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Department of Taxation and Finance

Empire Zone investment tax credit (EZ-ITC)

Note: The Empire Zones Program is closed to new entrants.

The EZ-ITC has expired for all taxpayers as of December 31, 2019. Taxpayers may only claim a credit carryover or recapture.

Who is eligible?

You are entitled to this credit if you or your business:

  • was certified as a qualified investment project (QUIP) under the General Municipal Law, Article 18-B as of June 30, 2010,
  • has a Certificate of Eligibility and an EZ retention certificate, and
  • placed qualified property in service in an EZ as a QUIP, within 9 years following your business's tax year in which June 30, 2010, occurred.

Qualified expenses paid or incurred on or after April 1, 2014, that no longer qualify for the EZ-ITC may instead qualify under the investment tax credit claimed on Form CT-46 (for corporations) or Form IT-212 (for all others). See Investment tax credit for more information.

How much is the credit?

For C corporations, the credit is 10% of the cost or other basis of the qualifying property.

For all others, the credit is 8% of the cost or other basis of the qualifying property.

A taxpayer that is approved by the Commissioner of Economic Development as an owner of a QUIP or a significant capital improvement project may receive a refund of 50% of its unused EZ-ITC for a maximum of 10 years for each project.

Additional information

 

Updated: