When a gap exists between the costs associated with doing business in Indiana versus another state, you may be eligible for a payroll-based tax credit with a difference. In Indiana, if your payroll tax credits exceed your state income tax liability, you get the difference right back to your bottom line. Your project may be eligible for EDGE tax credits if a competitive gap exists in project costs, including incentives, between an Indiana location and competing state. EDGE tax credits are based on the payroll associated with the net new jobs created by the project. The credits awarded are applied first to any Indiana corporate income tax liability.
Any excess amount earned is refunded directly to the company.
So, your bottom line gets the full benefit each and every year. EDGE does require a company commitment to maintain operation of the project for a period of two times as long as the term of the tax credit.