Taxes and Incentives
The Waycross and Ware County Development Authority acts as the conduit for numerous business incentives offered to qualified industrial prospects.
These incentives can be provided to companies that are relocating or expanding in the community. These incentives assist with offsetting certain costs associated with the project. Please see a list of possible incentives below, and contact our office if you are interested in exploring these opportunities. All incentives provided to eligible prospects either through the State of Georgia or through the Waycross and Ware County Development Authority will require performance agreements signed by all parties requiring the company to meet a certain number of jobs and initial investments.
Freeport Exemption
The governing authority of any county or municipality may, subject to the approval of the electors of such political subdivision, except from ad valorem taxation, including all such taxes levied for educational purposes and for State purposes, all or any of the following types of tangible property. Application for this exemption must be made each year by April 1 in order to receive the maximum exemption on qualifying Inventory.
- Inventory of goods in the process of manufacture or production, which shall include all partly finished goods and raw materials, held for direct use or consumption in the ordinary course of the taxpayer's manufacturing or production business in the State of Georgia.
- Inventory of finished goods manufactured or produced within the State of Georgia in the ordinary course of the taxpayer's manufacturing or production business when held by the original manufacturer or producer of such finished goods. The exemption provided for herein shall be for a period not exceeding twelve (12) months from the date such property is produced or manufactured.
- Inventory of finished goods which, on the first day of January, are stored in a warehouse, dock or wharf, whether public or private, and which are destined for shipment to a final destination outside the State of Georgia and inventory of finished goods which are shipped into the State of Georgia from outside the State and stored for transshipment to a final destination outside this State. The exemption provided for herein shall be for a period not exceeding twelve (12) months from the date such property is stored in this State.
For further details on Freeport exemption, read O.C.G.A. 48-5-48.2 in its entirety or contact the Tax Assessors office.
Single Factor Apportionment
In 2005 Georgia became the first state in the Southeast to adopt a “Single-Factor Gross Receipts” apportionment formula. This formula treats a company’s gross receipts, or sales, in Georgia as the only relevant factor in determining that company’s income subject to Georgia’s six percent corporate income tax. Through the adoption of this Single-Factor Apportionment, Georgia became one of only 13 states currently using this method. Single-Factor Apportionment significantly reduces rate of income taxes to companies with a large portion of customers outside Georgia. In addition to this, Georgia also does not use the “Throw Back Rule” which is often used by other states to tax income from sales of goods or services to out-of-state customers if the customer’s state does not already have that tax income.
Corporate Tax Credits
Georgia offers various corporate tax credits which enables companies to minimize or eliminate state corporate income taxes.
Job Tax Credits
Companies that are engaged in strategic industries such as manufacturing, warehousing and distribution, processing, telecommunications, broadcasting, tourism, research and development, and biomedical manufacturing may qualify for the Georgia Tax Credit Program. Credits through the Georgia Job Tax Initiative are available to companies in Ware County that create two net new full-time jobs in the first year. These job tax credits may be accrued to include additional jobs created in years 2-5. Any jobs created outside of that five-year time period may not be eligible for the Job Tax Credit unless a new threshold has been met. Jobs must pay more than the average wage of the county with the lowest average wage in the state, which is currently $602 per week. Additionally, new employees must be offered health insurance benefits consistent with other employees within the organization. Companies that qualify for the Job Tax Credit may claim a tax credit value of $3,500, beginning with the first taxable year in the year the new job is created, as well as the following years the job is maintained. For more information on the Georgia Job Tax Credit please contact our office so that we can put you in contact with a representative with the Georgia Department of Economic Development
Port Tax Credit Bonus
Georgia’s Port Tax Credit Bonus is available to any company that is increasing either imports or exports through the Georgia port by 10 percent over the previous base year. Base year port traffic must be a minimum of 75 net tons, 5 containers, or 10 TEU’s (twenty-foot equivalent units). The Port Tax Credit Bonus potentially offers an additional $1250 per job credit. This amount can be added to the Job Tax Credit.
