Walton County Economic Development Council

Walton County Enterprize Zones

An Enterprise Zone is a specific geographic area targeted for economic revitalization. Enterprise Zones encourage economic growth and investment in distressed areas by offering tax advantages and incentives to businesses locating within the zone boundaries. Although all Enterprise Zones have the same basic goals of economic revitalization and community redevelopment, they offer their own local incentives and they maintain their own agendas for the communities.

Rural Enterprise Zones are given different tax credits than Urban Enterprise Zones through various incentives. A county and its municipalities may be designated Rural Enterprise Zones if the county has a population of 75,000 or less.

Walton County has three Rural Enterprise Zones:

In addition to local incentives, the State of Florida offers seven incentives for Rural Enterprise Zones:

Jobs Tax Credit (Sales Tax): Allows a business located within a Rural Enterprise Zone to take a sales and use tax credit for 30 or 45 percent of wages paid to new employees who live within a Rural County. To be eligible, a business must create at least one new job. The Sales Tax Credit cannot be used in conjunction with the Corporate Tax Jobs Credit.

Jobs Tax Credit (Corporate Income Tax): Allows a business located within a Rural Enterprise Zone to take a corporate income tax credit for 30 or 45 percent of wages paid to new employees who reside within a Rural County. To be eligible, a business must create at least one new job. The Corporate Tax Credit cannot be used in conjunction with the Sales Tax Credit.

Business Equipment Sales Tax Refund: A refund is available for sales taxes paid on the purchase of certain business property, which is used exclusively in an Enterprise Zone for at least 3 years.

Building Materials Sales Tax Refund: A refund is available for sales taxes paid on the purchase of building materials used to rehabilitate real property located in an Enterprise Zone.

Property Tax Credit (Corporate Income Tax): New or expanded businesses located within an enterprise zone are allowed a credit against Florida corporate income tax equal to 96% of ad valorem taxes paid on the new or improved property.

Sales Tax Exemption for Electrical Energy: A 50% sales tax exemption is available to qualified businesses located within an Enterprise Zone on the purchase of electrical energy, if the municipality has reduced the municipal utility tax by at least 50%.

Community Contribution Tax Credit Program: Allows businesses a 50% credit on Florida corporate income tax, insurance premium tax, or sales tax refund for donations made to local community development projects. Businesses are not required to be located in an enterprise zone to be eligible for this credit.

©2008 Walton County Economic Development Council
908 U.S. Highway 90 West • Suite 209 • DeFuniak Springs, Florida 32433 • 850-892-0555