FRANKFORT, Ky. (Feb. 25, 2015) – With tax season upon us, the Kentucky Cabinet for Economic Development wants to remind Kentucky’s small business owners that they could be eligible for up to $25,000 in tax credits.
The state is offering the Kentucky Small Business Tax Credit to eligible companies throughout the Commonwealth.
The criteria are relatively simple. All a small business has to do is create and maintain at least one qualifying job and purchase $5,000 or more in qualifying equipment, and it may be eligible to receive a state income tax credit ranging from $3,500 to $25,000 per year. The amount of the tax credit depends on the number of jobs created and the amount of equipment purchased.
Mandy Lambert, commissioner of business development in the Kentucky Cabinet for Economic Development says many Kentucky businesses are eligible for the credit and don’t even know it.
“Last year, Kentucky businesses received less than a 10th of the money allotted for the credit because very few applied for it,” said Lambert. “The Kentucky Small Business Tax Credit directly puts money back into the pockets of small businesses and helps them grow and create jobs. We’re confident that if more small businesses know of this opportunity, they will take advantage.”
Dozens of small businesses throughout the state have used the Kentucky Small Business Tax Credit. BMC Contracting in Mt. Sterling received the credit last year.
“The process of filing for and receiving the credit was very easy and straightforward,” said Steve Moberly, BMC’s executive vice president. “This credit will allow us to continue to grow and invest. Any Kentucky small business interested in saving money should look into the program.”
It’s simple to see if a business qualifies and to apply for the credit. Interested business owners should contact the Kentucky Cabinet for Economic Development at 800-626-2250, and its small business experts will walk owners through the process.
Learn more about the Kentucky Small Business Tax Credit at www.KentuckyTaxCredit.org.