In Wisconsin

Economic Development Tax Credits

Economic Development Tax Credits

Assisting Business Expansion and Relocation

10.1.3 Business Expansion And Relocation_photo

Businesses that begin operating in Wisconsin, relocate to the state, or expand an existing operation here may be eligible for Economic Development Tax Credits (ETC).

How It Works

Tax credits are allocated for the creation or the retention of full-time jobs, and are based on wage range of the jobs, number of jobs to be created or retained, capital investment made by the business and training costs for new or current employees. If the applicant does not anticipate having a substantial Wisconsin income tax liability, these credits can be transferred to a third party.

Transferring Wisconsin’s Economic Development Tax Credit

What if a company has no projected Wisconsin tax liability? This tax credit can be transferable. When applying for this tax credit, a company must express intent to transfer the credit and meet certain requirements. For more information about transferability, contact your WEDC Regional Account Manager.

Eligibility Factors

Evaluation of all ETC applications will include, but are not limited to, the following factors:

  • Whether the project might not occur without the allocation of tax credits
  • The extent to which the project will be financed with other forms of public assistance
  • Whether the project will displace workers in this state
  • The extent to which the project will retain or increase employment in this state
  • The extent to which the project will contribute to the economic growth of this state
  • The financial soundness of the business
  • Any previous financial assistance that the business received from the Department of Commerce/WEDC

Ineligible Businesses

Businesses that are not assisted include, but are not limited to, the following: payday loan and title loan companies, telemarketing, pawn shops, media outlets such as newspapers and radio unless the job creation is significant, retail, farms, primary care medical facilities, financial institutions, tourism unless the job creation is significant, and the hospitality industry.

For more information on Economic Development Tax Credits, contact your WEDC regional account manager.