ARKANSAS BUSINESS INCENTIVES
(All incentive programs may be canceled or exhausted without notice)
Advantage Arkansas
Provides an income tax credit to eligible companies
Credit is based on percentage of payroll of the new employees hired
Credit is earned annually for a period of 5 years
Company can offset 50% of its income tax liability
Unused credits may be carried forward for 9 years
Tax Back
Provides a refund of sales and use tax paid on qualified expenditures (building materials; machinery and equipment exempt)
Refund will consist of city, county and state taxes paid less 1% (1/8%-Conservation; 7/8%-Education)
Currently the state sales tax is 6.5%; therefore the refund of state taxes will be 5.5% of the eligible taxable purchases
Company must spend at least $100,000 to qualify and obtain city and county resolutions authorizing refund
The Tax Back program must be combined with a job creation incentive. (Advantage Arkansas or Create Rebate)
ArkPlus
Provides a state income tax credit equal to 10% of the total investment in the project
Requires both a minimum payroll and minimum investment, based on tiers (see Tier Map)
Credits may be used to offset 50% of company’s income tax liability
Unused credits may be carried forward for 9 years
Customized Training Grants
Provides reimbursement for both on and off-site training for newly created positions related to an expansion or new location
Flexible and highly customizable
Pre-employment training, new employee orientation, on-the-job training, and/or skills upgrades for new positions qualify under this program
All prospective production employees are encouraged to complete the Career Readiness Certificate Process from the Arkansas Department of Workforce Services