Tax Incentives for Businesses

Enterprise Zone Program

Enterprise Zones are designated areas within the City of Kent in which businesses can receive tax exemptions on eligible investments in buildings, machinery/equipment, and inventory, and improvements. Through State of Ohio and Portage County authorizations, all of the City of Kent has been designated as an Enterprise Zone, and is, therefore, able to provide qualifying companies with tax abatements of up to 75% of the value of new real and tangible personal property for a period of up to 10 years.

The City's objectives in establishing this designation are:

• To create new, and retain existing jobs within the City
• To encourage new investment
• Improve competitiveness
• Increase local property and income tax revenues
• Generally improve the economic climate of the City

The benefits to an eligible company will be a reduction in their overall tax requirement which may be used to off-set start-up or expansion costs, and improvement of the company's competitive advantage vis-à-vis its competition. In addition, corporate franchise tax benefits may also be available to the company for specific projects if certain conditions are met.

Community Reinvestment Area Program

Community Reinvestment Areas (CRA) are designated areas within the City of Kent which permit businesses to apply for real property tax abatements on the improved real estate value of a project.

The purpose of this program is to encourage property owners to reinvest within the City of Kent by not having to pay real property taxes on the increased value of their property for a given period of time (5 to 15 years depending on the project). Both new construction and remodeling of existing structures for residential, commercial and industrial land uses are eligible for CRA benefits.