Virginia works enthusiastically with new and expanding Virginia employers that create a higher standard of living for Virginians, enhance the local and state economies, and increase revenues to state and local governments. Incentives are Virginia’s investment in her economic future and a business decision for both the Commonwealth and the company. As a result, they must make good fiscal sense for all parties.
In addition to the incentives offered by the Commonwealth of Virginia, the City of Hopewell offers local incentives to attract businesses to locate or expand within the Enterprise Zone Area. Visit the Virginia Economic Development Partnership’s Guide to Business Incentives to see the wide variety of incentives Virginia offers to encourage new companies to locate in Virginia and existing companies to expand.
The Workforce Services division of the Virginia Department of Business Assistance provides customized recruiting and training services to companies that are creating new jobs or experiencing technological change. As a business development incentive supporting economic development efforts throughout Virginia, the program reduces the human resource development costs of new and expanding companies throughout the Commonwealth of Virginia.
The Welfare-to-Work Tax Credit is a federal income tax credit that encourages employers to hire “Long-term TANF Assistance Recipients” who began to work on or after December 31, 2003, and before January 1, 2006. This credit can reduce employers’ federal tax liability by as much as $8,500 per new hire.
The Work Opportunity Tax Credit is a federal tax credit that encourages employers to hire eight targeted groups of job seekers by reducing employers’ federal income tax liability by as much as $2,400 per qualified new worker.
Virginia’s Worker Retraining Tax Credit allows an employer to claim a tax credit for the costs of providing worker retraining to qualified employees. Eligible worker retraining includes: 1) noncredit courses provided by any of Virginia’s community colleges (www.vccs.edu) or a private school and 2) credit or noncredit worker retraining courses undertaken through an apprenticeship agreement approved by the Virginia Apprenticeship Council. The credit is 30% of all training costs incurred through a community college, or an annual credit of up to $100 per student if training through a private school. The credit is allowable against individual income tax, estate and trust tax, corporate income tax, bank franchise tax, and taxes imposed upon insurance companies and utility companies. The credit is nonrefundable, but excess credit may be carried forward for the next three taxable years.