces 
energy from biomass fuel.  Leases or purchases of machinery or equipment 
that has an economic life of five or more years that 
will be used to create or expand the operations of 
a facility that produces energy from biomass fuel 
are exe mpt from sales and use tax.  Ongoing  
Utah Sales and Use Tax 
Exemption (59 -
12-104(62))  Tax Commission  Tax exemption  The recipient is the fossil fuel industry.  Purchases of tangible personal property that are 
used in the research and development of 
coal-to-liquids, oil shale, or tar sands technology 
are exempt from sales and use tax.  Ongoing   
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- 204 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Utah Sales and Use Tax 
Exemption (59 -
12-104(70))  Tax Commission  Tax exemption  The recipients are aircraft maintenance, repair, 
and overhaul providers.  Sales to, or by an aircraft maintenance, repair and 
overhaul provider for the use in the maintenance, 
repair, overhaul or refurbishment in Utah of a 
fixed-wing, turbine -powered aircraft that is 
registered or licensed in a state or country outside 
Utah are exempt from sale s and use tax.  Ongoing  
Vermont  Vermont Training 
Program (VTP)  Vermont Agency of 
Commerce and 
Community 
Development  Grant  The VTP is open to all sectors of the Vermont 
economy but priority is placed on the twelve 
"Vermont 2020" target sectors. Priority sectors 
are advanced manufacturing, financial services, 
food systems, forest products, health care, 
software development, biotechnology, clean 
energy, and environmental consulting.  Of the 
55 grant agreements in FY2015 and FY2016, 
35 grant agreemen ts were in the advanced 
manufacturing  sector.  The VTP provides up to 50% of the training costs 
for pre - employment, new hire, and/or incumbent 
employee training. Grants are paid out on a 
reimbursement basis upon completion of 
employee training. In FY 2015 there were grant 
awards of $746,064; and in FY 2016 there were 
grant awards of $1,343,333.  Ongoing  
Virginia  Enterprise Zone 
Program  Virginia 
Department of 
Housing and 
Community 
Development  Cash grant  Recipients are in the fifty -seven enterprise 
zones authorized state-wide. The Virginia 
Enterprise Zone (VEZ) program is a partnership 
between state and local government that 
encourages job creation and private 
investment. VEZ accomplishes this by 
designate d Enterprise Zones throughout the 
state and providing two grant -based incentives, 
the Job Creation Grant (JCG) and the Real 
Property Investment Grant (RPIG), to qualified 
investors and job creators within those zones, 
while the local government provides lo cal 
incentives.  This program provides (1) a real property 
investment grant; and (2) job -related grant. The 
amounts vary.  Ongoing  
Virginia  Governor's Motion 
Picture 
Opportunity Fund  Virginia Tourism 
Corporation  Grant  Recipients are in the film and video industry. 
The types of projects eligible for consideration 
are feature films, children's programs, 
documentaries, television series or other 
television programs designed to fit a thirty -
minute or longer format slot. Projects not 
eligible are industri al, corporate or commercial 
projects, education programs not intended for 
rebroadcast, adult films, music videos and news 
shows or reports.  The amounts vary and can be provided as cash 
grants or tax exemptions.  Ongoing   
 G/SCM/N/372/USA  
 
