Utility Tax Exemption Program
What is it?
Utility Tax Exemption
The Western Illinois Economic Development Authority (WIEDA) administers the WIEDA Enterprise Zone. The Illinois Enterprise Zone Program allows companies with large investments and jobs to be eligible for EXPANDED state tax exemptions as incentives to encourage businesses to make a new investment on property within the Zone. This stimulates business activity and creates new employment opportunities. Local units of government can opt to also provide local incentives in an Enterprise Zone.
Eligibility
Major Requirements Include:
Job Requirements
A business in an enterprise zone is eligible to receive an exemption of utility taxes if they:
• Create 200 full-time-equivalent jobs and invest at least $5 million in qualified property; or
• Create 150 full-time-equivalent jobs and invest at least $175,000,000; or
• Retain 1,000 full-time-equivalent jobs and invest at least $20,000,000.
Location Requirements
The WIEDA EZ can be expanded to add territory for a business project in the Illinois counties of Adams, Brown, Cass, Fulton, Hancock, Henderson, Mason, McDonough, Morgan, Pike, Schuyler, Scott and Warren
Benefits
If Approved:
Natural Gas Tax Exemption
The Natural Gas Tax Exemption is the lower of 2.4 cents per therm or 5.0% of the customers billing period.
Electric Tax Exemption
The Electric Tax Exemption is the 5.1% tax and the Illinois Commerce Commission’s administrative charge.
Telecommunication Tax
The Telecommunication Excise Tax is available to businesses located in enterprise zones.
Long-Term Scope
Each certification is for a period of five years and can be renewed in five-year increments for up to thirty years.