Keystone Innovation Zone (KIZ) Tax Credits
The KIZ tax credit application is based on increasing gross revenues with a maximum KIZ Tax Credit Award Amount of $100,000 each year.
Qualifications to apply for the KIZ Tax Credit:
- Company must be less than 8 years of age - based on incorporation date
- Company is located within a KIZ Keystone Innovation Zone
- Company falls into one of the industry approved zones - example: Life Sciences, Information Technology, Advanced Communications, Agriculture and Food Services, healthcare and Environmental Engineering, Bakc Office/Finance, Advanced Materials and Diversified Manufacturing
- Company is completing the required semi-annual online KIZ Force reporting: December 1 through January 15 (FY first half) and June 1 through July 15 (FY second half) - for more reporting details contact your KIZ Coordinator.
- Company has increasing gross revenues with the comparable year being greater than the base year’s gross revenues (comparable year = year prior to the year the application is being submitted and base year = two years prior to the year the application is being submitted)
Selling KIZ Tax Credit - please contact us at 215-540-8463 for more details and the process.
KIZ Keystone Innovation Zone Applications and KIZ Keystone Innovation Zone Award Letters:
- Apply date for KIZ is September 15th each year
- Award date for KIZ is around December 15th each year via a letter mailed to the company from the state
Selling the KIZ tax credit:
- A company must complete filing their state and federal tax returns for the year the tax credit was awarded prior to selling the awarded tax credit.
- A tax credit must be used against a tax liability first then the remaining amount can be either: sold, carried forward for the award year plus 4 years, or for a company who files as an SCorp has another option for the tax credit amount to be passed through to the shareholders.
Keystone Innovation Zone Tax Credit Guidelines
Keystone Innovation Zone Tax Credit Single Application for Assistance