Excelsior Jobs Program
The Excelsior Jobs Program provides job creation and investment incentives to firms in a specific set of targeted industries.
The Excelsior Jobs Program provides job creation and investment incentives to firms in such targeted industries as biotechnology, pharmaceutical, high-tech, clean-technology, green technology, financial services, agriculture and manufacturing. Firms in these strategic industries that create and maintain new jobs or make significant financial investment will be eligible to apply for up to four refundable tax credits.
Tax Credits
- The Excelsior Jobs Tax Credit: A credit of up to $5,000 per new job to cover a portion of the associated payroll cost.
- The Excelsior Investment Tax Credit: Valued at two percent of qualified investments.
- The Excelsior Research and Development Tax Credit: A credit for new investments in New York State equaling 10% of the Federal Research and Development credit.
- The Excelsior Real Property Tax Credit: Available to firms locating in certain distressed areas and to firms in targeted industries that meet higher employment and investment thresholds (Regionally Significant Project).
Program Eligibility
The Program is limited to firms making a substantial commitment to growth – either in employment or through investing significant capital in a New York facility. The Job Growth Track comprises 75% of the Program and includes all firms in targeted industries creating new jobs in New York. Twenty-five percent is set aside for the Investment Track firms who have at least 50 employees and make significant new capital investments in a New York facility and which meet a benefit-cost threshold of at least $10 of investment and new wages for every $1 of tax credit.
Every firm approved for participation in the program is eligible to apply for the Jobs Tax Credit, the Investment Tax Credit, and the R&D Tax Credit. Only certain categories of firms are eligible to also apply for the Real Property Tax Credit. Participation in the Program and the amount of credits authorized is at the discretion of the Commissioner. No benefits will be provided if a firm fails to meet its job and investment commitments.
Job Growth Track – Excelsior Minimum Eligibility Criteria
| Strategic Industry | Excelsior Minimum Eligibility Criteria | Minimum Jobs Regionally Significant Project | Minimum Jobs & Investments |
|---|---|---|---|
| Scientific R&D | 10 | 20 | $6,000,000 |
| Software Development | 10 | N/A | N/A |
| Agriculture | 10 | 20 | $500,000 |
| Manufacturing | 25 | 50 | $5,000,000 |
| Financial Services | 100 | 300 | $6,000,000 |
| Back Office | 150 | 300 | $6,000,000 |
| Distribution | 150 | 300 | $30,000,000 |
| Other | N/A | 300 | $6,000,000 |
- Investment Track Firms in Strategic Industries who make significant capital investment & have and retain at least 50 employees
- Minimum Benefit Cost Ratio = 10:1
- Total investment, wages and benefits : Excelsior Jobs Program Tax Credits
Application Process
A firm must apply to the appropriate Empire State Development (ESD) with its plan for expansion or growth. Based on that plan, ESD will calculate the maximum potential tax credits over a 5-year period, based on:
- Projected capital investment
- Amount of salary & benefits expected to be paid to new employees
- R&D expenditures
If the application is approved, then within the available credits each year, ESD will enter into a formal agreement with the firm that clearly states the tax credits as well as the job and investment requirements for each year. Firms that meet all obligations in the agreement will be issued a certificate allowing them to claim eligible tax credits.
Why Choose Dopkins?
Our expertise is located locally and we are committed to keeping current on changing deadlines and changing parameters.
Dopkins will be there every step of the way to help your company complete the application and then work with the state to expedite certification and calculate credits.
For more information, contact Robert E. Pollock CPA, CVA at rpollock@dopkins.com.
