California Enterprise Zone -- One of various kinds of "economic development areas" designated by the State of California. Enterprise Zones provide state tax relief as an incentive to draw more business and jobs into economically distressed communities.
Empowerment Zone -- One of various kinds of tax incentive zones providing federal tax savings under programs administered by the U.S. Department of Housing and Urban Development (HUD) and the U.S. Department of Agriculture.
Enterprise Community -- One of various kinds of tax incentive zones providing federal tax savings under programs administered by the U.S. Department of Housing and Urban Development (HUD) and the U.S. Department of Agriculture.
Federal Tax Incentive -- A tax incentive offered by the U.S. federal government, as compared to state tax incentives, which are offered by any of the 50 state governments (see Tax Incentive, and Federal Tax Incentive).
Franchise Tax Board -- California state agency responsible for administering the state's corporate franchise tax and income tax.
Hiring Credit -- A tax credit offered under the California Enterprise Zone program. Businesses may generate more than $30,000 in state tax credit per qualifying employee based on the employee's work hours and compensation.
Hiring-based Incentive -- Tax incentives that promote the hiring of individuals as a means towards increased employment and other social and/ or economical goals (see also Purchase-based Incentive).
Net Interest Deduction -- A tax incentive offered under the California Enterprise Zone program. Lenders generate a tax deduction based on a portion of the interest earned on loans made to enterprise zone businesses. The lender itself does not have to be located within an Enterprise Zone.
Purchase-based Incentive -- Tax incentives which promote investment in equipment or other qualifying assets as a means towards economic development or other social and/ or economic goals (see also Hiring-based Incentive).
Renewal Community -- One of various kinds of tax incentive zones providing federal tax savings under programs administered by the U.S. Department of Housing and Urban Development (HUD) and the U.S. Department of Agriculture.
Research and Development (R&A) -- The federal and most state governments offer tax savings based on a company's investment in their own qualifying research and development.
Sales & Use Tax Credit -- One of various tax incentives offered by the California Enterprise Zone program. Enterprise Zone businesses qualify for tax savings based on the value of qualifying equipment that they purchase and place into service within the Enterprise Zone.
State Tax Incentive -- A tax incentive offered by a state government, as compared to federal tax incentives, which are offered by the U.S. federal government (see Tax Incentive).
Targeted Employment Area -- A residential area within a California Enterprise Zone that is specially targeted for increased employment. Enterprise Zone businesses hiring workers who live in the Targeted Employment Area qualify for substantial tax savings.
Targeted Tax Area -- One of various kinds of "economic development areas" designated by the State of California. Targeted Tax Areas provide state tax relief as an incentive to draw more business and jobs into economically distressed communities.
Tax Credit -- As compared to a tax deduction (which reduces taxable income), tax credits reduce actual tax by one dollar for each dollar of tax credit.
Tax Deduction -- As compared to a tax credit, a tax deduction reduces tax by reducing the taxable income basis upon which tax is calculated.
Tax Incentive -- A program by which local, state, and federal governments promote a desired outcome by offering taxpayers a reduction in tax if they will comply with the tax incentive program's requirements.
Welfare to Work Tax Credit -- A credit against federal income tax earned by employers when they hire individuals that were members of families receiving long-term public assistance. Maximum credit is $8,500 during two employment years.
Work Opportunity Tax Credit -- A credit against federal income tax earned by employers when they hire individuals from any of the program's 7 targeted groups. Maximum credit is $2,400 per qualifying newly hired employee.
WOTC (See Work Opportunity Tax Credit)
WTW (See Welfare to Work Tax Credit)