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Incentives at a Glance
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Alabama
Industrial Development Grant: State grant for site preparation,
access and engineering of publicly controlled sites for qualifying
industrial projects. The size of the grant depends on total amount of
capital investment. Grant amount range is $10,000 to $150,000. Granted to
local public authority and subsequently to company. Requires company to
meet state SIC* code criteria. |
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Alabama
Industrial Access Road Grant: State grant to cities and counties
to finance construction and improvements of access roads to industrial
sites. Amount of grant determined by local and state economic impact
analysis and availability of state funds. |
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CDBG
Economic Development Grant: Eligible applicants may apply for ED
grants to provide land, facilities and infrastructure such as water lines,
sewer lines, rail spurs, docks, cranes, access roads, etc. to facilitate
creation and/or retention of jobs by a new or existing business. A grant
range of $200,000 to $350,000 will apply. A local match of at least 20% is
required. The proposed activities (Manufacturers, warehouse or
distribution centers) must be associated with the location of a new
business or expansion of an existing business generally creating 15 or
more jobs. At least 51% of the project beneficiaries must be persons of
low and moderate income. |
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Non-Educational State and Local Property Tax Abatement: Multi-year
abatement of non-educational property taxes for industrial projects up to
10 years, for state, county and city property taxes on land, building,
machinery and equipment. Granted by local public authority. Requires
company to meet state SIC* code criteria. |
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Non-Educational Sales and Use Tax Abatement: One-time abatement of
non-educational construction related sales and use taxes on construction
materials and machinery and equipment placed in service at the industrial
facility. Granted by local public authority. Requires company meet state
SIC code criteria. |
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State and
Local Property Tax Exemptions: All raw materials to be compounded
or manufactured for manufacturing purposes are exempt from property
taxation. Other exemptions include goods moving through the state to a
final designation outside the state and goods in public warehouses. |
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Waiver of
Business License Fees: Some cities allow a waiver on the cost of a
business license for a period of one to three years. |
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State and
Local Sales and Use Tax Exemptions: Sales tax exemptions are
allowed for raw materials, materials and equipment for pollution control,
quality control testing and donations to charitable organizations. Utility
gross receipts tax exclusions are allowed for electrolytic and
electrochemical manufacturing processes. |
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State
Corporate Income Tax Deductions: Deductions for net operating
losses with a 15-year carry forward, and for pollution control equipment.
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State
Corporate Income Tax Credits: Allows qualifying companies to claim
tax credit against Alabama income tax liability generated by or arising
out of a qualifying industrial project. Allows company to apply five
percent of initial capital cost of the project to state income tax
liability for a period of 20 years. Requirements: $8.00 per hour new
hourly/salaried employees or $10.00 per hour of total compensation; 15 to
20 jobs; $1 million to $2 million in capital investment. |
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Workplace
Learning State Income Tax Credit: Allows employers to take an
income tax credit up to 20 percent of the cost of an approved Basic Skills
Education Program that enhances basic skills of employees up to, and
including, the 12th grade functional level. |
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Alabama
Industrial Development Training: Helps new or expanding companies
find and train workers at no cost to the company. AIDT specializes in
program development, recruiting, assessing and training potential
employees, providing on-the-job training, developing and producing
training materials and videos, and locating facilities and delivering
customized service. |
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Alabama
Industrial Development Training: Helps new or expanding companies
find and train workers at no cost to the company. AIDT specializes in
program development, recruiting, assessing and training potential
employees, providing on-the-job training, developing and producing
training materials and videos, and locating facilities and delivering
customized service. |
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Career
Center On-The-Job Training: Provides businesses a reimbursement of
up to 50% on wages for trainees for up to $10.00 per hour and six months
of training. Businesses are expected to provide bona fide training, keep
an accurate account of each trainee(s) time and attendance and provide
workers compensation insurance (or comparable liability insurance). The
CareerLink’s Job Developer prepares all necessary paperwork. |
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HUBZone
Program: Provides federal contract opportunities for qualified
small businesses located in distressed areas. The offer of the HUBZone
small business will be considered 10% lower than the offer of a
non-HUBZone/ non-small business providing that the offer of the HUBZone
small business is not more than 10% higher. Baldwin County’s HUBZone is
located in Bay Minette. (Map
of Location) |
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Foreign
Trade Zone: Baldwin County has over 1,130 acres that have been approved for General
Purpose Foreign Trade status. The primary focus of a FTZ is to allow
companies to reduce or eliminate duties and tariffs until such time as
they are shipped to other markets. No duty is ever paid on re-exporting
merchandise. If the merchandise is sold domestically, no duty is paid
until it leaves the zone. Generally no duty is paid on waste or yield
loss. Also, duty on scrap is eliminated or reduced. If foreign merchandise
is manufactured within an FTZ into a product with a lower duty rate, then
the lower duty rate applies. (Baldwin County's FTZ
Information and Locations) |
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...For Site Selectors Business Overview Community Overview Education at a Glance Financing at a Glance Foreign Trade Zone Incentives at a Glance Market Access Overview Quality of Life Overview Taxes at a Glance Utilities Overview Workforce Overview
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