Local Incentives

Local incentives are those that are controlled by the Carthage City Council. Most of these programs require a public hearing whereas local taxing districts are invited to attend and voice their opinions.

The CEDC is happy to help guide you on these options, and walk you through any administrative procedures.

  • Industrial revenue bonds (IRB), also known as Chapter 100 financing are a way to abate both real and personal property taxes on qualifying projects.

    The property is owned by the City of Carthage and then leased back to the end user for a period of time. A sales tax exemption can also be accomplished in this manner.

    Projects using IRB should normally be an investment of $5M or more to justify the overhead of this financing method.

  • Carthage has a designated Enhanced Enterprise Zone (EEZ) established, which can allow for property tax abatements connected to job creation in this geographical area.

    The EEZ can help businesses qualify for state tax credits in conjunction with local property tax abatement. This program is primarily designed for industrial expansions.

    For a quick video on the EEZ - click here.

  • Tax Increment Financing (TIF) is a way to freeze both sales and property taxes at their current levels. A percentage of any incremental growth can then be captured to help pay off development expenses.

    TIF is primarily used for commercial projects, but can also be used for residential or mixed-use opportunities.

  • The Carthage Redevelopment Corporation is set up under Chapter 353 of the Missouri Statutes to allow for the elimination of blight.

    For any qualified redevelopment project, there is the opportunity for real estate tax abatement as long as certain developmental thresholds are achieved.

    The maximum abatement is 100% for the first ten years, and 50% of years 11-25 of the increased tax value.

    While this is a locally-managed incentive, a flowchart and other information from Missouri can be found on Missouri DED’s website.

  • Neighborhood Improvement Districts are a way to generate additional property tax towards a residential development project. These additional tax dollars can be used to help offset and close the gap on development costs.

    In addition, the City is able issue bonds for lower-interest financing for approved NIDs.

  • Community Improvement Districts (CID) are a way to generate additional sales or property tax towards a retail development project that can be used to help offset and close the gap on development costs.

    Tranportation Development Districts (TDD) are similar, but the funds must be used for transportation-related purposes.

Financial Incentives

Thank you for your interest in doing business in Carthage. There are a variety of financial incentives available to help.

The majority of these are tied to job creation and vary based upon the type of business and capital investments. For specific details, contact us to talk about your plans.

One common factor is that you can not have made a public announcement or done significant work towards a project.

As you look over both the local and state options that might be available, be sure to contact the CEDC to discuss details. We can help walk you through the process with local and state governments.

A quick 101 on E.D. incentives.

Chapter 101 financing

Community Improvement Districts & Transportation Development Districts

State Incentives

We are thrilled you’re interested in doing business in Carthage. There are many different financial incentives available to help, all of those listed below are managed by the State of Missouri.

We have provided a short list of the more common programs that could be beneficial to you doing business in Carthage. However, the State of Missouri has other options available depending on the type of business, we’re happy to help walk you through these processes.

  • The Work Opportunity Tax Credit provides tax credits to businesses for certain classifications of employees, including unemployed veterans, recipients of Temporary Assistance for Needy Families (TANF), ex-felons and more.

    Taking advantage of these tax credits can pay up to $9600 of the cost of new hires, and there is no limit to the number of new hires that can qualify for the credit.

    If you’re struggling with workforce issues, the WOTC might be just the program to help kick-start your hiring effortsDescription text goes here

  • The Neighborhood Preservation Act (NPA) is a way to receive tax credits for the production or rehabilitation of owner-occupied homes.

    These tax credits can be as high as 35%. Only certain areas of Carthage qualify for this incentive. Details and a map can be found on the State’s website.

  • Missouri Works is the number one incentive tool in the state to help support job creation. With as few as two new jobs and a capital investment of $100,000, you can qualify.

    By leveraging Missouri Works for new job creation, an employer is able to retain Missouri withholding taxes for a period of time that helps offset an initial capital investment.

  • If you are needing to train new employees, Missouri OneStart can help pay for this expense whether you outsource your training or do it all in-house.

    In addition to the training program, Missouri OneStart can also help with recruitment for your open positions through a variety of online methods to drive traffic to your business. Item description

  • Carthage has a large historic district with several qualifying properties located within the district. Historic Tax Credits can be used to help improve historic structures for commercial or residential purposes. Tax Credits can equal a maximum of 25% of the qualified development expenses.

    This program can be combined with federal historic tax credits and other incentive programs from both local and state options.