BUSINESS INCENTIVES

• Sales and Use Tax Abatement

  Sales and use tax abatement on qualified capital equipment purchases, with reductions in the rate to as low as 2%.

• Modified Business Tax Abatement

  An abatement of 50 percent of the 1.17% rate on quarterly wages exceeding $50,000.

• Personal Property Tax Abatement

  An abatement on personal property not to exceed 50% over a maximum of 10 years.

• Real Property Tax Abatement for Recycling

  Up to 50% abatement for up to 10 years on real and personal property for qualified recycling businesses. Further information available here.

Qualifying Criteria for Tax Abatements:

A company must meet two criteria out of three.

• Average Wage (Statewide average wage) – must meet average wage*

  Capital Investment

  Number of Primary Jobs created

Note: The company has to offer a medical insurance plan and pay at least 65% of the plan’s premium costs.

Company Responsibilities:

• Maintain the business in Nevada for 5 years

• Register pursuant to the laws of Nevada

• Generate more than 50% of revenue from the project from outside of the State

Note: For the most current statewide average wage visit: https://nevadaworkforce.com/

• Sales and use tax abatement for up to 10 or 20 years on qualified capital equipment purchases, with reductions in the rate to as low as 2%.

  *Requires the Governor’s Office of Economic Development (GOED) Board to approve a reduction to 2% by a two-thirds vote.

• An abatement on personal property not to exceed 75% over a maximum of 10 or 20 years.

Requirements to Qualify

10-year Abatements:

• Jobs: Within 5 years employ 10 full-time employees who are Nevada residents

• Wages: Pay at least 100% of the Statewide Average Wage

• Capital Investment: Within 5 years, invest at least $25 million in cumulative capital expenditures between the applicant and tenants

20-year Abatements:

• Jobs: Within 5 years employ 50 full-time employees who are Nevada residents

• Wages: Pay at least 100% of the Statewide Average Wage

• Capital Investment: Within 5 years, invest at least $100 million in cumulative capital expenditures between the applicant and tenants.

Company applying for Data Center Tax Abatements also must meet following criteria:
•Maintain the business in Nevada for 10 years.
•Register pursuant to the laws of Nevada.
•Offer medical insurance plan and pay at least 65% of the insurance premium costs.
•Ensure that 50% or more of all workers engaged in construction of the data center are Nevada residents.

• Sales and use tax abatement for up to 10 years on qualified capital equipment purchases, with reductions in the rate to as low as 2%.

  *Requires the Governor’s Office of Economic Development (GOED) Board to approve a reduction to 2% by a two-thirds vote.

• An abatement on personal property not to exceed 50% over a maximum of 10 years.

Requirements to Qualify

• Create 5 or more new full-time jobs within one year

• Pay an average wage of at least 100% of the Statewide Average Wage

In addition to the above requirements the company must meet ONE of the following criteria:

• Make a new capital investment of at least $250,000 within 1 year

• Maintain and possess in this State tangible personal property of not less than $5,000,000

• The business develops, refines or owns a patent or other intellectual property, or has been issued FAA certificate (14 CFR Part 21)

• Capital Investment of at least $1 Billion

  Abatement of Taxes Include:

  ■ Sales and Use Tax Reduction – Depending on the county a company chooses to locate in, the reduced rate ranges between 4.6% and 6.125% for 15 years.

  ■ MBT – 75% for 10 years.

  ■ Property Taxes (Real and Personal) – 75% for 10 years.

  No longer available: Transferrable Tax Credit’s (TCCs) $38M available; $9,500 for each qualified employee up to 4,000 jobs. Sunset on June 30, 2025.

• Capital Investment of at least $3.5 Billion

  Abatement of Taxes Include:

  ■ Sales and Use Tax Reduction – Depending on the county a company chooses to locate in, the reduced rate ranges between 4.6% and 6.125% for 20 years.

  ■ MBT – 100% for 10 years.

  ■ Property Taxes (Real and Personal) – 100% for 10 years

  No longer available: Transferrable Tax Credit’s (TCCs) $38M available; $9,500 for each qualified employee up to 4,000 jobs. Sunset on June 30, 2025.

• Requirements to Qualify

  ■ Must meet the ‘Standard Abatement’ requirements for an Urban or Rural location.

  ■ Business must be in the primary trade of recycling at least 50% of raw material or an intermediate product onsite; or converting the energy derived from recycled material (industrial, domestic, agricultural, or municipal waste) into electricity.