Enterprise Zone Benefits

A wide range of financial incentives are available to businesses that expand or locate in the Greater Centralia Area Enterprise Zone. This zone was certified by the State of Illinois beginning December 31, 2016 and terminates on December 29, 2031. In addition to the City of Centralia, this zone is located in Central City, Wamac and unincorporated areas of Clinton, Jefferson, Marion and Washington Counties. It is governed by a 15 member board comprised of two members from each government unit and one member at large and is administered by the Economic Development Director for the City of Centralia.

Enterprise Zone Incentives

 

 Abatement of Property Tax on New Improvements


The Greater Centralia Area Enterprise Zone offers a 10 year 100% tax abatement on the additional property tax created by new construction resulting in job creation. The property tax abatement provisions do not exempt owners of property in the Enterprise Zone from property tax altogether. The program abates property tax on new improvements, but not abate the tax paid on existing buildings and land.

 Sales Tax Exemption


A 6.25 percent state sales tax exemption is permitted on building materials to be incorporated into real estate located within an enterprise zone established by a county or municipality under the Illinois Enterprise Zone Act. Receipts for materials used for remodeling, rehabilitation or new construction may be deducted from such sales when calculating the tax imposed by this Act. A certificate of Eligibility for Sales Tax Exemption must be issued by the administrator of the enterprise zone.

 Other State of Illinois Tax incentives include:


Enterprise Zone Machinery and Equipment Sales Tax Exemption, Enterprise Zone Utility Tax Exemption, Enterprise Zone Investment Tax Credit, and Corporate Contribution Deduction. For more information on these programs please contact the City of Centralia or the Illinois Department of Commerce and Economic Opportunity.

 Waiver of Building Permit Fees


City building permit fees on any renovation, expansion or new construction project within the Enterprise Zone are waived. This waiver of fees applies to building, excavation and demolition.