- 205 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Virginia  Commonwealth's 
Development 
Opportunity Fund 
(COF)  Virginia Economic 
Development 
Partnership  Grant  Funds can be used for: site acquisition and 
development; transportation access; training; 
construction or build -out of publicly -owned 
buildings; or grants or loans to Industrial 
Development Authorities. Eligible projects must 
meet the following conditions.  (1) A minimum 
private investment of $5 million and creation of 
at least 50 jobs. (2) In localities with above -
average poverty, the minimum private 
investment requirement is $2.5 million and the 
minimum job creation requirement is 25 jobs. 
(3) In localitie s with above -average 
unemployment and above -average poverty, a 
minimum private investment requirement is 
$1.5 million and the minimum job creation 
requirement is 15 jobs. (4) Projects are 
expected to pay at least the local prevailing 
average wage or 85% of the prevailing average 
wage in above - average unemployment and/or 
above -average poverty localities.  The amounts vary.  Ongoing  
Virginia  VCEDA Loan/  
Grant Program  Virginia Coalfield 
Economic 
Development 
Authority  Loans and 
grants.  The loans may be used for real estate 
purchases, construction or expansion of 
buildings, and the purchase of machinery and 
equipment. To be eligible for the VCEDA loans, 
private businesses must be basic employers 
who will bring new income to the area. Priority 
will be given to loans  requiring 
$10,000 -$25,000 or less for each full -time basic 
job created, and to projects that create at least 
15 new full -time jobs within 36 months of start -
up. The average minimum hourly wage should 
equal or exceed 1.5 times the current federal 
minimum wage rate at the end of one year of  
employment.  The Authority provides low interest loans or grants 
to qualified new or expanding industries through 
its financing program. Program funding is derived 
from the local coal and gas road improvement tax 
and the natural gas severance tax.  Ongoing  
Virginia  Local Technology, 
Tourism, Defense, 
and Green 
Development 
Zones  Localities  Mixed  Recipients are in the technology, tourism, or 
defense  industries, or are industries pursuing 
green development.  Once a local zone has been established, incentives 
may be provided for up to ten years. Each locality 
designs and administers its own program.  Ongoing  
Virginia  New Markets Tax 
Credit (NMTC)  Virginia Small 
Business Financing 
Authority (VSBFA)  Tax credit  A CDE makes investments (equity investments 
and business loans) in qualifying businesses in 
qualifying census tracts. CDE loans can be 
approximately 100 -150 basis points below 
comparable bank f inancing. NMTC funding is 
flexible, but it is not a grant.  A candidate for NMTC funding is generally seeking 
$2 million.  Ongoing   
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- 206 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Virginia  Sales/Use and 
Property Tax 
Exemptions (Form 
ST-11B; 58.1 -
609.3)  Department of 
Taxation; Localities  Tax exemption  This program provides sales and use tax 
exemption for semiconductor clean rooms or 
equipment and other tangible personal property 
used primarily in the integrated process of 
designing, developing, manufacturing or testing 
a semiconductor product.  Localities may elect to 
impose reduced property tax rates on 
semiconductor manufacturing machinery and 
tools, equipment for biotechnology R&D and 
production, aircraft, and certain equipment used 
in a data center.  The amount is the state sales tax or local property 
tax exempted.  Ongoing  
Virginia  Green Jobs Tax 
Credit  Virginia 
Department of 
Taxation  Tax credit  A "green job" means employment in industries 
relating to the field of renewable, alternative 
energies, including the manufacture and 
operation of products used to generate 
electricity and other forms of energy from 
alternative sources that include hydrogen  and 
fuel cell technology, landfill gas, geothermal 
heating systems, solar heating systems, 
hydropower systems, wind systems, and 
biomass and biofuel systems. For purposes of 
the tax credit, the Bureau of Labor Statistics 
Green Jobs Definition is used and is defined as 
either: Jobs in businesses that produce goods or 
provide services that benefit the environment or 
conserve natural resources and/or jobs in which 
workers ' duties involve making their 
establishment 's production processes more 
environmentally f riendly or use fewer natural 
resources.  The $500 credit is available for all qualifying jobs 
paying at least $50,000. The credit will be first 
allowed for the taxable year in which the job has 
been filled for at least one year and for each of the 
four succ eeding taxable years, provided that the 
job is continuously filled during the respective 
taxable year. Each taxpayer may claim the credit 
for up to 350 green jobs.  This program 
sunsets on 
December 31, 
2024.  
Virginia  Virginia 
Investment 
Performance 
Grant ( VIP) Virginia Economic 
Development 
Partnership  Grant  Recipients must be an existing Virginia 
manufacturer or research and development 
service that supports manufacturing, and the 
project must result in capital investment of at 
least $25 million.  Grants are paid in five equal annual installments 
beginning in the third year after the capital 
investment and job creation or retention are 
achieved, or in the second year if the company is 
locating in a fiscally distressed area of the state. 
Grants have a maximum of $3 million, or 
$5 million for projects with extraordinary 
characteristics . Ongoing   
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- 207 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Virginia  Virginia Economic 
Development 
Incentive Grant 
(VEDIG)  Virginia Economic 
Development 
Partnership  Grant  Recipients include significant headquarters, 
administrative, or service sector operations in 
Virginia. Companies in an area with a population 
of 300,000 or more that create 400 new full - 
time jobs with average salaries at least 50% 
greater than prevailing wages, or 300 jobs at 
100% grea ter than prevailing average wages, 
and capital investment of at least $5 million or 
$6,500 per job, whichever is greater.  
Elsewhere, a company need only create 
200 new full -time jobs with average salaries at 
least 50% greater than prevailing wages and a 
capital investment of at least $6,500 per job. 
There must be an active and realistic 
competition between Virginia and another state 
or country for attracting the  project.  Program offers cash grants to qualified applicants. 
Grants are paid in five equal insta llments 
beginning in the third year after the capital 
investment and job creation or retention are 
achieved.  Ongoing  
Virginia  Major Eligible 
Employer Grant 
(MEE)  Virginia Economic 
Development 
Partnership (VEDP)  Grant  The program targets major basic employers that 
make a capital investment of at least 
$100 million and create at least 1,000 new jobs 
(a minimum of 400 jobs if the average pay is at 
least twice the locality's prevailing average 
wage.) There must be an active and realistic 
competition betw een Virginia and another state 
or country for attracting the project.  The amount of each MEE grant is determined by 
the Secretary of Commerce and Trade, based on 
VEDP's return on investment analysis and 
recommendation, and is subject to the approval 
by the  Governor. MEE grants are paid in five to 
seven equal annual installments beginning in the 
third year after the capital investment and job 
creations targets are met.  Ongoing  
Virginia  Tobacco Region 
Opportunity Fund 
(TROF)  Virginia Tobacco 
Region 
Revitalization 
Commission  Grants and loans  The grants are provided to recipients within 
Virginia's tobacco producing region (34 counties 
and six cities in Southside and Southwest 
Virginia.) Eligible projects must include 
(1) locate within the Tobacco Regio n, (2) align 
with the Commission's Strategic Plan and the 
objectives and outcomes identified for the TROF 
program, and (3) create jobs and invest capital 
in amounts sufficient that the calculated award 
is at least  $10,000.  The Commission determines the gra nt amounts 
based on local unemployment rates, prevailing 
wage rates, capital investment levels, industry 
type, and other factors as determined by the 
Commission.  Ongoing  
Virginia  Economic 
Development Loan 
Fund (EDLF)  Virginia Small 
Business Financing 
Authority  Loan Community eligibility is determined based on 
guidelines set by the federal Economic 
Development Administration and are generally 
those with an unemployment rate 1% higher 
than the national average for the most recent 
24- month peri od, or that have a per capita 
income no greater than 80 % of the national 
level. Eligible borrowers include local Industrial 
or Economic Development Authorities and 
businesses engaged in technology, 
biotechnology, tourism, engine and vehicle 
manufactures fo r the professional motor sports 
industry, basic industries, manufacturing, and 
those businesses or entities that provide for a 
locality's economic and "quality of life" 
development.  Finance can be provided for up to a maximum of 
40% of the business project  cost or $1 million, 
whichever is less. Generally, loans have a 10 -year 
maturity.  Ongoing   
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- 208 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Virginia  Commonwealth of 
Virginia Sale and 
Use Tax 
Exemption (Form 
ST-16; § 58.1- 
609.2.4)  Department of 
Taxation  Sales and Use 
Tax Exemption  Recipients include watermen who extract fish, 
bivalves, or crustaceans from waters for 
commercial purposes and other private 
businesses that use watercraft to conduct their 
business.  The amount of the benefit is equal to the amount 
of the tax that does not have to be paid.  Ongoing  
Virginia  Recyclable 
Materials 
Processing Tax 
Credit  Virginia 
Department of 
Taxation  Tax credit  Available to manufacturers for the purchase of 
certified machinery and equipment used for 
processing recyclable materials  The credit is equal to 20% of the purchase price of 
equipment bought to make things from recycled 
materials, or to convert waste products into raw 
materials during the taxable year that the 
machinery or equipment is purchased.  This program 
sunsets on 
December  31, 
2024.  
Virginia  Virginia Jobs 
Investment 
Program (VJIP)  Virginia Economic 
Development 
Partnership  Grant and 
consulting 
services  A discretionary program that provides funding 
to companies creating new jobs or experiencing 
technological change to reduce the human 
resource development costs for new companies, 
expanding companies, and companies 
retraining their employees. Program is li mited 
to companies that create basic employment for 
the Commonwealth. These businesses or 
functions must directly or indirectly derive 51% 
or more of their revenue from out -of-state 
sources, as determined by VEDP. Qualifying 
industry sectors include: corpo rate HQs, 
distribution centers, information technology, 
manufacturing, research and development, and 
shared service centers.  The amounts vary.  Ongoing  
Virginia  Port of Virginia 
Economic and 
Infrastructure 
Development 
Grant  The Port of Virginia  Grants  Grants provided to companies that construct 
new maritime - related employment centers or 
expand existing centers.  
 
