Summary

The High Quality Job Creation Program provides qualifying businesses tax credits to offset the cost incurred to locate, expand or modernize an Iowa facility. To qualify for this very flexible assistance package that includes tax credits, exemptions and/or refunds, a business must be a non-retail or non-service business and meet at least four of the eligibility requirements.

High Quality Jobs Program

The High Quality Jobs (HQJ) program provides qualifying businesses assistance to offset some of the costs incurred to locate, expand or modernize an Iowa facility. This flexible program includes loans, forgivable loans, tax credits, exemptions and/or refunds. The Iowa Economic Development Authority offers this program to promote growth in businesses, which employ Iowans in jobs defined as high-quality by state statute.

  • Actual award amounts based on the level of need; quality of the jobs; percentage of created or retained jobs defined as high-quality; and the project’s economic impact

  • Local property tax exemption of up to 100% of the value added to the property to a period not to exceed 20 years may be available

  • Investment tax credit equal to a percentage of qualifying investment

    • Amortized over 5 years, which offsets Iowa income taxes owed

    • Tax credit earned when corresponding asset is placed in service

    • Credit can be carried forward for up to 7 additional years or until depleted, whichever occurs first

  • Refund of state sales, service or use taxes paid to contractors or subcontractors during construction

  • Refund of sales and use taxes paid on racks, shelving and conveyor equipment for distribution projects

  • State's research activities credit may be increased while participating in the program