The State of West Virginia provides a wide variety of economic development incentive programs for companies in various job creating business activities including manufacturing, distribution and teleservices. Please contact the West Virginia Development Office in order for us to learn more about your proposed project . We can then work with your company or client to develop a program that best meets the needs of the proposed project.

Tax Incentives...
Business Investment and Jobs Expansion Tax Credit
(Economic Opportunity Credit)

The State of West Virginia offers a Super Tax Credit program that can provide substantial tax credits for companies that create jobs in industries such as manufacturing, information processing, distribution, and destination tourism projects. A business that creates 50 jobs or more can offset up to 80 percent of its basic business tax liability over ten years with this credit. This innovative program is based on a formula calculated by using a job creation and a qualified investment factor. In addition small businesses in industries previously mentioned may qualify for the credit by creating at least 10 jobs over three years.

Corporate Headquarters Credit

The Corporate Headquarters Relocation Credit is available to corporations in particular industries that relocate their headquarters to West Virginia. If at least 15 jobs are created, the allowable credit is 10 percent of qualified investment. If the corporate headquarters relocation results in 50 or more new jobs, then the allowable credit is 50 % of qualified investment. Qualified investment includes the reasonable and necessary expenses incurred by the corporation to move its headquarters to this state.

Warehouse Freeport Amendment

The Freeport amendment allows goods in transit to an out-of-state destination to be exempt from local ad valorem property tax when "warehoused" in West Virginia. This exemption is specifically applicable to finished goods inventories.

West Virginia Capital Company Credit

The West Virginia Capital Company Act was established to encourage the formation of venture capital in West Virginia. Investors in qualified capital companies are entitled to a state tax credit equal to 50 % of their investment. Capital companies must have a capital base of at least $ 1 million but not greater than $ 4 million. The state has authorized a total of $5.5 million credits for Fiscal year 1998 which begins on July1,1997.

Other Incentives

Research & Development Credit for manufacturers, producers of natural resources, generators of electric power and persons providing manufacturing services.

Sales Tax exemption for materials and equipment used directly in manufacturing process.

Industrial Expansion or Revitalization Tax Credit is available for manufacturers as a credit against the business franchise tax.

Major Project Appraisal is available for expansions at facilities that have original investment of more than $ 100 million. This requires the property tax for capital improvements of more than $ 50 million be appraised at salvage value

Economic Infrastructure Bond Fund

Provides financial assistance for projects likely to foster and enhance economic growth and development.

Eligible Applicants
 

• Government Agencies
• Partnerships
• Corporations (Public and Private)
• Political Subdivisions
• Associations
• Limited Liability Companies

Eligible Activities
 

• Land / Facility Acquisition
• New Facility Construction
• Utility Construction
• Utility Installation
• Improvement / Expansion of Existing Facilities
• Purchase of Machinery or Equipment

Appalachian Regional Commission (ARC) Program

ARC Area Development Grant

Program Quick Facts:
 

• Funding Source: Federal
• Allocation: Approximately $3.3 million
• Grants may require up to 50% non-federal matching funds.
• Any not-for-profit public entity is eligible to apply.

Program Goals:

The Area Development Program is designed to achieve five goals:
 

• Appalachian residents will have the skills and knowledge necessary to compete in the world economy in the 21st century;
• Appalachian communities will have the physical infrastructure necessary for self-sustaining economic development and improve the quality of life;
• The people and organizations of Appalachia will have the vision and capacity to mobilize and work together for sustained economic progress and improvement of their communities;
• Appalachian residents will have access to financial and technical resources to help build dynamic and self-sustaining local economies; and
• Appalachian residents will have access to affordable, quality health care. 
  

Additionally, all projects must be consistent with the state of West Virginia's Annual Strategy Statement.