Applicants must meet the following criteria - 
(1) Locates or expands a facility within the 
Commonwealth, (2) Creates at least 25 new, 
permanent full -time positions at a facility within 
Virginia from commencement of the project 
through the first full year of operation or during 
the year when the expansion occurs, (3) is 
involved in maritime commerce, and (4) is 
engaged in one or more of th e following: 
distribution, freight forwarding, freight 
handling, goods processing, manufacturing, 
warehousing, crossdocking, transloading, or 
wholesaling of goods exported and imported 
through The Port of Virginia; shipbuilding and 
ship repair; dredging; marine construction; or 
offshore energy exploration and extraction.  POV Grants are made at the discretion of the 
Executive Director of the Virginia Port Authority. 
The amount of the grant is calculated by the 
following formula, subje ct to a maximum 
amount of $500,000 per  year:  
 
25–49 new jobs: $1,000 per job 50 –74 new jobs: 
$1,500 per job 75 –99 new jobs: $2,000 per job 
100+ new jobs: $3,000 per job . This program 
sunsets on 
June 30, 2025.   
 G/SCM/N/372/USA  
 
- 209 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Virginia  Port Volume 
Increase Tax 
Credit  The Port of Virginia  Tax credit  Benefits manufacturing, distribution, 
agriculture, and mineral and gas companies that 
utilize Virginia 's port facilities. A company that 
increases its usage by 5% in a single calendar 
year over its base year of port cargo volume can 
claim a credit against its corporate income tax 
of up to $250,000.  Tax Credit is generally equal to $50 for each TEU 
above the base - year port cargo volume, or $50 
for each TEU transported through a port facility 
during a major facility 's first calendar year.  This program 
sunsets on 
December  31, 
2024.  
Virginia  International 
Trade Facility Tax 
Credit  The Port of Virginia  Tax credit  Benefits companies that increase port volume 
by 5% through Virginia ports and either create 
jobs or make capital investment in an 
international trade facility.  The amount of the credit is equal to $3,500 per 
new qualified full-time employee that results 
from increased qualified trade activities by the 
taxpayer or 2% of the amount of capital 
investment made by the taxpayer to facilitate 
the increased  eligible trade activities.  This program 
sunsets on 
December  31, 
2024.  
Virginia  Data Center Retail 
Sales and Use Tax 
Exemption 
(§ 58.1-609.3)  Virginia Economic 
Development 
Partnership/Depart
ment o f Taxation  Sales and Use 
Tax Exemption  Virginia offers a data center  retail sales and use 
tax exemption (DCRSUT Exemption) on 
qualifying computer equipment or enabling 
software purchased or leased for use in certain 
data centers in the Commonwealth meeting 
minimum investment, job creation, and wage 
level criteria.  The amou nt of the benefit is equal to the amount 
of the tax that does not have to be paid.  Ongoing  
Virginia  Commercial and 
Industrial Sale 
and Use Tax 
Exemption (Form 
ST-11; § 58.1-
609.3)  Department of 
Taxation  Sales and Use 
Tax Exemption  Recipients include manufacturing and research 
and development operations. This program 
provides an exemption for purchases of 
production -related machinery and equipment; 
equipment used for production line testing and 
quality control; repair parts; materials that 
become a component part of the finished 
product; supplies used for packaging tangible  
products for shipment or sale; certified pollution 
control equipment; utilities used in 
manufacturing delivered through pipes, lines, or 
mains; equipment, printing, and supplies used 
to produce publications issued daily or regularly 
at intervals not exceeding three months; 
research and development equipment; 
machinery, tools, and equipment used in  
advanced recycling; and recycled or recovered 
materials used in processing,  manufacturing, or  
conversion.  The amount of the benefit is equal to the amount 
of the tax that does not have to be paid.  Ongoing  
Washington  Distressed Area 
Business and 
Occupational 
(B&O)Tax Credit  Department of 
Revenue  Tax credit  This tax break applies to 1) Counties: Adams, 
Asotin, Benton, Chelan, Clallam, Columbia, 
Cowlitz, Ferry, Franklin, Grant, Grays Harbor, 
Kittitas, Klickitat, Lewis, Mason, Okanogan, 
Pacific, Pend Oreille, Skagit, Skamania, Steven, 
Whitman and Yakima; 2) Met ropolitan 
Statistical Area: Whatcom; and 3) Community 
Empowerment Zones: Bremerton, Tacoma, 
White Center, Yakima, Marysville, Snohomish, 
Sultan, Acme, Deming, Everson, Maple Falls, 
Sumas, Clearwater, Queets and Quilcene.  This program provides a credit agai nst the 
B&O tax liability at the rate of $2,000 or $4,000 
per new job created.  Ongoing   
 G/SCM/N/372/USA  
 
