Economic development
Tax and Financial Incentives
For information on Business Opportunities and
Incentives contact
Neal Adler at 712-546-8821.
The State of Iowa, the City of Le Mars and utility partners offer an array of local and state tax and financial incentive programs. The programs are designed to provide new, existing and start-up ventures with a key ingredient to help the business grow and create new opportunities for our community and state.
Iowa Business Tax Advantages and Tax Credits
- No corporate income tax on profits from sales outside of Iowa
- Fifty percent deductibility of Federal Taxes from Iowa Corporate Income Tax
- New jobs tax credit
- No property tax on newly purchased manufacturing machinery, equipment and computers used in processing
- No sales or use tax on manufacturing machinery, equipment and computers used in processing
- No personal property (inventory) tax
- Research and Development Tax Credit
City and
State Financial Assistance Programs
State of Iowa Financial Assistance Programs
High Quality Job Creation Program (HQJP)
This program is designed to promote the creation of quality jobs by assisting businesses locating, expanding or modernizing their facilities in Iowa through a package of tax credits, exemptions, and/or refunds to approved businesses.
Community Economic Betterment Account (CEBA)
The CEBA program provides financial assistance to companies that
create new employment opportunities and/or retain existing jobs, and
make new capital investment in Iowa. The amount of funding is based,
in part, on the number of jobs to be created/retained. Funds are
provided in the form of loans and forgivable loans.
Economic Development Set-Aside Program (EDSA)
The EDSA program provides financial assistance to companies that
create new employment opportunities and/or retain existing jobs, and
make new capital investment in Iowa. The amount of funding is based,
in part, on the number of jobs to be created/retained. Funds are
provided in the form of loans and forgivable loans. At least 51
percent of the created/retained employment opportunities must be
made available to individuals presently earning wages defined as
low-and-moderate income.
Value-Added Products and Processes Financial Assistance Program
(VAAPFAP)
The Value-Added Agricultural Products and Processes Financial
Assistance Program seeks to increase the innovative utilization of
Iowa's agricultural commodities. It accomplishes this by investing
in the development of new agri-products and new processing
technologies. Financial assistance is provided in the form of loans
and forgivable loans.
New Jobs and Income Program (NJIP)
The Iowa New Jobs and Income Program provides a package of tax
credits and exemptions to businesses making a capital investment of
at least $11.4 million and creating 50 or more jobs meeting wage and
benefit targets. Qualifying businesses participating in NJIP receive
substantial benefits.
Iowa Industrial New Jobs Training Program (260E)
The Iowa Industrial New Jobs Training Program provides customized
classroom instruction, on-the-job training and other training
activities for employees in newly created jobs. An employer may be
reimbursed up to 50 percent of new employees' wages for on-the-job
training. All training is customized to the company's special needs.
Community colleges finance the program by the sale of tax-exempt
bonds which are repaid by the tax revenue generated by the salaries
and capital invested to support the new jobs. As a result company
profits are not used to repay the bonds.
For more information on State of Iowa
financial assistance programs, visit the
Iowa Department of Economic Development online.
City of Le Mars Tax and Financial Assistance Programs
Tax Increment Financing
If your business is located in one of the designated urban renewal
areas or tax increment financing areas, it may be eligible for
public improvement financing that uses the incremental taxes that
the project will generate.
Property Tax Exemption
Within industrial properties, the City has the authority to abate
from property taxation, the actual value added by new construction
to the property, under a five year sliding scale.
Industrial Revenue Bonds
The City has the ability to issue bonds for some economic
development projects. Such bonds are normally issued at a lower rate
of interest than otherwise available to the business.
Siouxland Economic Development Corporation (SEDC)
The SEDC is a tri-state nonprofit organization which administers
loan programs including an SBA microloan program, SBA 504 loan
program and a revolving loan fund.
Le Mars Business Initiative Corporation (LBIC)
The LBIC is a not-for-profit organization which offers financial
assistance in the form of low interest loans. The LBIC also offers
reduced prices on lots in Killeas and Le Mars Industrial Parks based
upon job creation and minimum assessment agreements.
State of Iowa Entrepreneurial/Small Business Development Financial Assistance Programs
Targeted Small Business Financial Assistance
Program (TSBFAP)
The TSB Financial Assistance Program is designed to assist in the
creation and expansion of Iowa small businesses that have an annual
gross sales under $3 million and are at least 51 percent owned,
operated and managed by women, minorities or persons with a
disability.
For more information on State of Iowa Entrepreneurial/Small Business Development Programs, visit the Iowa Department of Economic Development online.
Le Mars Main Street Program
To encourage property owners and tenants to make improvements to building facades within the main street area, this program offers grants to offset a portion of the costs. Design assistance is also available through a no-cost program sponsored by the Le Mars Main Street.
Utility Partners Financial Assistance Programs
Mid American Energy
The utility company provides financial assistance to start up and
expanding businesses in its service area.
Northwest Iowa Power Cooperative (NIPCO)
To promote economic development in its service area, NIPCO offers
financial assistance through several programs as well as providing
land and building data.