Tax Refunds | Workforce Incentives | Infrastructure Grant | Sales Tax Exemptions | Urban Job Tax Credit | Enterprise Zone
Lakeland offers the same incentives as the state of Florida. The Lakeland Economic Development Council has a great working relationship with the City of Lakeland and Polk County and is able to work with clients on a case-by-case basis. Most of the state's incentives are awarded to employers based on paying a minimum of 115% of the average annual county wages. The average annual wage for Polk County is $33,010 or $15.87 an hour, so 115% of the average wage would be $37,962 or $18.25 an hour. Incentive levels rise at 150% and 200% of average wages. (See attached State of Florida Incentive Average Wage Requirements).
Tax Refunds
The Qualified Target Industry (QTI) Tax Refund is a tool available to Florida communities to encourage quality job growth in targeted, high value-added industries. Pre-approved applicants creating jobs in Florida receive refunds on the taxes they pay including corporate income, sales, ad valorem, and certain other taxes.
Eligible applicants pay an average annual wage that is at least 115 percent of the state, metropolitan statistical area (MSA), or the local average wage - a minimum average annual wage of $37,962 for Polk County. The amount of the refunds is equal to $3,000 per new job created. An additional $1,000 "per job" bonus is available for businesses paying 150 percent of the local or statewide average annual wage ($49,515 for Polk County).
In order to participate, the company must apply to Enterprise Florida prior to making a decision to locate in Florida. The community must provide a resolution from the city or county commission recommending the applicant for the incentive and committing to provide a local match equaling 20 percent of the total tax refund. (See attached QTI information sheet).
Statutory Reference: Section 288.106, Florida Statutes
Lakeland companies receiving QTI Grants:
| Job Tax Credits in Lakeland | |||
| Company | Jobs Created | Local Tax Credit (20%) | State Tax Credit (80%) |
| Pepperidge Farm | 80 | $86,000 | $344,000 |
|---|---|---|---|
| Pepperidge Farm | 38 | $22,800 | $91,200 |
| Lockheed Martin(2002) | 103 | $82,400 | $329,600 |
| Lockheed Martin(2005) | 100 | $80,000 | $320,000 |
| Outback Essentials(2007) | 24 | $14,400 | $57,600 |
| Procunier | 10 | $8,000 | $32,000 |
Workforce Incentives
Quick Response Training (QRT) is a customer-driven training program designed to respond quickly to meeting business-training objectives. Workforce Florida, Inc., the state's public-private partnership created to coordinate job-training efforts, administers the program.
Your company would have the ability to select a local training provider - community college, area technical center or university - which will be available to assist in the application process and program development or delivery. Program instructors can be full or part-time educators, vendors, or subject matter experts.
Reimbursable training expenses include:
- instructors'/trainers' salaries;
- curriculum development;
- textbooks/manuals; and
- materials and supplies.
Businesses approved for QRT funding are limited to one grant award per site every two years. Approved training costs are disbursed to the training provider monthly, based on a cost reimbursement and performance method of payment. All QRT funds are subject to availability of funding and contingent on training needs. Awards are made on a first come - first serve basis. (See attached QRT information sheet)
Statutory Reference: Section 288.047, Florida Statutes
Lakeland companies receiving QRT Grants:
| Company | Jobs Created | Grants |
| QPI | 246 | $112,565 |
|---|---|---|
| GEICO | 129 | $100,313 |
| GEICO | 508 | $311,640 |
| Pepperidge Farm | 40 | $97,125 |
| Pepperidge Farm | 78 | $65,520 |
| Glendale Protective Tech. | 50 | $30,639 |
| McMillan/Blodel | 52 | $97,469 |
| Keymark | 139 | $97,469 |
| Max Pak | 57 | $19,312 |
| Mid State Truss | 22 | $17,850 |
| Lockheed Martin | 100 | $122,241 |
| Southern Wine and Spirits of Florida | 157 | $176,715 |
| USCO/JC Penney | 590 | $218,612 |
| Juice Bowl Products, Inc. | 53 | $54,233 |
| TOTALS | 2,332 |
Incumbent Worker Training
Incumbent Worker Training (IWT) provides training to currently employed workers to keep Florida's workforce competitive in a global economy and to retain existing businesses. The program is available to all Florida businesses that have been in operation for at least one year prior to application and require skills upgrade training for existing employees. All IWT funds are subject to availability of funding and contingent on training needs. Awards are made on a first come - first serve basis.
(See attached IWT information sheet)
Statutory Reference: Section 445.003, Florida Statutes
Lakeland companies receiving IWT Grants:
| Job Tax Credits in Lakeland | |||
| Company | No. of Employees Trained | Grants | |
| Westworld Telecom Corp. | 7 | $15,000 | |
|---|---|---|---|
| Integrated Metal Products | 30 | $28,200 | |
| Advance Stores Company, Inc. | 130 | $25,973 | |
| GEICO | 668 | $63,410 | |
| TOTAL | 835 | $132,583 | |
Polk Works Workforce
USEFUL LINKS
Polk Works is a nonprofit corporation that oversees workforce development resources for the citizens and business community of Polk County, FL. Polk Works is available to assist companies with their hiring and recruiting needs. Some of the services they offer include: applicant screening, online application process, inputting new hires, administering testing, conducting job fairs, etc.
For more information call (863) 534-2529 or E-mail jgarrett@cfdc.org
Infrastructure Grant
Economic Development Transportation Fund (Road Fund)
The Economic Development Transportation Fund (Road Fund) may be used to alleviate transportation impediments that adversely impact a company's location or expansion decision. Eligible transportation projects may include improvements such as access roads, turn lanes, and signalization.
