Compton Enterprise Zone Program:
The City of Compton Enterprise Program Zone Program provides tax incentives to eligible businesses that are partnering with Compton in revitalizing the City’s economy.
Enterprise Zone companies are eligible for substantial tax credits and benefits including:
- Up to 100% Net Operating Loss (NOL) carry-forward. NOL may be carried forward 15 years;
- Firms can earn $31,544 or more in state tax credits for each qualified employee hired;
- Corporations can earn sales tax credits on purchases of $20 million per year of qualified machinery and machinery parts;
- Up-front expensing of certain depreciable property. Lenders to zone businesses may receive a net interest deduction;
- Unused tax credits can be applied to future tax years, stretching out the benefit of the initial investment;
- Enterprise Zone companies can earn preference points when bidding on state procurement contracts.
