Enterprise Zone Incentives

Murphysboro Enterprise Zone

The Illinois Enterprise Zone Act, signed into law in 1982, builds a coalition between state and local government to stimulate economic growth at the local level. This is accomplished through state and local tax incentives, regulatory relief, and improved government services to companies locating in the Enterprise Zone.

State Incentives

  • Investment tax credits of 0.5% on machinery, equipment, and existing buildings.
  • Sales tax exemption of 5% for construction materials purchased from a qualified retailer within the Enterprise Zone.
  • A 5% sales tax exemption on machinery used or consumed in operation of pollution control facilities to qualifying companies
  • A $500 state income tax credit for each job created (minimum of 5 jobs) for which a certified dislocated worker is hired.
  • Qualifying companies locating inside the zone can be eligible for an exemption of state utility tax (5%) and the 0.10% administrative fee.
  • State income tax deductions including dividend, income, interest, and contribution deductions.
  • All state of Illinois business-financing programs are available to companies locating, expanding, or retaining jobs in the Enterprise Zone.

Local Incentives

  • Property tax abatement of 100% for the first five years and 50% for the second five years for commercial or industrial projects.
  • Property tax abatement of 100% for the first five years and 50% for the next three years for the restoration of historic properties.
  • Local sales tax exemption of 1.25% for building materials purchased from a qualified retailer located within the City of Murphysboro or unincorporated areas of Jackson County.
  • Waivers of building permit fees.

State and local business financing assistance programs and employee training are also available.