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Contact
- Mary A. Hansen Enterprise Zone Manager |
530/741-6463 or fax
530/742-7835 |
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NEW YUBA-SUTTER ENTERPRISE ZONE STATE HIRING TAX
CREDIT VOUCHER SUBMISSION PROCEDURES |
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| State Implements Enterprise Zone Hiring Tax Credit Application Fee | |
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Senate Bill 1097 was signed into law by the
Governor on August 16, 2004, authorizing administrative funding for the
state Enterprise Zone Program. This funding will allow the Department of
Housing and Community Development to begin staffing the State Program to
allow administration of the program to move forward more effectively. Pursuant to SB 1097, on November 1, 2004, all Enterprise Zones will be assessed a fee of ten dollars ($10) for each application it accepts for issuance of an Enterprise Zone Hiring Tax Credit. The local zone administrator may collect this fee at the time it accepts an application for issuance of a voucher. In addition to the state fee, the bill also allows a zone to access a local fee that would remain with the jurisdiction. On October 5, 2004, the Yuba County Board of Supervisors, as the Lead Agency, addressed this matter. Through staff surveys and discussions with other zones, it was determined that zones in the larger metropolitan areas have charged a local fee and will continue in addition to the state fee, most others will only charge the state fee. Therefore, the Board agreed there would be no local fee for the service to the Yuba-Sutter business community. Please refer to the state hiring credit information to remind and refresh your understanding of the amount of zone credit that is potentially available in addition to the $10 state fee. A tax credit voucher can mean more than $31,000 in state tax credits for each eligible employee hired over a five-year period. The $10 fee is a minimal charge in comparison to the benefit received. New submission procedures: After
November 1, 2004, all applications for enterprise zone vouchering review
must include a $10 fee for each submitted. Applications received
without the fee included will be returned for resubmission. Zones have
agreed to implement this procedure to not impact their respective
jurisdiction's general fund. The collection and submission of the fee
to the state will be used as a performance measure of the zone with
reference to any future expansion or extension that may be available. |
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