KIZ Benefits

• Transferable Tax Credits
• Preferential Consideration for DCED Programs
• Stipends for Internships
• Innovation Grants to Partner with the Region’s Institutions of Higher Education

Transferable Tax Credits:
Tax credits are available to eligible companies located within a KIZ. A company may claim a tax credit equal to 50% of the increase in that company’ s gross revenue from year one to year two. In the event the company posts a revenue increase but doesn’ t maintain the tax liability then the company may sell the credit to another Pennsylvania based firm. The purchasing company will then apply the credit. The tax credit shall not exceed $100,000 annually and may be carried forward for up to four years.

Example:
Year 1, ABC Company’ s gross revenue = $40,000
Year 2, ABC Company’ s gross revenue = $60,000
Year 3, ABC Company may apply for a tax credit of $10,000 or sell the credit to another PA based company for $10,000. (50% of the $20,000 increase in gross revenue from year 1 to year 2.)

Applications must be filed by September 15 of each year.

Preferential Consideration for DCED Programs:
KIZ eligible companies applying for DCED programs, including but not limited to PIDA, MELF Funding and Job Creation Tax Credits, will receive preferential consideration. In simple terms, a company’ s application moves from the bottom of the pile to the top in an effort to expedite corporate growth within the KIZ.

Internships:
As the KIZ coordinator, NPTI can help you find an intern(s) and will provide the student a stipend up to $1,000.

Any interested and eligible companies should send the KIZ coordinator a job description of the internship position. NPTI will work with the thirteen local college and university career development offices to help you recruit your intern(s). A $1000 stipend is available to the student to offset a portion of the cost to hire an intern(s). The stipend is payable to the student in increments of $500 at 75 hours and $250 at 150 hours. Employer is asked to match the $250.