Creating Jobs in Indiana? Why you should be claiming Indiana’s Payroll Tax Credit called the EDGE!
Creating Jobs in Indiana?
Read below to find out why you should apply for a Payroll Tax Credit!
Introduction
The Economic Development for a Growing Economy (EDGE) Tax Credit is Indiana’s secret weapon, designed to incentivize companies to invest, create jobs, and elevate the standard of living for Hoosiers. In this blog post, we’ll delve into the details of the EDGE program, explore its benefits, and explain why businesses should consider applying.
What Is the EDGE Tax Credit?
The EDGE Tax Credit is Indiana’s primary job creation incentive. Its purpose is simple yet impactful: to provide a tax credit to companies that create net new jobs within the state. Here’s how it works:
Job Creation: Companies that expand their workforce by hiring new employees are eligible for the EDGE credit. Whether you’re a startup or an established business, the program encourages job growth.
Wage-Driven Calculations: The credit amount is calculated based on the number of jobs created and the associated wages. The more jobs you create and the higher the wages, the greater your potential benefit.
Refundable and Phased: The EDGE credit is refundable. The benefit is calculated as a percentage (not to exceed 100%) of the expected incremental tax withholdings generated by new jobs created by the business at your site location.
Why Should Businesses Apply?
1. Lower Your Costs of Doing Business in Indiana
Every time you create a job, your benefit is up to 100% of the expected increased tax withholdings, which decreases your operating costs significantly in comparison to not participating in the program – making the Hoosier state a low-cost location to hire new employees and/or expand operations.
2. Strategic Growth
Indiana’s strategic location, robust infrastructure, and skilled workforce make it an ideal place for business expansion. Whether you’re in manufacturing, technology, or any other industry, the EDGE program provides the impetus to grow strategically and cost-effectively.
3. Long-Term Commitment
The phased-in approach ensures a long-term commitment. As your business scales up, the credit continues to support your growth trajectory. It’s not a one-time benefit; it’s an investment in your company’s future. This program continues to provide benefits for 10 years!
4. Competitive Advantage
EDGE-certified companies gain a competitive advantage by substantially reducing operating costs. When potential investors or partners see your commitment to Indiana’s growth, it enhances your reputation and opens doors to new opportunities within the state and regionally.
We're here to help
The Indiana EDGE Tax Program isn’t just about tax breaks; it’s about building a stronger, more vibrant Indiana. Businesses that participate contribute to a thriving economy, better opportunities for their employees, and a brighter future for the state. So, if you’re considering expansion or job creation in the Hoosier state, reach out to an EIAG professional and take advantage of the EDGE program—it’s a win-win for your business and Indiana.