Find your state of success with Oklahoma’s pro-business programs. Call today for your no-cost incentives analysis.
THE STATE OF MOTIVATION.
AMERICA’S MOST COMPREHENSIVE INCENTIVE PROGRAM
Oklahoma is globally recognized for its outstanding incentive program and pro-business environment. Businesses can choose between a cash incentive or a tax credit package, and in some cases, qualifying businesses can take advantage of both programs.
Quality Jobs Program
This cash-back job creation incentive has moved the State of Oklahoma to the forefront as a location for new manufacturing and service industry investment. The innovative Oklahoma Quality Jobs Program allows qualifying businesses creating quality jobs to receive a special incentive to locate or expand in Oklahoma.
Investment/New Jobs Tax Credit Package
This incentive, primarily targeted at manufacturing companies, allows a five-year tax credit on the greater of 1 percent per year of investment in qualified new depreciable property, or a credit of $500 per new job. These incentives double to 2 percent of new investment, or $1,000 per new job, if investment is greater than $40 million or in an enterprise zone.
Quality Jobs + Investment Tax Credits
These incentives target manufacturing industries that have a large capital investment of at least $40 million in addition to creating new jobs that pay more than the state’s average wage. The incentives also allow a five-year tax credit on the greater of 2 percent per year of investment in qualified new depreciable property, or a credit of $1,000 per year per new job.
21st Century Quality Jobs
The 21st Century Quality Jobs Program is an incentive that targets and promotes indisputably high-wage jobs and enables Oklahoma to diversify its economy by developing clusters around knowledge-based service industries.
Small Employer Quality Jobs
The Small Employer Quality Jobs Program provides quarterly incentive payments to a qualifying small employer (90 employees or less). Quarterly payments may be as much as 5% of new taxable payroll for up to 7 years. Qualifying payroll must be attributable to annual salaries that are at least 110% of the average wage of the county in which the jobs are located. Qualifying companies must also attain 75% out of state sales.
Economic Development Pooled Financing
An incentive that targets job creation and infrastructure development by creating a financing mechanism for companies and communities. This financing tool uses withholding taxes and other revenue to satisfy debt service, create jobs and investment, and remain revenue-positive for Oklahoma.
Sales Tax Refunds
This incentive is available on construction materials for certain manufacturers and aircraft maintenance repair facilities, on purchases of computers, data-processing equipment and telecommunication equipment for certain aircraft facilities, and for purchases of computer services and data-processing equipment for qualified computer services or research and development companies.
Customized Employee Training
Oklahoma’s Training for Industry Program (TIP), a CareerTech initiative consistently ranked as one of the nation’s leading workforce training efforts, is a no-cost/low-cost way for new or growing companies that create jobs to get a skilled, focused and motivated workforce. Customized to meet your needs for training, assessment, supplies, instructional materials and more.
Five-Year Ad Valorem Tax Exemption
This incentive is available for manufacturing, research and development, warehouse and distribution, certain computer/data processing services, wind power, refineries, and aircraft repair.
Aerospace Industry Engineer Workforce Tax Credit
Aerospace companies hiring engineers in a variety of fields will receive a tax credit equal to 5 percent of the compensation paid to an engineer until December 31, 2016, or 10 percent if the engineer graduated from an Oklahoma college or university (up to $12,500 per employee per year), plus another credit of up to 50 percent of the tuition reimbursed to an employee until December 31, 2016. Additionally, the engineer hired receives a tax credit of $5,000 per year until December 31, 2016.
Key Sales Tax Exemptions
- Processing machinery and equipment
- Electricity, fuel, other tangible property used in manufacturing
- Interstate 1-800, WATS and private-line business telecommunications systems
- Freeport inventory benefits
- Industrial access road assistance
- Foreign trade zones
- State and local financing programs