The funds may be used for design and engineering costs and construction costs of the transportation project. The governmental unit that will own and maintain the transportation improvement submits the application and is reimbursed after commencement of construction of the facility.
Award amount depends on necessary improvements and represents a grant to the government entity responsible for the improvements. (See attached Road Fund document)
Statutory Reference: Section 288.063, Florida Statues
Lakeland Companies receiving EDTF grants:
| Company | Grants |
| W.S. Badcock | $2,000,000 |
|---|---|
| Sooner Defense | $2,000,000 |
| Breed Technologies | $2,000,000 |
| Star Distribution | $2,000,000 |
| Pepperidge Farm | $200,000 |
| Publix | $1,920,000 |
| GEICO | $2,000,000 |
| Dual Tech | $200,000 |
| Lockheed Martin | $2,000,000 |
| FiberTek | $1,900,000 |
| TOTAL | $16,620,000 |
Sales Tax Exemptions
USEFUL DATASHEETS
Manufacturing Machinery and Equipment Sales Tax Exemption
Your company many be eligible for a 100 percent exemption of the sales and use tax on manufacturing machinery and equipment. In order to qualify for the new business exemption, the machinery and equipment must have been purchased, or a purchase agreement made, prior to the date the business first begins to produce a product for inventory or immediate sale. If a purchase agreement was made prior to the beginning of production, such machinery and equipment must be received within twelve months of the date that production began.
Industrial machinery and equipment is exempt from tax when purchased by an expanding business for the purpose of increasing "productive output" by not less than ten percent.
Statutory Reference: Section 212.08, Florida Statutes
Machinery and Equipment Used for Research and Development
Machinery and equipment, including but not limited to molds, dies, machine tooling, other appurtenances or accessories to machinery and equipment, testing and measuring equipment, test beds, computers and software, whether purchased or self-fabricated, includes materials and labor for design, fabrication and assembly, used predominantly for research and development and used to meet a qualifying research and development goal are exempt from sales and use tax.
Statutory Reference: Section 212.08 (18), Florida Statutes
Pollution Control Equipment Sales Tax Exemption
The sales tax levied on pollution control equipment shall be exempted for any facility, device, fixture, equipment, machinery, specialty chemical, or bioaugmentation product used primarily for the control or abatement of pollution or contaminants in manufacturing, processing, compounding, or producing for sale items of tangible personal property at a fixed location, or any structure, machinery, or equipment installed in the reconstruction or replacement of such facility, device, fixture, equipment, or machinery.
Statutory Reference: Section 212.051, Florida Statutes
Electricity Tax Exemption
The Electricity Tax Exemption is applied to 100 percent of the electricity purchased if 75 percent or more is used to operate machinery and equipment at a fixed location to manufacture, process, compound, produce, or prepare for shipment items of tangible personal property for sale, or to operate pollution control equipment, recycling equipment, maintenance equipment, or monitoring or control equipment used in such operations. The exemption is applied to 50 percent of the electricity or steam purchased if 50 to 75 percent is used in manufacturing. No separate metering is required. For more information on sales tax exemption on Lakeland utilities, please contact Ron Pierce, Lakeland Electric, 863/834-1239.
Statutory Reference: Section 212.08, Florida Statutes
Boiler Fuels Tax Exemption
When purchased for use as a combustible fuel, purchases of natural gas, residual oil, recycled oil, waste oil, solid waste material, coal, sulfur, wood, wood residues or wood bark used in an industrial manufacturing, processing, compounding, or production process at a fixed location in this state are exempt from the taxes imposed by this chapter; however, such exemption shall not be allowed unless the purchaser signs a certificate stating that the fuel to be exempted is for the exclusive use designated herein. This exemption does not apply to use of boiler fuels that are not used in manufacturing, processing, compounding, or producing items of tangible personal property for sale, or to the use of boiler fuels used by any firm subject to regulation by the Division of Hotels and Restaurants or the Department of Business and Professional Regulation. Propane is not a tax-exempt boiler fuel.
Statutory Reference: Section 212.08, Florida Statutes
Repair and Labor Charges Sale Tax Exemption
The Repair and Labor Charges Tax Exemption fully exempts sales tax on labor charges for the repair of, and parts and materials used in the repair of and incorporated into, industrial machinery and equipment which is used for the manufacture, processing, compounding, production, or preparation for shipping of items of tangible personal property at a fixed location within Florida.
Statutory Reference: Section 212.08, Florida Statutes
Urban Job Tax Credit Program
The Urban Job Tax Credit is an incentive for eligible businesses located in a designated urban area to create new jobs. The credit is $500 per qualified job and can be taken against either the Florida Corporate Income Tax or the Florida Sales and Use Tax.
Lakeland Companies receiving Urban Job Tax Credit :
| Company | Grant |
| 1999 Terrace Hotel | $27,500 |
| 1999 Discount Auto Parts | $8,000 |
| 2000 Publix Super Markets | $10,500 |
| 2002 GC Services | $330,000 |
| 2002 Publix Super Markets | $26,000 |
| 2006 FiberTek | $15,500 |
| TOTAL | $417,500 |
|---|
Enterprise Zone
Lakeland's Enterprise Zone designation become effective on January 1, 2006. An Enterprise Zone, designated by the state of Florida, is a specific geographic area targeted for economic revitalization. Tax savings are offered to businesses and property owners that are located in the Enterprise Zone if they are employing zone residents, rehabilitant real property, or purchasing new business equipment. Companies can receive credits on their state sales tax, corporate income tax and property tax.
Lakeland's Zone is generally located north of Ariana Street and Orange Street, south of I-4, west of Lake Parker and east of the current City Limits.
Lakeland's Enterprise Zone is made up of one contiguous geographic area which encompasses approximately 7.38 square miles and has a population of 21,227 residents.