|
|
Article: In the Zone: Enterprise Zone credits offer businesses tax breaks that make a difference.(location-based incentive credits)
- Article from:
- California CPA
- Article date:
- July 1, 2006
- Author:
CopyrightCOPYRIGHT 2006 California Society of Certified Public Accountants. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
|
Location-based incentive credits (LBICs) offer many advantages, including current and prior year refund potential and favorable financial statement impact.
Yet, according to the Franchise Tax Board, only 3,199 companies claimed hiring credits in 2003 (the most recent statistics available), representing less than 10 percent of potential eligible businesses.
Familiarity with these benefits can significantly impact negotiations during a merger, sale or purchase of a business. For CPAs, staying abreast of these can be a valuable service to current and prospective clients.
STATE VS. FEDERAL
State and federal LBICs vary in amount and ...