Financial Assistance

Elmira Empire Zone

In 1986, New York State's Empire State Development, working in cooperation with local governments, created the Economic Development Zones Program (EDZ) in order to stimulate economic growth. In 2001, that program was updated to the Empire Zone (EZ) program. Within Chemung County, an area has been designated as the Elmira EZ.

New or expanding businesses in the Zone are eligible to receive EZ benefits if they invest in the expansion of a facility and/or create new jobs or prevent the loss of existing jobs. EZ benefits include the following:

New as of 4.15.01
Tax Reduction Tax Credit is applied against business corporate taxes, personal income taxes, banking corporation taxes or insurance corporation taxes. The credit is computed by formula based on the numbers of jobs created, the company's assets in the Zone and in the State, and the income taxes owed by the company. The credit can eliminate the companies NYS Income Tax Liability. This credit is available for a 15-year period - 10 years at 100%, decreasing 20% each year thereafter.

Real Property Tax Credit is applied against business corporate taxes, personal income taxes, banking corporation taxes or insurance corporation taxes. The credit is computed by formula based on the numbers of jobs created and the real property taxes paid on property in the Zone. The credit is refundable once the company’s NYS Tax Liability is eliminated. This credit is available for a 15-year period - 10 years at 100%, decreasing 20% each year thereafter.

Sales Tax Exemption from the 4% NYS sales and uses taxes for tangible personal property and services sold to a qualified business is available. A company must maintain or increase employment in the Zone and in the State in the year they are claiming the credit. The company must also register with the NYS Department of Taxation & Finance and be issued an exemption certificate. The certificate is valid for a 10-year period as long as the business meets or exceeds its base year employment number.

Manufacturing

Wage Tax Credit for up to five years for hiring full-time employees in newly created jobs. For employees in targeted groups this credit equals $1,500 a year, with a credit of $750 a year for all other new hires. These credits will double as of 2001.

Investment Tax Credit of up to 10% for the construction, acquisition and/or renovation of facilities and production equipment for manufacturing, industrial waste treatment and research & development operations.

Employment Incentive Credit is directly related to the Investment Tax Credit (ITC), and allows an additional 3% in each of the three years following the year(s) in which an ITC is taken. To receive this credit the Zone business must employ at least 101% of the average number of people employed during the previous year.

Sales Tax Credit of the full 7% for purchases of building materials used in connection with industrial or commercial property.

NYS Electric and Gas Discounts of up to 4 cents per KwH on electricity and up to 6 cents per Therm on gas are available to Zone businesses.

Bell Atlantic Telephone Discounts are available from NYNEX. A 5% discount on intrastate calls is provided for Zone businesses.

 

Service/Commercial

Wage Tax Credit for up to five years for hiring full-time employees in newly created jobs. For employees in targeted groups this credit equals $1,500 a year, with a credit of $750 a year for all other new hires. These credits will double as of 2001.

Sales Tax Credit of the full 7% for purchases of building materials used in connection with industrial or commercial property.

NYS Electric and Gas Discounts of up to 4 cents per KwH on electricity and up to 6 cents per Therm on gas are available to Zone businesses.

Bell Atlantic Telephone Discounts are available from NYNEX. A 5% discount on intrastate calls is provided for Zone businesses.

 

Retail

Wage Tax Credit for up to five years for hiring full-time employees in newly created jobs. For employees in targeted groups this credit equals $1,500 a year, with a credit of $750 a year for all other new hires. These credits will double as of 2001.

NYS Electric and Gas Discounts of up to 4 cents per KwH on electricity and up to 6 cents per Therm on gas are available to Zone businesses.

Bell Atlantic Telephone Discounts are available from NYNEX. A 5% discount on intrastate calls is provided for Zone businesses.

Credit for Construction Materials used in Empire Zones

Empire Zone and Zone Equivalent Areas Tax Credits