- 210 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Washington  Distressed Area 
Sales and Use Tax 
Deferral/  
Exemption 
Program  Department of 
Revenue  Tax exemption  This tax break applies to 1) Counties: Adams, 
Asotin, Benton, Chelan, Clallam, Columbia, 
Cowlitz, Ferry, Franklin, Grant, Grays Harbor, 
Kittitas, Klickitat, Lewis, Mason, Okanogan, 
Pacific, Pend Oreille, Skagit, Skamania, Steven, 
Whitman and Yakima; 2) Met ropolitan 
Statistical Area: Whatcom; and 3) Community 
Empowerment Zones: Bremerton, Tacoma, 
White Center, Yakima, Marysville, Snohomish, 
Sultan, Acme, Deming, Everson, Maple Falls, 
Sumas, Clearwater, Queets and Quilcene.  The amount varies.  Ongoing  
Washington  Fishing Boat Fuel  Department of 
Revenue  Tax exemption  Recipients are vessels engaged in commercial 
deep sea fishing or in the operation of 
commercial charter fishing boats.  The amount varies.  Ongoing  
Washington  Prototype of 
Aircraft Parts  Department of 
Revenue  Tax exemption  Recipients are small manufactures of aircraft 
parts.  The statute limits the maximum amount of sales 
tax exemption to $100,000 per firm.  Ongoing  
Washington  Ships and Vessels 
Under 
Construction  Department of 
Revenue  Tax exemption  Recipients include shipyards building vessels 
that are 1,000 tons or more.  The amount varies.  Ongoing  
Washington  Small Timber 
Harvester  Department of 
Revenue  Tax exemption  Recipients are small timber harvesters.  The amount varies.  Ongoing  
Washington  $50 Minimum 
Timber Tax  Department of 
Revenue  Tax exemption  Recipients are small timber harvesters.  Any timber harvester incurring less than $50 in 
timber tax liability per quarter is excused from 
paying the timber excise tax. Ongoing  
Washington  Washington State 
Competitiveness 
Program  Department of 
Revenue  Rebates  The recipient is the film industry.  This program provides a rebate of up to 20 % of in 
state film related expenditures with a $1 million 
cap per production.  Administered by a 
not-for-profit group, Washington Film Works. This 
program is capped at $3.5 million annually.  Ongoing  
Washington  Sales Tax 
Exemptions  Department of 
Revenue  Retail sales and 
use tax 
exemption  The recipient is the film industry.  This program provides an exemption of: sales and 
use taxes on rental equipment and purchase of 
services; all taxes of vehicles used in production; 
and hotel/motel tax with 30 co nsecutive day stay.  Ongoing  
Washington  Rural County 
Business and 
Occupation (B&O) 
Tax Credit for New 
Employees  Department of 
Revenue  Tax credit  Recipients include businesses located in an 
eligible rural county or a Community 
Empowerment Zone.  This program provides tax credits of either 
$2,000  or $4,000 for each new qualified 
employment position.  Ongoing  
Washington  Biofuels 
Production 
Incentive (Energy 
Freedom Fund)  Department of 
Revenue  Loans and grants  Recipients include public R&D institutions in 
partnership with private entities.  Since the inception of the program, a total of 
$18 million in grants and low -interest loans has 
been provided to local public -private partnerships.  Ongoing  
Washington  Biofuels Property 
and Leasehold Tax 
Exemption  Department of 
Revenue  Tax exemption  Recipients are biofuel manufacturers.  This program provides exemption from the 
property tax for six assessment years following 
the date on which the facility, or addition to the 
existing facility, becomes operational.  Ongoing   
 G/SCM/N/372/USA  
 
