Incentive Spotlight
Indiana Enterprise Zones Incentives

Program Overview

The Indiana Enterprise Zone (EZ) program is designed to stimulate economic development in economically distressed areas of Indiana by providing businesses with significant state and local tax incentives. Beyond financial relief, the program also includes workforce development initiatives and community revitalization efforts, such as workforce training, upskilling, and the improvement of local commercial corridors.

Benefits

Businesses located within designated Enterprise Zones may qualify for several key tax incentives, including:

• Investment Deductions: Deduct the increase in assessed value from qualified investments in real or personal property for up to 10 years
• Investment Cost Credit: A credit on qualified investments made within the zone
• Loan Interest Credit: A credit for interest paid on loans used to finance qualified investments
• Qualified Employee Deduction: Tax deductions for the hiring of eligible employees

Qualified investments include:

• Purchase of a building
• Purchase of new manufacturing or production equipment
• Costs related to the repair, rehabilitation, or modernization of existing buildings
• Onsite infrastructure improvements
• Construction of new buildings
• Retooling of existing machinery

Eligibility

To participate in the Indiana Enterprise Zone program, your business must be located within a designated Enterprise Zone. If your business qualifies, you may be eligible for various incentives based on the investments you make in real or personal property within the zone.

If you’re unsure whether your location qualifies or if your investments are eligible for support, it’s recommended to consult with the DMA Credits & Incentives team. We can assist you in navigating the program and ensuring you maximize the available benefits.

Important Dates

Be mindful that May 15th is the deadline to report any investments made within the zone to ensure you receive the corresponding benefits.