Dec 16, 2010
ANAHEIM, CA – (December 16, 2010) – In a move to increase business development and to assist in the creation of jobs, the City of Anaheim today was granted the highly desirable Enterprise Zone designation by the California Department of Housing and Community Development (HCD).
“This is very exciting news, and we are pleased with the State of California’s announcement granting Anaheim an Enterprise Zone designation,” said City of Anaheim Mayor Tom Tait. “Current and future Anaheim businesses will benefit, which in turn will create job opportunities. We have many people to thank, including the Anaheim business community, who worked diligently in the pursuit of this designation.”
In Anaheim the Enterprise Zone boundaries include nearly all of the City’s industrial and commercial areas, and approximately 80% of all Anaheim businesses. The Enterprise Zone designation is for 15 years.
Businesses within the Enterprise Zone are eligible for substantial tax credits and benefits, for example:
- Firms can earn $37,440 or more in state tax credits for each qualified employee hired.
- Corporations can earn sales tax credits on purchases of $20 million per year of qualified machinery and machinery parts.
- Up-front expensing of certain depreciable property.
- Lenders to Zone businesses may receive a net interest deduction.
- Unused tax credits can be applied to future tax years, stretching out the benefit of the initial investment.
- Enterprise Zone companies can earn preference points on state contracts.
- Up to 100% Net Operating Loss (NOL) carry-forward. NOL may be carried forward 15 years.
Final designation is expected no later than June 30, 2011. At today’s announcement, Anaheim was one of three cities statewide awarded this designation, the other new zones being Harbor Gateway and Santa Clarita Valley. Currently there are only 42 officially designated Enterprise Zone areas in the State of California. For more information about this announcement and for businesses interested in exploring the advantages of Anaheim please call the City of Anaheim Economic Development Office, at 714-765-4323.
Media Contact: Ruth Ruiz 714.765.5060###
ABOUT ANAHEIM – The City of Anaheim, founded in 1857, is one of the nation’s premier municipalities and is California’s 10th most populous city. Anaheim covers 50 square miles with more than 345,500 residents and more than 3,200 City employees. The municipal corporation’s annual budget is $1.4 billion. Anaheim supports a thriving business community with companies such as Carl Karcher Enterprises, Inc., L-3 Communications, Pacific Sunwear, and Disneyland Resort. Successful sports franchises call Anaheim home, including Angels Baseball, Anaheim Ducks, the 2008 Olympic Gold Medal winning U.S. Men’s National Volleyball Team, and the 2008 Olympic Silver Medal winning U.S. Women’s National Volleyball Team. Anaheim also boasts world-class meeting and entertainment venues with the Anaheim Convention Center, the largest on the west coast, Honda Center, City National Grove of Anaheim, The Shops at Anaheim GardenWalk, and Angel Stadium of Anaheim. Annually, Anaheim welcomes millions of visitors to the city, truly making it where the world comes to live, work and play. For more information, please visit www.anaheim.net.