What Incentives Does the City of Phoenix Offer New Employers

Arizona's Qualified Facility Tax Credit gives manufacturing and headquarters companies locating in Phoenix a refundable state income tax credit equal to the lowest of 10% of capital investment, $20,000 per net new job ($30,000 for projects over $2 billion), or $30 million per taxpayer per year, with a $250,000 minimum investment.

Phoenix projects using GPLET can replace real property tax with an excise tax for up to 25 years, with the excise rate itself abatable for the first 8 years after occupancy if the site sits in both a Central Business District and a Redevelopment Area.

Arizona's Quality Jobs Tax Credit pays Phoenix-area (urban) employers up to $9,000 per net new job — $3,000 a year for three years — for projects as small as a $500,000 investment and 25 jobs paying 200% of the county median wage.

Businesses operating inside Phoenix's Foreign-Trade Zone No. 75, administered by the City of Phoenix, pay Class 6 property tax at just 5% of assessed valuation on qualifying new improvements and personal property versus the standard commercial rate.

The City of Phoenix has 42 federally certified Opportunity Zones, per its Community and Economic Development Department, letting investors defer and reduce capital-gains taxes by reinvesting gains into qualifying Phoenix projects.

Phoenix's Priority Expedited Plan Review program, run by the Planning and Development Department, lets qualifying projects pay for premium, City Council-approved expedited civil plan review when normal timelines would cause significant scheduling or financial harm.

Businesses considering Phoenix can reach the city's Community and Economic Development Department — which works with companies of all sizes to locate, expand, and create jobs — through the Invest in Phoenix site.