(a) Central Business District - Glen Elk I - Tolley Drive District.
(1) Any person who locates a new business, other than a professional service business, within the Central Business District or Glen Elk I - Tolley Drive District, is entitled to receive a tax credit of one hundred percent (100%) of the business and occupation tax owed for each quarter of the first tax year, seventy five percent (75%) for each quarter of the second tax year, and fifty percent (50%) for each quarter of the third tax year. The maximum tax credit for the tax credit period cannot exceed fifty thousand dollars ($50,000).
(2) Any person who locates a new professional service business within the Central Business District or in Glen Elk I, is entitled to receive a tax credit of fifty percent (50%) of the business and occupation tax owed for each quarter of the first year of operation and twenty-five percent (25%) of the business and occupation tax owed for each quarter of the second year of operation. The maximum tax credit for the tax credit period cannot exceed fifty thousand dollars ($50,000).
(3) Any person who expands an existing business within the Central Business District or Glen Elk I or Tolley Drive District and makes a qualified investment of ten thousand dollars ($10,000) or more, and is entitled to receive a tax credit for the incremental increase in taxes over the prior year's business and occupation taxes paid (defined as the qualifying year). The amount of the tax credit shall be equal to one hundred percent (100%) of the incremental increase of taxes over the qualifying year's actual taxes paid for the first year; seventy-five percent (75%) of the incremental increase of taxes over qualifying year's actual taxes paid for the second year; and fifty percent (50%) of the incremental increase of taxes over qualifying year's actual taxes paid for the third and final year. The maximum tax credit for the tax credit period cannot exceed fifty thousand dollars ($50,000).
(b) Glen Elk II - Montpelier Commercial Area.
(1) Any person who locates a new business in Glen Elk II or the Montpelier Addition Commercial Area is entitled to a tax credit of fifty percent (50%) of the business & occupation tax owed for each quarter of the first tax year, and twenty-five percent (25%) for each quarter of the second tax year. The maximum tax credit for tax credit period cannot exceed fifty thousand dollars ($50,000).
(2) Any person who expands an existing business in Glen Elk II, by making a minimum qualified investment of one hundred thousand dollars ($100,000) which results in the creation of a minimum of five new jobs, is to be entitled to receive a tax credit of fifty percent (50%) of the incremental increase of business and occupation taxes resulting from the expansion and in the first year of operation after expansion and twenty-five percent (25%) of the incremental increase of business and occupation taxes of the second year of operation after expansion. The maximum tax credit for the tax credit period cannot exceed fifty thousand dollars ($50,000).
(c) Any person who locates a new business within any area currently zoned 1-2, by
making a minimum qualified investment of two hundred twenty-five thousand dollars ($225,000), which includes the purchase of real property or lease of property for a period of at least ten years, which creates a minimum of five new jobs, is entitled to receive a tax credit of fifty percent (50%) of the business & occupation tax owed for each quarter of the first tax year, and twenty-five percent (25%) for each quarter in the second tax year. The maximum tax credit for the tax credit period cannot exceed one hundred thousand dollars ($100,000).
(d) Business & Technology Centre.
(1) Any person who locates a new business within the Business & Technology Centre by making a minimum qualified investment of at least two hundred twenty-five thousand dollars ($225,000), which includes the purchase of real property at the center or lease of the property for a period of at least ten years, and which creates a minimum of fifteen new jobs, is entitled to receive a tax credit of one hundred percent (100%) of the assessed business and occupation tax owed for each quarter of the first tax year, seventy-five percent (75%) for each quarter of the second tax year, and fifty percent (50%) for each quarter of the third tax year. The maximum tax credit for the tax credit period cannot exceed one hundred thousand dollars ($100,000).
(2) Any person who expands an existing business within the Business & Technology Centre of this City which causes the immediate creation of a minimum of ten or more new jobs which continue for at least the two year credit period, is entitled to receive a tax credit of seventy-five percent (75%) of the incremental increase in Business & Occupation taxes in the first year of operation after expansion and twenty-five percent (25%) of the incremental increase in business and occupation taxes in the second year of operation after expansion. The maximum tax credit for the tax credit period cannot exceed one hundred thousand dollars ($100,000).
(e) If a person who currently operates a business which is not located within the City's corporate limits, and the gross receipts of the business would be subject to the City's business and occupation tax if such business was located within the City's corporate limits, petitions to bring the property into the City through annexation, the business is entitled to receive a tax credit of one hundred percent (100%) of the amount owed for business and occupation taxes for each quarter in the first three years after annexation. The date of annexation will be the date the County Commission issues the final annexation order. The total maximum cumulative amount of tax credit (total B&O taxes owed) for the three-year period of the tax credit shall be one hundred thousand dollars ($100,000) for each individual taxpayer separately licensed by the City.
"Individual taxpayer” means a business to be separately licensed by the City and separately licensed by the State of West Virginia.
The tax credit shall not apply to the B&O taxes on the rental income received by the owner of the property which is annexed. The credit applies only to gross income of businesses operating within the annexed property.
For any service business which is annexed into the City, where a portion of the gross income of the business is derived from services performed in a location in the City's corporate limits other than the service business' premises, said portion of such gross income is not eligible for the tax credit.
(f) Special Tax Credit - Reopening of Business Damaged by Fire, Flood, etc. If any
existing business located within the corporate limits of Clarksburg is damaged by fire, flood, etc.,
and the dollar amount of damage to the business is greater than fifty percent (50%) of the fair market value of the real and personal property of the business, such business will be entitled to receive a "special" tax credit, if the business is completely remodeled and reopened and all jobs existing at the time the damage occurs are retained. The amount of the tax credit will be fifty percent ( 50%) of the business & occupation taxes owed for each quarter in the first year after the
business is reopened.