- 211 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Washington  High 
Unemployment 
County Sales & 
Use Tax 
Deferral/Waiver 
for Manufacturing 
Facilities  Washington State 
Department of 
Revenue  Tax deferral  To qualify for the program, businesses must: 
(1) be located in a qualified county or a CEZ; 
(2) be engaged in manufacturing activities, the 
conditioning of vegetable seeds; or (3) be 
engaged in activities performed by research and 
development laboratories, or commercial 
testing laboratories but only when the activities 
performed are intended to ultimately result in 
the production of a new, different, or useful 
substance or article of tangible personal 
property for sale. Eligible businesses also must 
invest in one or both of the following activities: 
(1) the construction of new structures, or 
expansion or renovation of existing structures 
to increase floor space or production capacity 
used for the qualifying activities; (2) the 
purchase of new industrial and research 
fixtures, equipment, and support facilities that 
are int egral to the manufacturing or research 
and development  operation.  The amount varies.  Expires on 
July 1, 2020.  
Washington  Reduced Business 
and Occupation 
(B&O) Tax Rates 
for Timber 
Activities  Washington State 
Department of 
Revenue  Tax reduction  The tax reduction is for eligible business 
involved in manufacturing and processing for 
hire of timber products into other timber 
products or timber products into wood products. 
Businesses manufacturing (or processing for 
hire) wood products into other wood produc ts 
do not qualify for this preferred B&O tax rate. 
For example, manufacturing wood windows 
from dimensional lumber does not qualify for 
the preferred B&O tax rate.  The eligible 
activities include: sales of standing timber (that 
must be severed from the lan d within 
30 months); extracting or extracting for hire  
timber m anufacturing or processing for hire 
timber into timber products or wood products; 
manufacturing or processing for hire timber 
products into other timber products or wood 
products; selling timber at wholesale.  The amount varies.  Ongoing  
West Virginia  Direct Use 
Exemptions  West Virginia 
Department of Tax 
and Revenue  Tax exemptions  Recipients include certain qualified 
manufacturers.  Purchases of equipment, supplies, materials and 
services intended for direct use or consumption in 
the activity of manufacturing are exempt from 
sales tax.  Ongoing  
West Virginia  Fee Free Location  West Virginia 
Department of Tax 
and Revenue  Location 
discounts  The recipient is the film industry.  The amounts vary.  Ongoing  
West Virginia  Miscellaneous 
Enhancements  West Virginia 
Department of Tax 
and Revenue  Discounted 
services  The recipient is the film industry.  Depending on the scope of an Entertainment 
Production project, the West Virginia Film Office 
may assist with negotiations of "soft" incentives 
(e.g. discounted location fees, office space rental, 
lodging, vehicle rentals etc.).  Ongoing   
 G/SCM/N/372/USA  
 
- 212 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
West Virginia  Corporate 
Headquarters 
Credit  West Virginia 
Development Office  Tax credit  Recipients include companies in manufacturing, 
information processing, warehousing, goods 
distribution and destination  - oriented tourism.  If at least 15 new jobs are created, the allowable 
credit is 10 % of adjusted qualified investment. If 
the corporate h eadquarters relocation results in 
50 or more new jobs, the allowable credit is 50 % 
(or such other allowable new jobs percentage) of 
adjusted qualified investment.  Ongoing  
West Virginia  Economic 
Opportunity Credit  West Virginia 
Development Office  Tax credit  Qualified companies are those that create jobs 
within the state with those companies that pay 
higher than the median wage receiving a larger 
tax credit.  Companies that create at least 20 new jobs 
(10 jobs in the case of small businesses) as a 
result of their business expansion projects can 
offset up to 80% of the corporate net income tax 
and personal income tax attributable to the 
qualified investment.  Companies that create 
higher paying jobs can offset up to 100% of these 
taxes. Companies crea ting less than 20/10 new 
jobs receive a $3000 tax credit for each new  job. Ongoing  
West Virginia  Economic 
Infrastructure 
Bond Fund  West Virginia 
Development Office  Bond Recipients are located state-wide with an 
emphasis on business/industrial parks.  Interest rates for a for -profit sponsor is a 
minimum of the prime rate minus 3 % (to be fixed 
at closing). The length of the loan will be 
negotiated on each project and will not exceed the 
useful life of the a ssets being financed or 20 years, 
whichever is less. The West Virginia Infrastructure 
and Jobs Development Council may defer the 
repayment of principal and interest up to 5 years. 
The maximum loan amount for a private or public 
sector project is $3 million . The maximum 
participation rate for each project is 70 % for 
private sector projects and 90 % for public sector 
projects.  Ongoing  
West Virginia  Five for Ten 
Program  West Virginia 
Development Office  Tax credit  Recipients are qualified manufacturers.  This program establishes the value of asset 
improvements at  salvage value for property tax 
evaluations for 10  years.  Ongoing  
West Virginia  High-Tech 
Manufacturing 
Credit  West Virginia 
Development Office  Tax credit  Recipients are manufacturers of certain 
computer equipment, electronic components or 
semiconductors that create at least 20 new 
jobs. Eligible companies receive a tax credit to offset 
100% of the business and occupation tax, 
business franchise tax, corporate net income t ax, 
and personal income tax on certain income for 
20 years.  Ongoing  
West Virginia  Coal Loading 
Facilities Credit  West Virginia 
Department of Tax 
and Revenue  Tax credit  Coal industry  The credit is equal to 10% of a calculated qualified 
investment and applied over a 10 -year period to 
offset up to 50% of annual tax liability for Business 
Franchise Tax, Business and Occupation Tax and 
Severance Tax.  Ongoing  
West Virginia  Exclusion of Low 
Oil & Gas Wells  West Virginia State 
Tax Department  Tax Exemption  Oil and natural -gas wells located in in West 
Virginia and producing less than one -half barrel 
per day or less than 5,000 cubic feet per day. A 
similar exemption also applies to natural gas 
provided for free by producers to surface land 
owners.  Qualifying tax payers are exempted from the 
state's severance tax (5% of the gross value of 
severed oil and gas). Revenue foregone in 2019 
was $1.2 million and averaged $1.93 million on a 
yearly basis since 2010. Amount for 2020 is 
currently unavailable.  Ongoing   
 G/SCM/N/372/USA  
 
