Arizona has lowered taxes, streamlined regulations, and established a suite of incentives to support corporate growth and expansion. The Arizona Competitiveness Package, groundbreaking legislation adopted in 2011, makes it easier for existing Arizona companies to prosper and establishes Arizona as one of the most desirable places for expanding companies to do business. Give your company a competitive edge by utilizing Arizona’s incentives.
Qualified Facilities Tax Credit
The Arizona Qualified Facility tax credit is designed to attract and expand corporate headquarters, manufacturing, and related R&D operations in the state. Managed by the Arizona Commerce Authority, it offers up to $125 million annually in refundable tax credits to eligible businesses until December 2030. Businesses can receive a tax credit of up to 10% of their capital investment or up to $30 million each year, dependent on investment and job creation.
Eligibility hinges on a minimum $250,000 investment in facilities primarily focused on qualifying activities and the creation of new full-time positions with wages exceeding the state’s median. Companies must also have a majority of their sales out of state and cover a significant part of their employees' health insurance. This program is a lucrative incentive for businesses to invest in Arizona, bolstering the state’s economy and employment landscape.
Quality Jobs Tax Credit
Enhance your business in Arizona with the Quality Jobs tax credit program, designed to stimulate investment and create valuable employment opportunities within the state. This initiative awards up to $9,000 in tax credits over three years for each new qualifying job, with annual credits of $3,000 per job to promote sustained employment. The program supports up to 10,000 new positions yearly, with credit availability detailed in the Tax Credit Allocation Table.
Eligibility for this program is open to any company that meets the minimum capital investment and generates the required number of new jobs in Arizona, with different thresholds for urban and rural areas. Urban companies must invest between $500,000 and $5,000,000 and create at least 25 new jobs, paying 100% to 200% of the county median wage. Rural businesses have lower thresholds, with investments starting at $100,000 and a minimum of 5 new jobs at similar wage percentages.
Foreign Trade Zone
Foreign Trade Zones (FTZ) are government-designated sites where foreign and domestic materials may be stored, manipulated, mixed with domestic and/or foreign materials, used in assembly or manufacturing processes, or exhibited for sale without triggering the payment of U.S. Customs and Border Protection (CBP) duties and excise taxes. Along with duty and tariff elimination or reduction, Arizona offers up to an 80% reduction in state real and personal property taxes by operating in a federally qualified Foreign Trade Zone. The reduction is good for the entire time that a company operates in the FTZ.
Link: www.trade.gov/foreign-trade-zones-board
Enhanced Customer Experience
San Luis provides faster turnaround times and a customer-friendly experience since all of the Development Services department divisions work together as one team to guide you through the process of your project every step of the way. We know that your time is valuable, and we are here to help. The less time you spend with us, the more time you have to focus on your business or project! Learn more about the Development Services Division.
FUTURE48 Workforce Accelerator
With training in electrical technology, advanced manufacturing, broadband fiber optics and solar installation, this Accelerator includes a 5,600-square-foot expansion of the Wellton Manufacturing Training Center. Industry partners include TRAX International and the U.S. Army Yuma Proving Ground.
LINK: www.azcommerce.com/future48-workforce-accelerators
Medical Options with Mexico Coverage
The proximity of Mexico assists clients reduce medical costs. Plans can be designed to be included in your ACA-compliant plan, or as a standalone option. This is a sample of plan designs and costs. Contact us for more details. (Download Sample Plan)
