The Empire Zone programs in Potsdam and Ogdensburg offer a number of aggressive business incentive programs.

Certified businesses that plan on hiring new workers, building, or making an investment in machinery in either Potsdam and Ogdensburg may be eligible for a combination of State tax credits and benefits through the Empire Zone Program. The benefits include:

QEZE Sales Tax Exemptions: Qualified Empire Zone Enterprises (QEZEs) are granted a 10-year exemption from State sales tax on purchases of goods and services (including utility services) used predominantly in an Empire Zone.

QEZE Credit for Real Property Taxes: Qualified Empire Zone Enterprises are allowed a refundable credit against business or income tax equal to a percentage of real property taxes paid in the zone.

QEZE Tax Reduction Credit: Qualified Empire Zone Enterprises are allowed a credit against business or income tax equal to a percentage of taxes attributable to the zone enterprise.

EZ Wage Tax Credit: This credit is available for up to five consecutive years for companies hiring full-time employees in newly created jobs. For employees in special targeted groups, this credit equals $3,000 per year, with a credit of $1,500 per year for all other new hires.

EZ Investment Tax and Employment Incentive Credits: Businesses that create new jobs and make new investments in production, property and equipment may qualify for tax credits of up to 19% of the company's eligible investment.

New Business Refund: Businesses new to New York State are entitled to a 50% cash refund of unused EZ-WRC and ITC amounts. Other businesses may carry forward unused credits indefinitely.

Utility Rate Savings: Special reduced electric and gas rates may be available through investor-owned utilities in New York State. Businesses that locate or expand their operations in an EZ may receive significantly reduced rates.

Zone Capital Credit: A 25% tax credit against personal or corporate income taxes is available for contributing or purchasing shares in a zone capital corporation; or for a direct equity investment in a certified zone business; or for contributions to approved community development projects within an EZ.

Sales Tax Refund or Credit: Purchases of building materials to be used for commercial or industrial real property located in an EZ are eligible for a refund or credit of NYS sales taxes. A similar refund or credit of local sales tax may also be available from the locality.

Real Property Tax Abatement: EZs may offer tax abatements from an increased assessment, with the abatement value based on improvements to real property for up to 10 years. This holds true for up to seven years at 100%, decreasing over the last three years of the exemption.
Qualifications for some of the Empire Zone Program incentives listed above are based on business structure, job creation factors, company assets, wage compensation ratios, and corporate tax structure.

Further information is available through the Offices of Economic Development in Potsdam and Ogdensburg.