| Westchester
Town Center has become a State Enterprise Zone!
It means that you can lower your cost of doing business by taking
advantage of State tax credits and deductions not available
to businesses elsewhere.
The goal of these incentives is to stimulate business, growth,
and increased employment opportunities.
To learn more about the specifics, click on each incentive to
read more about them.
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What
are the State Enterprise Zone Tax Credit & Incentives? |
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What
are the State Enterprise
Zone Local Incentives? |
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The
Westchester Town Center BID welcomes your business!
| Employer
Hiring Credits |
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Up to $37,440 over a 5-year period per each qualified
employee can be claimed by an Enterprise Zone business
as a tax credit. An employee can qualify under any one
of 13 different categories.
For more information, call CDD at 213-744-7111, (TTY)
213-744-9395, or the Franchise Tax Board at (800) 400-7115,
TTY (800) 735-2929. You can also visit the
Franchise Tax Board website. |
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| Sales
and Use Tax Credits |
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An Enterprise Zone business can receive a tax credit of
100% of the sales/use tax paid for equipment purchases
for use in the zone. Machinery, machinery parts, telecommunications
equipment and office equipment such as copiers, printers,
fax machines and telephone systems also qualify.
For more information, call CDD at 213-744-7111, (TTY)
213-744-9395, or the Franchise Tax Board at (800) 400-7115,
TTY (800) 735-2929. You can also visit the
Franchise Tax Board website and refer to Publication
1047. |
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| Business
Expense Deduction |
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An accelerated depreciation is available for tangible
personal property the first year it is placed in service
in an Enterprise Zone. Office supplies and inventory do
not qualify. Limits: $20,000.
For more information, call CDD at 213-744-7111, (TTY)
213-744-9395, or the Franchise Tax Board at (800) 400-7115,
TTY (800) 735-2929. You can also visit the
Franchise Tax Board website and refer to Publication
1047. |
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| Net
Interest Deduction |
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Lenders can earn tax-free interest on loans made to Enterprise
Zone businesses.
For more information, call CDD at 213-744-7111, (TTY)
213-744-9395, or the Franchise Tax Board at (800) 400-7115,
TTY (800) 735-2929. You can also visit the
Franchise Tax Board website and refer to Publication
1047. |
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| Net
Operating Loss Carryover |
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100% of Net Operating Losses may be carried forward for
15 years to reduce the amount of taxable income for those
years.
For more information, call CDD at 213-744-7111, (TTY)
213-744-9395, or the Franchise Tax Board at (800) 400-7115,
TTY (800) 735-2929. You can also visit the
Franchise Tax Board website and refer to Publication
1047. |
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| Department
of Water and Power 5-Year Electrical Rate Discount |
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The Department of Water and Power offers a five-year electric
rate discount to new businesses that are moving into the
zone and apply within 18 months for the discount. Existing
businesses whose energy consumption in the 6-month period
before the date of application was at least 35% greater
than the monthly average in the prior 12 months also qualify.
For more information, call 213-744-7111, (TTY) 213-744-9395,
or visit
the LADWP website. |
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| Sewer
Facility Charge Extended Payment Option |
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The City allows Enterprise Zone businesses qualify for
a one-time lump sum payment exemption if the Sewer Facility
Charge is over $17,000. The fee can be paid in installments
over five years but interest is payable on any unpaid
balance.
For more information, visit
the Bureau of Engineering website or call their Central
District permit counter at 213-482-7474. |
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| Reduced
Parking Ordinance |
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This ordinance provides reduced parking requirements for
Enterprise Zone businesses compared with other areas of
the City.
For more information, visit
the Building & Safety website. |
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| Site
Plan Review Fee Waiver |
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Provide a fee waiver for review of commercial or industrial
architectural plans for projects 40,000 sq. fr. or larger
located in an Enterprise Zone during an initial application
for a site plan review.
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