State Codes and Statutes
Statutes > Utah > Title-63m > Chapter-01 > 63m-1-50363M-1-503. Application for targeted business income tax credits.
(1) (a) For taxable years beginning on or after January 1, 2002, a business applicant mayelect to claim a targeted business income tax credit available under Section 63M-1-504 if thebusiness applicant:
(i) is located in:
(A) an enterprise zone; and
(B) a county with:
(I) a population of less than 25,000; and
(II) an unemployment rate that for six months or more of each calendar year is at leastone percentage point higher than the state average;
(ii) meets the requirements of Section 63M-1-412;
(iii) provides:
(A) a community investment project within the enterprise zone; and
(B) a portion of the community investment project during each taxable year for which thebusiness applicant claims the targeted business tax incentive; and
(iv) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, isnot engaged in the following, as defined by the State Tax Commission by rule:
(A) construction;
(B) retail trade; or
(C) public utility activities.
(b) For a taxable year for which a business applicant claims a targeted business incometax credit available under this part, the business applicant may not claim or carry forward a taxcredit available under Section 59-7-610, 59-10-1007, or 63M-1-413.
(2) (a) A business applicant seeking to claim a targeted business income tax credit underthis part shall file an application as provided in Subsection (2)(b) with the local zoneadministrator by no later than June 1 of the year in which the business applicant is seeking toclaim a targeted business income tax credit.
(b) The application described in Subsection (2)(a) shall include:
(i) any documentation required by the local zone administrator to demonstrate that thebusiness applicant meets the requirements of Subsection (1);
(ii) a plan developed by the business applicant that outlines:
(A) if the community investment project includes substantial new employment, theprojected number and anticipated wage level of the jobs that the business applicant plans tocreate as the basis for qualifying for a targeted business income tax credit;
(B) if the community investment project includes new capital development, a descriptionof the capital development the business applicant plans to make as the basis for qualifying for atargeted business income tax credit; and
(C) a description of how the business applicant's plan coordinates with:
(I) the goals of the enterprise zone in which the business applicant is providing acommunity investment project; and
(II) the overall economic development goals of the county or municipality in which thebusiness applicant is providing a community investment project; and
(iii) any additional information required by the local zone administrator.
(3) (a) The local zone administrator shall:
(i) evaluate an application filed under Subsection (2); and
(ii) determine whether the business applicant is eligible for a targeted business incometax credit.
(b) If the local zone administrator determines that the business applicant is eligible for atargeted business income tax credit, the local zone administrator shall:
(i) certify that the business applicant is eligible for the targeted business income taxcredit;
(ii) structure the targeted business income tax credit for the business applicant inaccordance with Section 63M-1-504; and
(iii) monitor a business applicant to ensure compliance with this section.
(4) A local zone administrator shall report to the office by no later than June 30 of eachyear:
(a) (i) any application approved by the local zone administrator during the last fiscalyear; and
(ii) the information established in Subsections 63M-1-504(4)(a) through (d) for each newbusiness applicant; and
(b) (i) the status of any existing business applicants that the local zone administratormonitors; and
(ii) any information required by the office to determine the status of an existing businessapplicant.
(5) (a) By July 15 of each year, the department shall notify the local zone administratorof the allocated cap amount that each business applicant that the local zone administratormonitors is eligible to claim.
(b) By September 15 of each year, the local zone administrator shall notify, in writing,each business applicant that the local zone administrator monitors of the allocated cap amountdetermined by the office under Subsection (5)(a) that the business applicant is eligible to claimfor a taxable year.
Renumbered and Amended by Chapter 382, 2008 General Session
