Tax Credits
Major Business Facility Job Tax Credit
Qualifying companies locating or expanding in Virginia receive a $1,000 corporate income tax credit for each new, full-time job created over a threshold number of jobs; the normal threshold for the job tax credit is 100 new jobs.
A $1,000 credit is available for each job in excess of the threshold and is taken in equal installments over 3 years. Unused credits may be carried over 10 years.
Worker Retraining Tax Credit
Virginia businesses may be eligible to receive an income tax credit equal to 30% of all expenditures made by the employer for worker retraining. The credit has a spending cap of $2.5 million in any taxable year.
Eligible worker retraining consists of Department of Business Assistance certified courses at Virginia community colleges and private schools, or retraining programs through apprenticeship agreements approved by the Virginia Apprenticeship Council.
Day Care Facility Investment Tax Credit
Virginia businesses can receive a 25% state tax credit on expenditures for construction, renovation, planning or acquisition of facilities to provide day care for company employees.
Recycling Equipment Tax Credit
An income tax credit is available to manufacturers for the purchase of certified machinery and equipment for processing recyclable materials.
The credit is equal to 10% of the original total capitalized cost of the equipment. In any taxable year, the amount of credit cannot exceed 40% of the company's Virginia income tax liability before the credit.
Qualifying companies locating or expanding in Virginia receive a $1,000 corporate income tax credit for each new, full-time job created over a threshold number of jobs; the normal threshold for the job tax credit is 100 new jobs.
A $1,000 credit is available for each job in excess of the threshold and is taken in equal installments over 3 years. Unused credits may be carried over 10 years.
Worker Retraining Tax Credit
Virginia businesses may be eligible to receive an income tax credit equal to 30% of all expenditures made by the employer for worker retraining. The credit has a spending cap of $2.5 million in any taxable year.
Eligible worker retraining consists of Department of Business Assistance certified courses at Virginia community colleges and private schools, or retraining programs through apprenticeship agreements approved by the Virginia Apprenticeship Council.
Day Care Facility Investment Tax Credit
Virginia businesses can receive a 25% state tax credit on expenditures for construction, renovation, planning or acquisition of facilities to provide day care for company employees.
Recycling Equipment Tax Credit
An income tax credit is available to manufacturers for the purchase of certified machinery and equipment for processing recyclable materials.
The credit is equal to 10% of the original total capitalized cost of the equipment. In any taxable year, the amount of credit cannot exceed 40% of the company's Virginia income tax liability before the credit.