(a) Definition. Business brought within the corporate limits of the City by way of annexation.
(b) Tax Credit. The tax credit under this section consists of a credit of 90% of assessed City B&O tax generated by the annexed business for the first year and 40% for years two and three. A year, for purposes of the tax credit, is defined as the (12) twelve-month period beginning the first day of the quarter the business meets the qualifications for the tax credit.
(c) Qualifying Requirements.
(1) The annexed business must have a minimum appraised value of $500,000. This appraised value will include equipment, structures and improvements;
(2) The annexed business must have a minimum of five full time jobs;
(3) Determination by the City that the tax credit being offered will increase the likelihood of the business annexing into the corporate City limits; and
(4) The real property and improvements of an annexed business must have a useful life of five or more years; or must have a coinciding lease of not less than five years, or must be depreciable/amortizable tangible personal property which has a useful life of not less than five years.
(d) Tax Credit Computation. Tax credits will be considered on the total gross revenues of the business operation once annexation is complete.
(e) Forfeiture. If the number of full time jobs which are realized into the city limits resulting from the annexation and attributable to the tax credit falls below five, the tax credit will be forfeited for that quarter.
(Ord. 3-03. Passed 4-28-03.)