The port tax credit can be used in addition to the Job or Investment Tax Credit Program, provided the company meets the requirements of the program. The Port Tax Credit can be used to offset up to 50 percent of the company’s corporate income tax liability. Any unused tax credits may be carried forward for 10 years, with the caveat that the increase of port traffic remains above minimum level and the company continues to meet the requirements. The port tax credit cannot be used in conjunction with the Quality Jobs Tax Credit and may only be used in certain areas, such as Opportunity Zones, Military Zones, and Less Developed Census Tracts and may be used in limited cases by existing large distribution centers. For more information on the Port Tax Credit please contact our office so that we can put you in contact with a representative with the Georgia Department of Economic Development.
Quality Jobs Tax Credit
Any companies that create at least 50 jobs in a 12-month period in which each job pays wages of at least 110 percent of the county average may be eligible to receive a credit ranging from $2,500-$5,000 per job per year for up to five years. Quality Tax Credits can be used to offset the company’s payroll withholding once all other tax liability has been exhausted, and may be carried forward for 10 years. For more information on the Quality Job Tax Credit please contact our office so that we can put you in contact with a representative with the Georgia Department of Economic Development.
Child Care Tax Credits
Employers who build or purchase a qualified child care facility are eligible to receive Georgia income tax credits which equal 100 percent of cost associated with construction or acquisition. This credit is spread over a 10-year period. Unused credits can be carried forward for three years. For more information on the Child Care Tax Credits please contact our office so that we can put you in contact with a representative with the Georgia Department of Economic Development.
Work Opportunity Tax Credit Program (WOTC)
The Georgia Department of Labor works as the conduit for the federal Work Opportunity Tax Credit Program. This program is a federal tax credit incentive that the U.S. Congress provides to private sector businesses for hiring individuals from nine target groups who have faced significant barriers to employment. These target groups include recipients of food stamp programs, Rural Renewal County (RRC), Temporary Assistance for Needy Families (TANF), and various other sectors. Companies which participate in the WOTC program are compensated through a reduction of income ranging from $1,200-$1,900 per qualified employee. These rates are dependent on the targeted group. For more information on the WOTC program please contact our office so that we can put you in contact with a representative from the Georgia Department of Labor.
Property Tax Abatement
Qualifying businesses may be offered reductions or exemptions from local property taxes for a specific period. These businesses may qualify through a certain number of jobs being created and the capital investment of the project. Staff at the Waycross and Ware County Development Authority have extensive experience in structuring incentives for companies to ensure compliance with local and federal laws.
Site Work
Qualifying companies that generate a significant economic impact on the community may be eligible for assistance with preparation of the building site.
Industrial Revenue Bonds
Qualifying projects and companies that obtain an outside letter of creditworthiness may be eligible for low-interest revenue bond financing (IRB).
Expedited Permitting
Certain projects require the local leadership's commitment to the project. The Waycross and Ware County Development Authority will commit to assist with the expedited permitting needed to the extent allowed by local and state law.
Georgia Taxes
Single Factor Apportionment
In 2005 Georgia became the first state in the Southeast to adopt a “Single-Factor Gross Receipts” apportionment formula. This formula treats a company’s gross receipts, or sales, in Georgia as the only relevant factor in determining that company’s income subject to Georgia’s six percent corporate income tax. Through the adoption of this Single-Factor Apportionment, Georgia became one of only 13 states currently using this method. Single-Factor Apportionment significantly reduces rate of income taxes to companies with a large portion of customers outside Georgia. In addition to this, Georgia also does not use the “Throw Back Rule” which is often used by other states to tax income from sales of goods or services to out-of-state customers if the customer’s state does not already have that tax income.
Corporate Tax Credits
Georgia offers various corporate tax credits which enables companies to minimize or eliminate state corporate income taxes.
