A variety of state and local incentives are available in the Decatur-Macon County Enterprise Zone including local property tax abatement for eligible projects. Designated Enterprise Zone Projects may also be eligible for incentives from the state that are customized to meet the unique needs of the business, including tax credits related to employment activity. The Decatur-Macon County Enterprise Zone encompasses significant portions of the region’s industrial and business locations.
To see if a property is located within the enterprise zone, click here.
For all details concerning available incentives and benefits, click here.
Sales Tax Exemption Certificates
Sales tax exemptions on construction materials may be available for eligible projects located within the boundaries of the zone. Approval for the exemption is granted by the EDC Zone Administrator after submission of the following applications and documented construction materials lists and costs. All forms must be completed in full and must be accompanied by an approved building permit application issued by the City of Decatur or other recognized body and payment of applicable fees.
Foreign Trade Zones
Foreign Trade Zones (FTZs) are designated sites where special customs procedures apply. Foreign trade zones in the United States are comparable to so-called free trade zones in many countries, though procedures vary widely from country to country. Foreign goods may be admitted to an FTZ without being subject to customs duties and certain excise taxes.
There are multiple Tax Increment Finance Districts (TIFs) in Decatur and Macon County. TIFs provide a means in which communities can financially assist in the development or redevelopment of an area which qualifies for state TIF criteria. Tax increment is the difference in the tax revenue generated before the property is developed or redeveloped and the tax revenue generated after the improvements have been made.
Reimagining Electric Vehicles (REV) Illinois Program
This groundbreaking program is designed to bolster Illinois manufacturing – already a top destination for electric vehicle (EV) manufacturing in the United States – and to grow the ecosystem to create new capacity for EV vehicle and component parts production. This will also support our state’s bold climate change agenda, including putting 1 million EVs on the road by 2030. Learn more here.
What is an Opportunity Zone?
Established by Congress in the Tax Cuts and Jobs Act of 2017, the Opportunity Zone program incentivizes long-term, private investments in low-income urban and rural communities nationwide. With this program, any taxpayer – individual or corporation – is eligible to invest in Opportunity Funds. There is no cap on the amount that can be invested.
Opportunity Funds must be formed as a parternship or corporation and can be created by any person or entity. The Opportunity Fund is required to invest 90% of its assets in qualified Opportunity Zones in the form of stock, partnership interest, or business property.
What are the Investor Benefits in an Opportunity Zone?
Investors can realize significant federal tax benefits by way of tax deferral, reduction and elimination.
- A Temporary Deferral: When capital gains from the sale of other assets such as stocks or real estate are invested in an Opportunity Fund, the tax on the capital gain is deferred until the earlier of the disposition of the Opportunity Fund investment or December 31, 2026.
- A Reduction: The original amount of capital gains on which an investor has to pay deferred taxes is reduced by 10% if the Opportunity Fund is held for 5 years and reduced by another 5% if held for 7 years.
- An Exemption: Any capital gains on the Opportunity Fund will be excluded from taxation if the investment is held for at least 10 years.
Where is Decatur’s Opportunity Zone?
Click here and zoom in to see a map of Decatur’s Opportunity zone. It is concentrated on the downtown area and the Main Street and Eldorado Street corridors. The area is roughly bounded by 22nd Street on the east, Garfield Street on the north, Lake Decatur to the south and Millikin University to the west. See sites and buildings on the market here.
Where can I find more resources?
We’re happy you asked. Check out these links to learn even more about Opportunity Zones.
Economic Innovation Group (EIG)
Council of Development Finance Agencies (CDFA)
Tax Incentives for Investing in Opportunity Zones (EIG)
NCSHA Opportunity Zone Fund Directory
Opportunity Zone Program Notice of Funding Opportunity
Cost of Living
The cost of living in Decatur & Macon County is a large incentive when comparing other areas of the country. Please use our cost of living index calculator below.