- 213 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Wisconsin  Small Cities 
Community 
Development 
Block Grant 
Program for Blight 
Elimination & 
Brownfield 
Redevelopment  Department of 
Administration  Grant  Recipients include local governments, 
businesses and individuals assessing and 
remediating the en vironmental contamination 
of an abandoned, idle, or underused industrial 
or commercial facility or site.  Awards are made as grants to eligible local 
governments. The local government may loan or 
grant the funds to local businesses or non - profit 
organizations to conduct an environmental audit 
or environmental remediation. The maximum 
award is $100,000 for environmental audits and 
$500,000 for environmental remediation projects. 
The local government must contribute at least 
25% of the total project  cost from other sources. 
Municipalities that receive grants must make a 
commitment to pursue recovery of environmental 
remediation costs from parties causing the 
contamination and to reimburse the Department a 
proportional share of CDBG funds. In addition , all 
program income received in connection with loans 
to businesses or non-profit  corporations must be 
paid to the Department within 30 days.  Ongoing  
Wisconsin  Tax Incremental 
Financing  Department of 
Revenue  Loan A city or village can designate a specific area 
within its boundaries as a TIF district and 
formulate a plan to develop it. TIF projects must 
be approved by the municipality's planning 
commission and legislative body.  At least 50 % 
of the TIF district's property area must be 
blighted, in ne ed of rehabilitation or be suitable 
as an industrial  site. The amount of assistance under this program 
varies depending on the project. TIF is based on 
two working principles: (1) new private 
development expands the municipality's tax base, 
thereby increas ing property tax revenues; and, 
(2) if the municipality must provide public 
improvements to attract the development, the 
overlying tax districts that benefit from the 
resulting increase in the community's tax base 
should share in the costs of  improvement.  Ongoing  
Wisconsin  Development 
Opportunity  Zone 
Credits  Wisconsin 
Economic 
Development 
Corporation  
(WEDC)  Tax credit  Recipients include businesses located in, or 
relocating to  Beloit, Janesville, or Kenosha.  The credit amount is tied to the type of activity, or 
number and type of jobs being created.  Ongoing  
Wisconsin  Early Stage 
Business 
Investment 
Program  WEDC  Tax credit  Eligible Angel investors include (1) Angel 
Individuals, (2) Angel Entities: groups of 
individuals formed to invest in one company 
only, and (3) Angel Networks: groups or 
individuals formed to make multiple 
investments in various qualified companies. To 
be considered eligible, each individual must 
meet accreditation standards as a sophisticated, 
high-net worth person.  This pro gram provides a non -transferrable tax 
credit for 25% of the total amount the investor 
invests and keeps invested for three years in a 
qualified company.  Ongoing  
Wisconsin  Film Production 
Company 
Investment Tax 
Credits  Department of 
Tourism  Tax credit  Recipients are film production companies.  The tax credit is equal to 15 % of price/cost of 
eligible expenditures.  Ongoing  
Wisconsin  Food Processing 
and Food 
Warehousing 
Investment Tax 
Credit  Department of 
Agriculture, Trade 
and Consumer 
Protection (DATCP)  Tax credit  Recipients are food processing plants and food 
warehouses  This program provides a tax credit up to 10% of 
the amount paid in the taxable year for a food 
processing plant or food warehouse modernization 
or expansion.  Ongoing   
 G/SCM/N/372/USA  
 
- 214 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Wisconsin  Woody Biomass 
Harvesting and 
Processing Tax 
Credit  DATCP  Tax credit  Eligible recipients are those that meet the 
equipment investment requirements.  This program provides a tax credit up to 10% of 
the amount paid in the taxable year for equipment 
used primarily to harvest or process woody 
biomass that is used as fuel or component of fuel.  Ongoing  
Wisconsin  Small Business 
Innovation 
Research -Small 
Business 
Technology 
Transfer (SBIR - 
STTR) Assistance  WEDC  Grants or loans  Recipients are those starting or expanding 
technology -based or research oriented 
businesses or a firm located in Wisconsin that 
relies on use of technology.  This program provides up to $4,000 per 
micro -grant (up to $8,000 total) per company. 
Each company must provide at least a 25% cash 
match per each micro -grant.  Ongoing  
Wisconsin  Economic 
Development 
Credit  Department of 
Revenue and 
WEDC  Tax Credit  The eligible activities that could qualify under 
the program include: (1) creating and 
maintaining full -time jobs; (2) making a 
significant investment in new equipment, 
machinery, real property, or depreciable 
personal property;  (3) making significant 
investments in the training or re - education of 
employees for the purposes of improving the  
productivity or competitiveness of the business; 
or (4) locating or retaining corporate 
headquarters in Wisconsin, or retaining 
employees holding full -time jobs in Wisconsin.  This non-refundable  credit may be claimed against 
the corporate income and franc hise tax or against 
the insurance premiums tax. The amount of the 
credit available is limited to $103.2 million plus an 
additional $100 million. Unused tax credit 
amounts may be carried forward for up to 
15 years.  For the taxable 
years beginning 
on or afte r 
January 1, 2016, 
this program was 
replaced by the 
Business 
Development Tax 
Credit that 
provides a 
refundable tax. 
However, the 
Economic 
Development tax 
credit can be 
carried forward 
for up to 
15 years.   
 G/SCM/N/372/USA  
 
- 215 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Wisconsin  Business 
Development Tax 
Credit (BTC)  Department of 
Revenue and 
WEDC  Tax Credit  Evaluation of all BTC applications will include, 
but is not  limited to, the following factors: 
Whether the project might  not occur without the 
allocation of tax credits; the extent to which the 
project will i ncrease employment in this state; 
The extent to which the project will contribute 
to the economic growth of this state; The extent 
to which the project will increase geographic 
diversity of available tax credits throughout this 
state; the financial soundne ss of the business; 
any previous financial assistance that the 
business received from the Department of 
Commerce or the Wisconsin Economic 
Development Corporation (WEDC). Businesses 
that are not assisted except in extraordinary 
circumstances include, but a re not limited to, 
the following: payday loan and title loan 
companies; telemarketing, other than inbound 
call centers; pawn shops; media outlets; retail; 
farms; primary care medical facilities;  financial 
institutions; and businesses in the hospitality 
industry.  Up to 10% of the wages the claimant paid to an 
eligible employee in the taxable  year. 
 