Job Tax Credits
Companies that are engaged in strategic industries such as manufacturing, warehousing and distribution, processing, telecommunications, broadcasting, tourism, research and development, and biomedical manufacturing may qualify for the Georgia Tax Credit Program. Credits through the Georgia Job Tax Initiative are available to companies in Ware County that create two net new full-time jobs in the first year. These job tax credits may be accrued to include additional jobs created in years 2-5. Any jobs created outside of that five-year time period may not be eligible for the Job Tax Credit unless a new threshold has been met. Jobs must pay more than the average wage of the county with the lowest average wage in the state, which is currently $602 per week. Additionally, new employees must be offered health insurance benefits consistent with other employees within the organization. Companies that qualify for the Job Tax Credit may claim a tax credit value of $3,500, beginning with the first taxable year in the year the new job is created, as well as the following years the job is maintained. For more information on the Georgia Job Tax Credit please contact our office so that we can put you in contact with a representative with the Georgia Department of Economic Development
Port Tax Credit Bonus
Georgia’s Port Tax Credit Bonus is available to any company that is increasing either imports or exports through the Georgia port by 10 percent over the previous base year. Base year port traffic must be a minimum of 75 net tons, 5 containers, or 10 TEU’s (twenty-foot equivalent units). The Port Tax Credit Bonus potentially offers an additional $1250 per job credit. This amount can be added to the Job Tax Credit.
The port tax credit can be used in addition to the Job or Investment Tax Credit Program, provided the company meets the requirements of the program. The Port Tax Credit can be used to offset up to 50 percent of the company’s corporate income tax liability. Any unused tax credits may be carried forward for 10 years, with the caveat that the increase of port traffic remains above minimum level and the company continues to meet the requirements. The port tax credit cannot be used in conjunction with the Quality Jobs Tax Credit and may only be used in certain areas, such as Opportunity Zones, Military Zones, and Less Developed Census Tracts and may be used in limited cases by existing large distribution centers. For more information on the Port Tax Credit please contact our office so that we can put you in contact with a representative with the Georgia Department of Economic Development.
Quality Jobs Tax Credit
Any companies that create at least 50 jobs in a 12-month period in which each job pays wages of at least 110 percent of the county average may be eligible to receive a credit ranging from $2,500-$5,000 per job per year for up to five years. Quality Tax Credits can be used to offset the company’s payroll withholding once all other tax liability has been exhausted, and may be carried forward for 10 years. For more information on the Quality Job Tax Credit please contact our office so that we can put you in contact with a representative with the Georgia Department of Economic Development.
Child Care Tax Credits
Employers who build or purchase a qualified child care facility are eligible to receive Georgia income tax credits which equal 100 percent of cost associated with construction or acquisition. This credit is spread over a 10-year period. Unused credits can be carried forward for three years. For more information on the Child Care Tax Credits please contact our office so that we can put you in contact with a representative with the Georgia Department of Economic Development.
Work Opportunity Tax Credit Program (WOTC)
The Georgia Department of Labor works as the conduit for the federal Work Opportunity Tax Credit Program. This program is a federal tax credit incentive that the U.S. Congress provides to private sector businesses for hiring individuals from nine target groups who have faced significant barriers to employment. These target groups include recipients of food stamp programs, Rural Renewal County (RRC), Temporary Assistance for Needy Families (TANF), and various other sectors. Companies which participate in the WOTC program are compensated through a reduction of income ranging from $1,200-$1,900 per qualified employee. These rates are dependent on the targeted group. For more information on the WOTC program please contact our office so that we can put you in contact with a representative from the Georgia Department of Labor.
Local Incentives
Property Tax Abatement
Qualifying businesses may be offered reductions or exemptions from local property taxes for a specific period. These businesses may qualify through a certain number of jobs being created and the capital investment of the project. Staff at the Waycross and Ware County Development Authority have extensive experience in structuring incentives for companies to ensure compliance with local and federal laws.
Site Work
Qualifying companies that generate a significant economic impact on the community may be eligible for assistance with preparation of the building site.
Industrial Revenue Bonds
Qualifying projects and companies that obtain an outside letter of creditworthiness may be eligible for low-interest revenue bond financing (IRB).
Expedited Permitting
Certain projects require the local leadership's commitment to the project. The Waycross and Ware County Development Authority will commit to assist with the expedited permitting needed to the extent allowed by local and state law.