Lafayette, Ringgold named rural zones for tax incentives, development
Lafayette and Ringgold are among 10 cities in Georgia recently designated as rural zones.
The program is a collaboration between the Georgia Department of Community Affairs and the Georgia Department of Economic Development.
Downtown Rossville was among seven Rural Zones designated in 2019.
Since its creation in 2017, this initiative provides tax credits to individuals creating jobs and making qualifying investments within historic downtown areas that have been designated as rural zones. Each designation lasts for five years, and activities to begin earning tax credits within these 10 new Rural Zones begin Jan. 1, 2022. Communities are encouraged to develop strategies and share information about the benefits to businesses and investors.
The other eight cities area Cordele, Millen, Homerville, Thomaston, Lavonia, Cochran, Clayton, and Pelham.
The program includes the following: Georgia state income tax incentives, which are utilized for job creation activities; investment in downtown properties and renovation of properties. The credits can be layered, but none are available without the job creation element being present.
The Job Tax Credit is equivalent to $2,000 per year for each new full-time equivalent job for up to five years. The Investment Credit is equivalent to 25% of the purchase price of a property within the designated Rural Zone (not to exceed $125,000). The Rehabilitation Credit is equivalent to 30% of the qualified rehabilitation costs of a building located within a designated Rural Zone (not to exceed $150,000).
Applications for Rural Zones are available each year. For more information, visit dca.ga.gov.