(g) Any person who expands an existing business anywhere else within the corporate limits of the City and who makes a qualified investment of one hundred thousand dollars ($100,000) or more, is entitled to receive a tax credit of seventy-five percent (75%) of the incremental increase in business & occupation taxes in the first year of operation after expansion, and twenty-five percent (25%) of the incremental increase in business and occupation taxes in the second year of operation after expansion. The maximum tax credit for the tax credit period cannot exceed one hundred thousand dollars ($100,000).
(h) (1) Special business tax credit - full time job creation. Any person who locates a new service business after May 1, 1999, within the Central Business District, the Business and Technology Centre, Glen Elk I District, Glen Elk II District, or any heavy industrial (12) zone, which business has not been located in the City in the previous ten (10) years shall be entitled to receive a tax credit of one hundred percent (100%) of the business and occupation tax owed for each quarter of the first three (3) tax years inclusive of the date such new service business is first so located, commencing on the date such new service business is first so located within the corporate limits of the City, contingent on creation and retention of 100 full-time jobs in each quarter of the first three (3) tax years.
For each quarter of the fourth through tenth tax years, such new service business shall be entitled to the following tax credits based upon the creation of the new jobs in each such year inclusive of those in existence at the end of the first three (3) year period:
Tax Year | New Jobs Created | Tax Credit |
4 - 10 | 700 or more | 100% |
4 - 10 | 400 - 699 | 75% |
4 - 10 | 200 - 399 | 50% |
4 - 10 | Less than 200 | 0% |
After the tenth tax year, such new business shall not be entitled to any tax credit. The purpose and objective of this subsection is to encourage new business development and the creation of new jobs within the City.
(2) Special business tax credit - full time job creation. Any person who locates a new business after January 1, 2011 outside of the Central Business District, the Business and Technology Centre, Glen Elk I District, Glen Elk II District, or any heavy industrial (12) zone, which business has not been located in the City in the previous ten (10) years shall be entitled to receive a tax credit of one hundred percent (100%) of the business and occupation tax owed for six (6) full months inclusive of the date such new business is first so located, commencing on the date such new business is first so located within the corporate limits of the City, contingent on creation and retention of twenty (20) full-time jobs in each quarter of the first six (6) tax months following creation of the business. The purpose and objective of this subsection is to encourage new business development and the creation of new jobs within the City.
(3) Verification - retention of jobs. The required number of jobs to be created and retained by any new business to qualify and be eligible for the tax credit provided by this subsection shall be based on the actual number of full-time employees on the payroll of the new service business during the first month of each calendar quarter, or January, April, July and October of the year in which such tax credit is claimed.
The new business shall provide actual copies of payrolls certified as true and accurate by the appropriate managerial officer of the new business as well as an independent auditor to the office of the Director of Finance for each of the calendar quarter within ten (10) days after the end of each of calendar quarter for which the credit is claimed. The Director of Finance may, at the Director's discretion, request additional payroll information and shall make a determination as to whether the new business qualifies for tax credit under the provisions of this article.
(4) Credits not cumulative. The tax credit provisions of this section shall be in lieu of, and not in addition to any of the credits allowed under Section 745.45, subsections (a) through (g), in the event that the number of new full-time jobs created exceed ninety-nine. The eligibility for tax credits permitted under subsections (a) through (g) will remain for new businesses and expanded businesses that create less than 100 full time jobs.
(5) Administration. The Director of Finance shall have the authority to promulgate written rules, regulations, and requirements not inconsistent with the provisions of this subsection for the ongoing administration of any tax credit claimed hereunder.
(i) Special Business Tax Credit - New Business Location with Minimum Construction
Expenditures. Any person who locates a new business, after May 1, 2021, within the corporate limits of Clarksburg, which business has not been previously located within the corporate limits of the City, shall be entitled to receive a tax credit of one hundred percent (100%) of the business and occupation tax owed for each quarter of the first two (2) years inclusive of the date such new business is open within the corporate limits of the City, contingent on the person making a qualified investment of construction costs, including demolition, site work, and/or any professional services such as engineering or architectural, of at least one million dollars ($1,000,000) in the business's location, not including the purchase or lease of the property.
(Ord. 22-3. Passed 2-17-22.)
(j) Retail Business Tax Credit for Certain Businesses in Central Business District of Clarksburg.
(1) Any business that complies with the following is eligible for a tax credit on its retail sales: It is a business that:
A. Began operations in the City on or after May 1, 2023;
B. Was not previously located within the Central Business District; and
C. Is located within the Central Business District in a building, suite, or similar space that was last previously vacant, condemned, or occupied by an owner or tenant who primarily used said building, suite, or space to operate a professional office-oriented business, such as but not limited to legal services, accounting, banking, insurance, or engineering.
(2) Any business meeting the definition set forth in subsection (j)(1) of this section, shall be entitled to receive a tax credit on its retail sales in the following amounts:
A. One hundred percent (100%) of the business and occupation tax arising from retail sales for each quarter of the first five (5) years; and
B. Fifty percent (50%) of the of the business and occupation tax arising from retail sales for each quarter of the following five (5) years.
For purposes of this section, "retail sale" means any sale, lease or rental for any purpose other than for resale as tangible personal property, sublease or subrent and any sale of a service other than a service purchased for resale, except that retail sale does not include any sale of tangible personal property or services which are exempt from sales/use tax in West Virginia.
For purposes of this section, "vacant" means has been unoccupied for the last three (3) years.
In the event that the one-percent (1%) municipal sales tax is abolished or reduced, then this
retail business tax credit shall immediately cease.
(Ord. 23-11. Passed 5-18-23.)