In addition to any amount claimed for an eligible 
employee under 1., up to 5% of the wages the 
claimant paid to an eligible employee in the 
taxable year if the el igible employee is employed 
in an economically distressed area as determined 
by WEDC.  
 
Up to 50% of the claimant's training costs to 
undertake activities to enhance an eligible 
employee's general knowledge, employability, and 
flexibility in the workplace; to develop skills 
unique to the claimant's workplace or equipment; 
or to develop skills  that will increase the quality of 
the claimant's  product.  
 
Up to 3% of personal property investment and up 
to 5% of real property investment in a capital 
investment project that involves a total capital 
investment of at least $1,000,000 or, if less  than 
$1,000,000, involves a capital investment equal to 
at least $10,000 per eligible employee employed 
on the project.  Ongoing  
Wisconsin  Dairy Processing 
Plant Grant 
Program  Wisconsin  Grants  Recipients are dairy processing plants 
conducting modernization and expansions.  Grants of up to $50,000 . Ongoing  
Wisconsin  Brownfield Grant 
Program  Department of 
Commerce  Grants  Eligible recipients include a city, village, town, 
county, individual, partnership, corporation or 
limited liability company.  A total of $6.57 million per year is provided under 
this program.  Ongoing  
Wisconsin  Electronics and 
Information 
Technology 
Manufacturing 
Zone Tax Credits  Wisconsin 
Economic 
Development 
Corporation 
(WEDC)  Tax credit  The recipients are SIO International Wisconsin, 
Inc., a Wisconsin corporation; FEWI 
Development Corporation, a Wisconsin 
corporation; and AFE, Inc., a Wisconsin 
corporation.  The recipients are eligible for up to 
$2,850,000,000 in Electronics and Information 
Technology Manufacturing Zone Tax Credits for 
the recipients' fiscal years ending 2018 through 
2032, consisting of Job Creation Tax Credits in the 
maximum amount of $1,500,000,000 and 
Capital  Investment Tax Credits in the maximum 
amount of $1,350,000,000.  WEDC and th e 
recipients signed 
an agreement in 
November 2017 
that established 
the recipients' 
eligibility for 
these credits, 
pursuant to 
Section 238.396 
of the Wisconsin 
Statutes.  
http://legis.wisco
nsin.gov/assem 
bly/19/brostoff/m
edia/3082/foxco 
nn-contract.pdf   
 G/SCM/N/372/USA  
 
- 216 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Wyoming  Film Industry 
Financial Incentive  Wyoming Film 
Office  Cash rebate  The recipient is the film industry.  This program provides a cash rebate of 12%-15% 
of the dollars spent in the State of Wyoming by 
film production companies during filming in the 
state. The minimum spending within the state 
required is  $200,000.  Ongoing  
Wyoming  Tax Exemptions 
for Manufacturing 
and Energy  Department of 
Revenue  Tax exemption  Recipients are manufacturers and energy 
companies.  This program provides a comprehensive sales and 
use tax exemption for machinery, equipment and 
services used in construction of manufacturing or 
coal to gas/liquid facilities . Ongoing  
Wyomin g Minerals to Value 
Added  Products 
Program  Wyoming Business 
Council  Guarantees  Recipients are refineries.  The total amount provided is up to $50,000,000.  Ongoing  
Wyoming  Severance -Tax 
Reduction for 
Stripper Wells  Wyoming Statutes 
39-14-205, 
Interstate Oil and 
Gas Compact 
Commission - 
IOGCC (2007)  Tax reduction  The recipient is the oil industry.  Oil produced from stripper wells in Wyoming is 
exempt from part of the state 's severance tax, 
thereby reducing the total rate of tax from 6% to 
4%. St ripper wells in Wyoming are low -volume, 
marginal wells producing less than 10 or 
15 barrels a day depending on the average price 
of oil. Some fiscal measures related to oil and 
natural -gas production may not constitute tax 
expenditures under an alternative  baseline where 
severance taxes (or production taxes) vary with 
market conditions and production costs.  
 
No values available for 2019 and 2020.  Ongoing  
Wyoming  Severance Tax for 
Flared Natural Gas  Wyoming Statutes 
39-14-205 Tax exemption  Recipients are natural gas producers.  Natural gas that is vented, flared, re -injected or 
consumed as process energy in the stimulation, 
treatment, transportation, and production of 
natural gas from the same well is exempt from 
Wyoming 's severance tax.  As with similar 
exemptions for coal, the on -site use (other than 
reinjection) or flaring of a fossil -fuel resource is 
severing that resource from the state forever and 
does represent foregone revenue to the state.  
 
No values available for 2019 and 2020 . Ongoi ng 
Wyoming  Sales Tax 
Exemption for 
Transporting 
Drilling Rigs  Wyoming Statutes 
39-15-105 Tax exemption  Recipients are from the transportation industry.  The supply of transportation services in relation to 
drilling rigs in Wyoming is exempt from the sales 
tax that is normally levied on most sales of goods 
and services in the state. Eligible services include 
the loading, unloading and assembling of drilling 
rigs. 
 
