Incentives

Less Developed Census Tracts (LDCTs)

Less Developed Census Tracts provide a boost to the regular Georgia Job Tax Credit for any company type that qualifies for this benefit. Gwinnett companies located in a LDCT and create more than five jobs may receive credits of up to $3,500 per job, per year for five years (for a total benefit of $17,500 per job created).

• The maximum Job Tax Credit allowed under law – $3,500 per job created, per year, for 5 years
• Only applicable to Georgia Target Industries (as confirmed by the DCA)
• Use of Job Tax Credits against 100 percent of income tax liability and withholding
• Balance applicable towards state payroll withholding

For more information, visit the Georgia Department of Community Affairs.

Opportunity Zones (OZs)

Local governments that undertake redevelopment and revitalization efforts in certain older commercial and industrial areas qualify as Opportunity Zones (OZs) and can receive a State of Georgia job tax credit. New or existing businesses that create two or more jobs can receive a tax credit of up to $3,500 per new Georgia job. Credits can be used toward income tax liability and state payroll withholding. Areas that qualify for Opportunity Zone status are also typically within or adjacent to a census block group with a 15 percent or greater poverty level. Georgia Department of Community Affairs (DCA) has designated three areas of Gwinnett County as Opportunity Zones:

• Gateway85 Community Improvement District
• City of Duluth

Opportunity Zone Tax Credit Incentives:

• The maximum Job Tax Credit allowed under law– $3,500 per new Georgia job created
• The lowest job creation threshold of any job tax credit program– 2 jobs
• Use of Job Tax Credits against 100 percent of income tax liability and withholding
• Expansion of the definition of “business enterprise” to include all businesses of any nature

For more information, visit the Georgia Department of Community Affairs.

Historically Underutilized Business Zones (HUBZone)

The Historically Underutilized Business Zones (HUBZone) program helps small businesses in urban and rural communities gain preferential access to federal procurement opportunities. In order to qualify for the HUBZone program, your business must be located in an area designated as a Historically Underutilized Business (HUB) Zone. You may determine if an address or a particular area is designated as a HUBZone by using the HUBZone Maps.

For more information, visit the U.S. Small Business Administration.

Property Tax Abatement

Qualified companies that finance their project may be able to obtain certain property tax relief for new assets. This program is sometimes called, “Bonds for Title.” In Gwinnett County, this discretionary incentive considered on a case-by-case basis is usually structured as a phase-in of property taxes over a certain period of time such as 5 or 10 years. Special respect is given to existing industries. Important notes:

• A “Project” may include improvements to land, building or equipment not already on the tax digest, totaling at least $5 million in new investment
• Must create quality jobs as defined by wages (compared to current community wages), with benefits
• Does not include the community’s financial guarantee of the bonds
• Must be environmentally sensitive, be a respectful fit into the community, and be a good corporate citizen
• Must hire Gwinnett County workers and purchase from Gwinnett companies if at all possible
• A P&A (Performance & Accountability) Agreement is expected
• Such assistance is subject to approval from the Authority

Workforce/Hiring/Training Assistant

• Georgia Department of Labor (DOL) offers:
  • Labor Market Information
  • Recruitment and Staffing
  • Assistance with Tax Credits and Employment-related Laws, among a variety of other programs.
• Georgia QuickStart Program, the world renowned customized workforce training as a state incentive at no cost to qualified companies
• Gwinnett Technical College provides customized training opportunities, as well as traditional programs of study

Reduced or Waived Fees

Many fees experienced in other communities simply are not charged in Gwinnett. For example, there are no impact fees in unincorprated Gwinnett County.

Freeport Inventory Tax Exemption

This community has passed Referendums that offer manufacturers, distributors, wholesalers, and warehouse operations inventory tax exemptions on three categories of property: (1) Manufacturer’s raw materials and goods in process, (2) Finished goods held by the original manufacturer, and (3) Finished goods held by distributors, wholesales, and manufacturers destined for out-of-state shipments. Exemptions are based on the city where the company is located.

State Tax Credits

Tax credits give Georgia businesses the opportunity to minimize or even eliminate state corporate income tax. They apply to all qualifying* companies – large, small and in between – rooted in Georgia or new to the state. Typically, corporate income tax credits apply to 50 percent of a company’s state tax liability in a given year. But in some cases, they can offset up to 100 percent of corporate income tax as well as payroll withholding liability. The tax credits referenced here are extended by the state of Georgia to support business growth.

Disclaimer: Gwinnett County Department of Economic Development does not provide tax or legal advice, but rather suggested options for a company’s strategic consideration.