Monday, March 7, 2011
New Enterprise Zones in Southern California
In case you missed it, a few months ago the Department of Housing and Community Development (HCD) announced 3 new conditional Enterprise Zones (EZ) in Southern California. Anaheim, Harbor Gateway and Santa Clarita Valley will have these zones which replace expiring zones. The final desigations of these zones are expected by mid year and will be in effect for 15 years.
The Anaheim zone includes areas in which 80% of all Anaheim businesses reside. For a detailed map (be sure to use your zoom tool when viewing), click here...
The Harbor Gateway zone includes most of San Pedro, Wilmington and Harbor Cities. For that detailed map, click here...
The Santa Clarita Valley zone expands the zone created in 2007 beyond Santa Clarita's city limits to almost double that existing zone. The new zone will stretch from Six Flags Magic Mountain west of I-5 to the new Disney ABC Studios ranch near Highway 14 and Placentia Canyon road.
The tax advantages of businesses within EZ boundaries are significant. They include the EZ Hiring Credit providing up to $37,000 per qualified employee, EZ Sales/Use Tax Credit, income tax credit for sales tax paid on qualified equipment and the EZ Net Interest Deduction for Lenders.
This is great news for businesses in these new zones and will amount to substantial tax savings for many of those businesses. If you have any questions whatsoever about these developments, as always please let me know.
Posted by Glenn Carniello, CPA CCIFP at 8:21 PM
Labels: Enterprise Zone
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