The Illinois Enterprise Zone Program is designed to stimulate economic growth and neighborhood revitalization in economically depressed areas. This is accomplished through state and local tax incentives, regulatory relief, and improved government services.
The Illinois Enterprise Zone Act was signed into law December 7, 1982. The purpose of the Act is to stimulate economic growth and neighborhood revitalization in economically depressed areas of the state.
Beginning December 30, 2016, portions of the cities of Olney and Newton, Village of Sainte Marie, and the counties of Jasper and Richland were awarded an Enterprise Zone, to be known as the Olney/Richland/Newton/Jasper (2017) Enterprise Zone.
The Enterprise Zone offers various incentives that apply to any remodeling, rehabilitation, or new construction of a qualified commercial, industrial, or manufacturing project with a total cost exceeding $10,000.
The Olney/Richland/Newton/Jasper (2017) Enterprise Zone offers real property tax abatements on permanent remodeling, rehabilitation, or new construction of 100% of the taxes corresponding to the increase in assessed valuation to the improvements on the property for a period of five years beginning with the year the improvements are fully assessed, and not located in a TIF district.
A sales tax exemption is permitted on the sale of building materials to be permanently affixed to the property incorporated into real estate used in the project within the Enterprise Zone.
The investment credit is a state investment tax credit of 0.5%, allowed to a taxpayer who invests in qualified property in an Enterprise Zone.
Each Enterprise Zone has a zone administrator who is responsible for zone compliance and is available to answer questions regarding the zone. To apply for a sales tax exemption, you must contact the local administrator of the zone, Mike Mitchell (618) 395-7302 x5.