Conn. Gen. Stat. §12-217v
Description and Applicable Taxes
Definitions
Qualifying corporation means a corporation that is:
- Created
on or after January 1, 1997, in an Enterprise Zone or other area designated as having
Enterprise Zone level benefits, and which either:
- Has at least 375 employees, at least 40% of whom are residents of the municipality in which the Enterprise Zone is located and qualify under the federal Workforce Investment Act (WIA); or
- Has fewer than 375 employees, at least 150 of whom are residents of the municipality in which the Enterprise Zone is located; and qualify under the federal WIA.
- Created
on or after July 1, 2015, in an Enterprise Zone or other are designated as
having Enterprise Zone level benefits, and which is primarily engaged in
bioscience, clean technology or cybersecurity technology, which either
- Has at least 188 employees, at least 40% of whom are residents of the enterprise zone or the municipality in which the enterprise zone is located and qualify under the Job Training Partnership Act, or
- Has fewer than 188 employees, at least 75 employees of whom are residents of the enterprise zone or the municipality in which the enterprise zone is located and qualify under the Job Training Partnership Act.
Enterprise Zone means any area designated by DECD as an Enterprise Zone plus any area designated as having the equivalent of Enterprise Zone level benefits.
Tax Credit Amount
The tax credit amount is equal to:
- 100% of the corporation business tax liability in years 1 through 3; and
- 50% of the corporation business tax liability in years 4 through 10.
Carryforward and Carryback Limitations
No carryforward or carryback is allowed.
How to Apply
Corporations may call DECD at 860-270-8252 and request the Enterprise Zone Program pre-application questionnaire. Upon review of the completed pre-application questionnaire, a DECD staff representative will contact the corporation to discuss the program further and to explain the formal application process.
Completion of the pre-application questionnaire does not constitute a formal application for the tax credit. Once a formal application is approved, DECD will issue to the corporation Forms UT-4, Eligibility Certificate for Enterprise Zone Benefits, and UT-9, Claim for Corporate Business Tax Credit Under the Provisions of the Enterprise Zone Program.
How to Claim the Tax Credit
Enter the available tax credit on Form CT-1120K, Business Tax Credit Summary.
Where to Get Additional Information
Direct inquiries to:
Connecticut Department of Economic and Community Development
450 Columbus Boulevard
Hartford CT 06103
860-500-2352-8252
Statutory and Regulatory References
Conn. Gen. Stat. §12-217v
Last updated January 25, 2017