A community with less than 250,000 in population may have up to four enterprise projects. Austin, and other communities with populations larger than 250,000, may have up to six enterprise projects. If a community designates a business as an enterprise project, and if that enterprise project designation is also approved by the state, the business may be eligible for the following incentive:
State Sales and Use Tax Refunds
An enterprise project is eligible for a refund of state sales and use taxes paid for building materials, machinery and equipment, electricity and natural gas purchased and consumed in the normal course of business. Depending on the business’ investment amount and number of jobs created/retained, the refund may be an amount ranging from a minimum of 2,500 USD per job to a maximum of 7,500 USD per job.
Receipts for purchases of building materials, machinery and equipment, and payroll information are required to be retained as part of the audit process. All contracts should keep detailed records which separate the costs for building materials and/or equipment from the costs of labor and services.
The refund for sales and use tax must be for all eligible items used at the approved business site.
For more information, visit:
Texas Enterprise Fund
P.O. Box 12428
Austin, TX 78711