Industrial Incentives
The State of Oklahoma provides incentives, tax credits, and rebates based on added jobs and capital investment. These incentives include, but are not limited to:
- Quality Jobs Incentive – This program provides quarterly cash payments up to 5% of new payrolls for up to 10 years. Companies must achieve an average wage threshold and $2.5 million in new annual payrolls within three years to qualify. Companies must offer basic health insurance to employees. In some cases, qualifying companies must also attain 75% out-of-state sales. Cannot be combined with the New Jobs Tax Credit and certain other incentives.
- Investment/New Jobs Tax Credit – This tax credit provides growing manufacturers with a substantial tax credit based on either an investment in depreciable property or on the addition of full-time-equivalent employees engaged in manufacturing, processing or aircraft maintenance for up to 5 years. Companies can choose the greater of 1% of investment in new depreciable property or $500 per new employee. Cannot be combined with the Quality Jobs Incentive and certain other incentives.
- Property and Sales Tax exemptions
- Low/No Cost training & Recruitment services
For more information about state incentives, call (800) 588-5959 or visit okcommerce.gov.
Incentives Estimate
The following table is based on an addition of 100 new jobs with an average annual wage of $55,000; a personal property investment of $1 million, and a NAICS code starting in 331.
This table is an estimate and subject to change based on circumstances and availability.
| Incentives | Annual Estimate | Full Incentive (10 years) | |
|---|---|---|---|
| Primary Incentives | |||
| Quality Jobs Incentive Program (10 years) | $281,843 | $2,418,427 | |
| OR | |||
| New Jobs Tax Credit (5 years) | $47,500 | $237,500 | |
| Other incentives | |||
| Property Tax Exemptions | 5-Year Property Tax Exemption | $9,442 | $47,208 |
| Freeport (Inventory) Tax Exemption (Annual) | $94,106 | $941,057 | |
| Sales Tax Exemptions | Machinery & Equipment (One-time) | $85,500 | $85,500 |
| Energy Used in Manufacturing (Annual) | $285,526 | $2,855,264 | |
| Goods Consumed in Manufacturing (Annual) | |||
| Training & Recruitment | Start-Up Customized Training from CareerTech | ||
| Employee Recruitment Services from OESC | |||
| Total Estimated Incentives | First Year | 10 Years | |
| With Quality Jobs Incentive | $716,416 | $6,347,456 | |
| With New Jobs Tax Credit | $522,074 | $4,166,529 | |
