Targeted Jobs Withholding Tax Credit

Assisting businesses and encouraging development in urban renewal areas

The Targeted Jobs Withholding Tax Credit is a pilot program that allows diversion of withholding funds paid by an employer to be matched by a designated pilot city to create economic incentives directed toward the growth and expansion of targeted businesses locally. Match for every withholding dollar received. This match can be provided by a private donor, the pilot city, the employer, or a combination of all three; and can be in cash or in-kind contributions.

  • Withholding agreement allows up to 3% of gross wages paid by the employer to be directed to the project budget on a quarterly basis
  • All designated withholding funds and matching funds are to be used for an urban renewal project related to the employer as defined in the withholding agreement
  • Must be approved by the Iowa Economic Development Authority Board prior to the execution of any withholding agreement
  • Withholding agreement may have a term of up to 10 years

Eligibility

  • Must be located in Burlington, Council Bluffs, Fort Madison, Keokuk or Sioux City
  • Must be relocating to Iowa from another state and creating jobs at or above the hourly wage threshold for the city, OR
  • Be an existing Iowa business creating or retaining 10 new jobs at or above the hourly wage threshold for the city, OR
  • Be an existing Iowa business making a qualifying investment of $500,000 within an urban renewal area
  • Effective July 1, 2017, FY 2018 hourly wage thresholds are:
    • Burlington: $19.53
    • Council Bluffs: $18.18
    • Fort Madison: $21.79
    • Keokuk: $21.79
    • Sioux City: $21.40

How to Apply

  • Interested businesses and cities must jointly complete the application

Program Contact(s)

Maicie Pohlman
515.725.3019

Alaina Santizo
515.725.3197
businessfinance@iowaeda.com

 

 

 
Iowa Economic Development Authority
200 East Grand Avenue
Des Moines, Iowa 50309
Phone: 1.515.725.3000
email: Email Us

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