154.31.020 Annual incentive cap established -- Requirements for qualification for incentives -- Maximum incentives available to an approved company. - Kentucky Statutes

Download pdf

Loading PDF...

Page 1 of 1 154.31-020 Annual incentive cap established -- Requirements for qualification for incentives -- Maximum incentives available to an approved company. (1) The maximum amount of sales and use tax incentives that may be committed in each fiscal year by the authority shall be capped at twenty million dollars
($20,000,000) for building and construction materials, and five million dollars
($5,000,000) for equipment used for research and development or electronic
processing. (2) (a) To qualify for the sales and use tax incentives available under this subchapter, an eligible company shall make a minimum investment of at least five
hundred thousand dollars ($500,000) in an economic development project,
including the cost of land, but excluding the cost of labor. (b) To qualify for the sales and use tax incentive available under this subchapter for electronic processing equipment, in addition to the requirements of
paragraph (a) of this subsection, the eligible company shall spend an aggregate
amount of at least fifty thousand dollars ($50,000) on electronic processing
equipment installed as part of the economic development project. (3) (a) The maximum sales and use tax incentive available to an approved company under this subchapter is the total amount of sales and use tax paid on
purchases made on the following items, up to the approved recovery amount
after approval by the authority:
1. Building and construction materials; 2. Research and development equipment; and 3. Electronic processing equipment. (b) An approved company may qualify for a sales and use tax incentive in more than one (1) category listed in paragraph (a) of this subsection for the same
economic development project. If the authority approves an eligible company
to receive the sales and use tax incentives in more than one (1) category, the
authority shall allocate the incentives to the appropriate cap established by
subsection (2) of this section. Effective: June 26, 2009
History: Created 2009 (1st Extra. Sess.) Ky. Acts ch. 1, sec. 21, effective June 26, 2009.