(a) Where a qualifying non-retail business is subject to the provisions of § 880.04, imposition of withholding tax, it may be eligible for the City Income Tax Rebate Program. Qualifying businesses will be non- retail businesses including, but not limited to, manufacturing, distribution, research and development, or technology firms. The incentive program is available to qualifying new businesses or qualifying existing businesses.
(b) The Income Tax Rebate Program will rebate a portion of withholding income taxes collected from qualifying non-retail businesses creating at least 45 new full-time jobs with a wage of 150 percent of the federal minimum wage or 20 jobs at 400 percent of the federal minimum wage or some combination such that the total payroll exceeds seven hundred fifty thousand dollars ($750,000) for those jobs paying in excess of 150 percent of the federal minimum wage. At least 20 percent of the jobs will be held by city residents.
(c) If the qualifying non-retail business adds the requisite number of employees and payroll they will be eligible for a rebate of withholding taxes paid based on a credit of up to 1 percent of the withholding income tax rate (i.e. credit of up to 1 percent of current 2.25 percent tax rate equating to 44.44 percent rebate of withholding taxes paid). (EDITOR’S NOTE: The 2.25% tax rate was approved by voters on November 2, 2010.)
(d) Qualifying non-retail businesses are eligible for a rebate for up to five years, if they commit to staying in the city for at least ten years. The rebate program will contain claw back provisions specified in the rebate agreement if the qualifying non-retail business leaves prior to the ten-year period or significantly reduces employment.
(e) All rebate agreements are subject to the approval of City Council.
(Ord. 10-37, passed 8-26-2010; Am. Ord. 14-60, passed 12-29-2014)