Tax Credits Overview
Businesses located in Marietta may apply to receive a variety of income tax credits. Based on program requirements, businesses may be eligible for state job tax credits and retraining tax credits as well as federal tax credits for hiring individuals from certain target groups. The state's Job Tax Credit Program provides for new and exisitng businesses who choose to locate within one of the city's "Designated Tax Credit Areas" to recieve the highest incentive for new job creation.
Businesses who locate within Designated Areas may be granted a state income tax credit of $3,500, per eligible new job while businesses in other locations of the city, must meet Tier 4 Job Tax Credit Program requirements to recevie a tax credit of $750. Businesses located in Designated Areas can use job tax credits against 100 percent of Georgia income tax and withholding tax liability. Businesses granted tax credits based Tier 4 program requirements can use the credit towards 50 percent of income tax and withholding tax liability.
Designated Area Tax Credits
Opportunity Zones, Military Zones and Less Developed Census Tracts provide for eligible businesses to receive a $3,500 tax credit per new job. If jobs are maintained for five years business are eligible to receive a total tax credit benefit of $17,500 per new job. Minimum job creation thresholds vary by program. Read more
Marietta has three Opportunity Zones offering a wide inventory existing commercial office, industrial and retail property suitable for new and expanding businesses and/or redevelopment. Read more
Marietta's Military Zones include property adjacent to Dobbins Air Reserve Base and Kennesaw State University-Marietta Campus and business parks and redevelopment sites. Read more
Less Developed Census Tracts
Marietta's Less Developed Census Tracts offer additional opportunities for businesses to receive increased Job Tax Credit Program benefits. Read more
Quick Facts - Designated Area Job Tax Credits
Credits up to $17,500 over 5 years per new job maintained
Use against 100 percent of Georgia Income tax liabilty and withholding tax
Any business, including retail, may receive Opportunity and Millitary Zone tax credits
Lower job creation thresholds for certification (than outside areas)
State Tax Credits
Tier 4 Job Tax Credit
The state Job Tax Credit Program provides for a income tax credit for any business or headquarters of any such business engaged in manufacturing, warehousing and distribution, processing, telecommunications, tourism, or research and development industries, but does not include retail businesses.
Eligible companies in Marietta must create a minimum of 25 net new jobs to claim a Tier 4 Job Tax Credit with a maximum value of $750 for each year (up to five years) jobs are maintained. The tax credits may be used towards 50 percent of state income tax and withholding tax liability. Read more
Quality Jobs Tax Credit
The Quality Jobs Tax Credit is granted for jobs that pay higher-than-average wages. Companies that create at least 50 jobs in a 12 month period are eligible to receive a tax credit of $2500-$5000 per job, per year, for up to five years, provided that each pay wages that are at least 10 percent higher than the county average for wages. Read more
Retraining Tax Credits
Georgia's Retraining Tax Credit helps companies offset the cost of retraining employees that are affected by the implementation of new equipment and technology. An eligible business enterprise may be granted tax credits against its state tax liability of 50 percent of their direct training expenses, with up to $500 credit per full-time employee, per training program. Read more
Additional Tax Credits
Work Opportunity Tax Credit (WOTC)
Work Opportunity Tax Credits (WOTC) are federal tax credits awarded to Georgia companies for hiring qualified individuals who have consistently faced significant barriers to employment. The tax credit can be from $1,200 to $9,600 per qualified employee, depending on the target group. To qualify for the tax benefit, companies must first receive certification from Georgia’s Department of Labor, which administers the program in Georgia. Read more
Child Care Tax Credit
Employers who provide or sponsor child care for employees are entitled to credits against income tax for cost of operation as well as for the cost of qualified child care property. In order to qualify for the credits, employer provided day care must be offered to employees of the employer and provided on the premises of the employer. For more contact on Georgia's Child Tax Credit contact Pamela Goshay with the GA Department of Revenue.
For more information on Tax Credit Programs, please contact:
Economic Development Manager, Development Services