No values available for 2019 and 2020.  Ongoing   
 G/SCM/N/372/USA  
 
- 217 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Wyoming  Sales Tax 
Exemption for 
Certain Well 
Services  Wyoming Statutes 
39-15-105 Tax exemption  Recipients are to firms involved in oil and 
natural -gas extraction activities; this includes 
technical and support services such as 
seismographic and geophysical surveying and 
engineering servi ces. Professional services that are supplied in relation 
to oil and natural -gas extraction activities in 
Wyoming are exempt from the sales tax that is 
normally levied on most sales of goods and 
services in the state.  
 
No values available for 2019 and 2020.  Ongoing  
Wyoming  Sales Tax 
Exemption for 
CO2 Used in 
Tertiary 
Production  Wyoming Statutes 
39-15-105 Tax exemption  The recipient is the oil industry.  Purchases of CO2 and other gases used in tertiary 
production in Wyoming are exempt from the sales 
tax that is normally levied on most sales of goods 
and services in the state. Tertiary production is an 
extraction method that enhances oil recovery by 
injecting gases (e.g., CO2) in deposits to increase 
the amount of oil that can be extracted.  
 
No values available for 2019 and 2020.  Ongoing  
Wyoming  Severance Tax 
Credit for Certain 
R&D Projects  Wyoming Statutes 
39-14-205 Tax credit  Recipients are natural gas producers.  This measure allows natural -gas producers 
operating in Wyoming to obtain a credit applicable 
against their severance -tax liability for as much as 
50% of the cost of investment in certain research 
projects. Eligible projects are those that have been 
certified by the state 's gas research review 
committee.  
 
No values available for 2 019 and 2020 . Ongoing  
Wyoming  Severance Tax 
Reduction for 
Underground Coal  Wyoming Statutes 
39-14-104 Tax reduction  The recipient is the coal industry.  Coal produced from underground mines in 
Wyoming attracts a lower rate of severance tax 
(3.75%) than surface -mined coal (7%). Some 
fiscal measures related to coal production may not 
constitute tax expenditures under an alternative 
baseline where severance taxes (or production 
taxes) vary with market conditions and production 
costs.  
 
No values available fo r 2019 and 2020 . Ongoing  
Wyoming  Severance Tax 
Reduction for Coal 
Used as Process 
Energy  Wyoming Statutes 
39-14-105 Tax reduction  The recipient is the coal industry.  Coal used as process energy in the treatment and 
processing of coal from the same mine is exempt 
from Wyoming 's severance tax.  
 
No values available for 2019 and 2020 . Ongoing  
Wyoming  Property Tax 
Exemption for 
Underground 
Coal-Mining 
Equipment  Wyoming 
Department of 
Revenue  Tax exemption  The recipient is the coal industry.  Equipment used in underground coal mining in 
Wyoming is exempt from the state 's property tax 
whereas the rate on surface -mining equipment is 
11.5%.  
 
No values available for 2019 and 2020 . Ongoing   
 G/SCM/N/372/USA  
 
- 218 - State  Program Title  Program 
Authority  Form of 
Subsidy  To Whom  Amounts  Duration of the 
Program  
Wyoming  Sales Tax 
Exemption for 
Coal-Gasification 
Equipment  Wyoming Statutes 
39-15-105 Tax exemption  The recipient is the coal industry.  Purchases of equipment used to construct a new 
coal-gasification or coal -liquefaction facility in 
Wyoming are exempt from the sales tax that is 
normall y levied on most sales of goods and 
services in the state. Eligible equipment need to 
be used in a project to make it operational.  
 
No values available for 2019 and 2020.  Ongoing  
Wyoming  Fuel Tax 
Reduction for 
Aviation Gasoline  Wyoming Statutes 
39-17-104 Tax reduction  Recipient is the aviation industry.  The use of gasoline in an aircraft in Wyoming is 
subject to a lower rate of fuel tax ($0.04 per 
gallon) than that applied to road users in the state 
($0.14 per gallon).  
 
No values available for 2019 and 2020 . Ongoing  
Wyoming  Sales Tax 
Exemption for 
Energy Sold to 
Government  Wyoming Statutes 
39-15-105 Tax exemption  The recipients are energy companies.  Purchases of energy products by certain entities in 
Wyoming are exempt from the sales tax that is 
normally levied on most sales of goods and 
services in the state.  
 
No values available for 2019 and 2020 . Ongoing  
Wyoming  Wyoming Oil and 
Gas Conservation 
Commission  Wyoming State 
Government - 
Wyoming Oil and 
Gas Conservation 
Act Grants  The recipients are the oil and gas industries.  The Wyoming Oil and Gas Conservation 
Commission, established in 1951, Is committed to 
regulating oil and gas activities in a manner that 
ensures responsi ble development and 
management of Wyoming 's oil and gas resources 
and provides environmental stewardship.  
 
2019: Petroleum & Crude Oil: $3,381,858; Natural 
Gas: $13,921,326;  
 
2018: Petroleum & Crude Oil: $3,473,100; Natural 
Gas: $14,296,922 . Ongoing  
Wyoming  Enhanced Oil 
Recovery 
Commission  Wyoming State 
Government  Grants  Recipients are firms involved in the oil industry, 
particularly those involved with improving 
oil-recovery technology.  The Enhanced Oil Recovery Commission was set 
up in 2004 by the Wyoming State Legislature to 
encourage the adoption of improved oil -recovery 
technologies by producers operating in the state. 
The Commission also established a dedicated 
research program at the Institute for Energy 
Research and Enhanced Oil Recovery o f the 
University of Wyoming to investigate issues 
related to CO2 capture and reservoir fluids.  
 
2019: Petroleum: $5,067,832; Crude Oil: 
$7,239,330;  
 
2018: Petroleum: $6,414,163; Crude  Oil: 
$7,239,330 . Ongoing  
 
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