Business Incentives Advisory

types of Incentives

Qualifying Your Business By Type Of Incentive

There are three different types of incentives for which your business may qualify. Let's take a closer look at which type of incentive best fits your needs.

Automatic ("as of right")

Tax credits and incentives that are provided to businesses with no or limited time restrictions. Businesses are able to go back to prior tax years and secure the benefit without any approval. The ability to capture these incentives is generally only limited to the tax return filing requirements.

Allows a business to review past transactions and identify opportunities where an incentive was not captured (or maximized)  and apply for refunds.

Pre-approval Or Prior Certification 

Tax credits and incentives that require businesses to complete some type of application, notification or approval process prior to claiming the tax incentives.

Important to focus on the business' future plans to proactively identify the opportunities to capture and act accordingly to secure the available benefits.  The discretionary incentives require a more comprehensive approach to secure.

Discretionary ("But for")

Tax credit and incentive programs that only provide these benefits if it is reasonably certain that the proposed project will not become a reality “but for” the existence of tax incentives.

Important to focus on the business' future plans to proactively identify the opportunities to capture and act accordingly to secure the available benefits.  The discretionary incentives require a more comprehensive approach to secure.

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WOTC Tax Credit Calculator

All businesses that pay income tax in the U.S. qualify for the federal Work Opportunity Tax Credit (WOTC). To quickly estimate your company’s WOTC, fill out the fields below.

Your Comprehensive Guide To Location-Based Tax Incentives  Find out what incentives your company is eligible to receive. Download Guide

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