List of Enterprise Tax Zone Credits
- EZ – Investment Tax Credit: Providing businesses a tax credit of 3 percent for equipment purchases. Special rules for renewable energy equipment apply.
- EZ – Job Training: Companies that implement a qualified job-training program for their enterprise zone employees may claim an income tax credit of 12 percent of their eligible training costs.
- EZ – New Employee Credit: A tax credit offering businesses $1,100 per new job.
- EZ – Agricultural Processing: A tax credit of $500 per new business facility employee may be claimed by business adding value to agricultural commodities through manufacturing or processing.
- EZ- Enhanced Rural Enterprise Zone New Employee: Offers $2,000 total per new job for new businesses located within an enterprise zone.
- EZ – New Employee Enhanced Ag Processor Credit: Businesses located in an enterprise zone may be eligible for a credit of $500 per new employee, if the business is an agricultural manufacturing or processing business.
- EZ – Health Insurance: Offers businesses $1,000 per insured job available for the first two years in state enterprise zones.
- EZ – Research and Development Tax Credit: A tax credit for businesses up to three percent, based on the increase of a company’s research and development expenditures within an enterprise zone during the previous two income tax years.
- EZ – Vacant Building Rehab: Allows owners or tenants of a building in an Enterprise Zone that is at least 20 years old and that has been completely vacant for at least two years to claim a tax credit of 25 percent of the cost of rehabilitating the building for commercial use, up to $50,000.
- EZ – Commercial Vehicle Investment Tax Credit: Offers businesses a state income tax credit up to 1.5 percent on commercial trucks, truck tractors, tractors, or semitrailers, as well as associated parts. Learn more.
- EZ – Contribution Projects: Enterprise Zone (EZ) Contribution Projects encourage community participation and public-private partnerships to revitalize EZs. EZ Administrators may propose projects for EZ Project status to implement the economic development plan of that specific EZ. EZ Administrators work with their communities to bring forward proposals that meet the economic development needs, result in job creation/retention and business expansion, and have the support of the community. Colorado taxpayers may earn Colorado income tax credits by contributing to targeted efforts. Learn more.
Enterprise Zone Map
The areas in color on the map below represent EZ territory. Click on a selected area in color for the name of the Administrative Zone and a link to contact information.
Enterprise Zone Administrators
Speak with your local Enterprise Zone Administrator to learn more about the EZ Program, local conditions, and other local incentives. Contacts can be found here.
Apply for Enterprise Zone Business Tax Credits
Pre-Certification: Businesses wanting to claim any of the Colorado Enterprise Zone (EZ) income tax credits (excluding the Contribution Project credit for which pre-certification is not required), must annually pre-certify with their local EZ Administrator to be eligible to claim EZ tax credits. Pre-certification can be completed up to three months in advance of the business’ tax year start date. Pre-certification is approved by the Local EZ Administrator; a business with multiple locations in an EZ may include all locations within that EZ on a single pre-certification application. Businesses with multiple locations in various EZs must complete an application for each EZ.
Certification: A business having pre-certified, and then conducted activities that are eligible for EZ credits, must then complete a certification application and receive approval from the local EZ Administrator. Certification documents must be submitted with your Colorado income tax filing. The Certification document from our on-line application system takes the place of DOR forms DR0074, DR0076 and DR0077.
|Apply||Start and continue applications for Pre-Certifications and Certification of EZ tax credits. User Guide – Pre-certification and User Guide – Certification|
|Amend||Request that a submitted Pre-Certification or Certification application be re-opened so that you can make changes.|
|Transfer||Request a change in ownership of Pre-Certification or Certification record or add a new contract.|
Special Notes about Applying:
- Investment Tax Credits, Job Training, New Jobs, Health Insurance, Research and Development and Vacant Building Rehabilitation require pre-certification and certification to claim income tax credits.
- Only taxpayers engaged in business that is legal under both state and federal law are eligible to claim EZ income tax credits – hemp and marijuana related businesses may not be legal at the federal level.
- Businesses that completed activities normally eligible for EZ credits prior to 1/1/2012 may not file amended income tax returns to claim credits. Businesses with an approved Certification Form for EZ Credits earned prior to 1/1/2012 may request amendments to the form if amending their CO income tax filing.
- There is no ability to pre-date a Pre-certification Application. For each business income tax year, the business’s eligibility to claim EZ credits is from the point of approved pre-certification or the start of the income tax year, whichever is later, through the end of the income tax year entered by the user.
- Electronic filing of State Income Tax is generally required. The Certification form(s) andDR 1366 for EZ tax credits must be attached to the electronic filing. If one’s e-file software does not support these attachments, they may be submitted through Revenue Online using the E-Filer Attachment option. Failure to include form DR 1366 may result in the enterprise zone credits being denied. [39-30-111, C.R.S.] For an electronic filing hardship exception, call 303-238-7378.