ARIZONA INCENTIVES SUMMARY

Qualified Facility Tax Credits
A refundable income tax credit for a manufacturing facility or a manufacturing-related research or headquarters facility. The credit is equal to ten percent of the capital investment in a new or expanding facility or $20,000 per qualified new job created, whichever is less. The program caps the annual tax credit at $30 million per project. At least 51 percent of the new jobs at the facility must pay wages of at least 125 percent of the state median production wage (100 percent in rural areas) and offer health insurance for which the employer pays at least 65 percent of the premiums. Also, companies must make a capital investment of at least $250,000 with at least 80 percent of the property and payroll devoted to manufacturing, manufacturing-related research & development, or headquarters.

Quality Jobs Tax Credit
The Quality Jobs Program provides a $9,000 nonrefundable income tax credit for each qualifying new job created, claimed $3,000 per year for three years. The program requires a capital investment of at least $5 million and at least 25 qualifying new jobs in urban areas and a capital investment of at least $1 million and at least five qualifying new jobs in rural areas. Unused tax credits may be carried forward for up to five years.