State Incentives

The State of Indiana has an array of incentives to offer growing businesses. The Indiana Economic Development Corporation and the Indiana Department of Workforce Development are two primary agencies serving Indiana companies.

Indiana Economic Development Corporation
The Indiana Economic Development Corporation (IEDC) is the State of Indiana's lead economic development agency. IEDC was officially established in February 2005 to replace the former Department of Commerce. In order to respond quickly to the needs of businesses, IEDC operates like a business.

Indiana Department of Workforce Development
Indiana Department of Workforce Development (IDWD) manages and implements innovative employment programs for Hoosiers, unemployment insurance systems, and facilitates regional economic growth initiatives for Indiana.

Hoosier Business Investment Tax Credit(HBITC)
The Hoosier Business Investment Tax Credit (HBITC) program was established to encourage capital investment in Indiana by providing a credit against a company’s Indiana tax liability. The credit amount is based on a company’s qualified capital investment with the final credit amount determined by the IEDC based on an analysis of the economic benefits of the proposed investment.

Economic Development for a Growing Economy(EDGE)
The Economic Development for a Growing Economy (EDGE) program was created to reward companies creating new jobs and contributing to the growth of Hoosier income.  EDGE credits are calculated as a percentage of payroll tax withholding for net new Indiana jobs.  EDGE credits may be awarded for a term of up to ten years.

Venture Capital Investment Tax Credit
The Venture Capital Investment Tax Credit program was established to improve access to capital for fast growing Indiana companies by providing individual and corporate investors an additional incentive to invest in early stage firms.  Investors who provide qualified debt or equity capital to Indiana companies receive a credit against their Indiana tax liability.

Clean Energy Tax Credit
The Clean Energy Tax Credit Programs support Indiana’s advanced agricultural independence and provide an incentive for the development of renewable energy.  Biodiesel, blended biodiesel, ethanol producers and blended biodiesel distributors may be eligible for a tax credit calculated as a percentage of their fuel production or distribution.

Certified Technology Park Program
The Certified Technology Parks program was created as a tool to support the attraction and growth of high-technology business in Indiana. Designation as a Certified Tech Park allows for the local recapture of certain state and local tax revenue which can be invested in the development of the park.

Industrial Development Grant Fund
The Industrial Development Grant Fund provides money to local governments for off-site infrastructure projects associated with an expansion of an existing Indiana company or the location of a new facility in Indiana.  State funding through the IDGF program must be matched by a combination of local government and company financial support.

Industrial Recovery Tax Credit
The Industrial Recovery Tax Credit provides an incentive for companies to invest in facilities requiring significant rehabilitation or remodeling expense.  After a building has been designated as an industrial recovery site, companies may be eligible for a tax credit calculated as a percentage of qualified rehabilitation expense.

Skills Enhancement Fund
The SEF Fund is a tool to encourage companies to invest in their existing workforce and train new employees.  SEF provides reimbursement for eligible training expenses over a two year term.  Companies may reapply for additional SEF Funds after their initial two year term.

Technology Enhancement Certifications for Hoosiers (TECH) Fund: The TECH Fund funded jointly by the Indiana Department of Workforce Development and the Indiana Economic Development Corp. was created to help Indiana businesses train their existing information technology professionals. The maximum award of $50,000, of the IT training costs, or $2,500 per employee, whichever is less, can be used for costs associated with a company's IT professionals earning recognized certifications in areas including: systems administration, systems engineering and software development.

Indiana Finance Authority Loan Guaranty Program
The IFA can guarantee loans for high-growth/high-tech companies, manufactures, rural development projects, value-added agricultural enterprises and other types of businesses that create a significant number of Hoosier jobs. To date, IFA has provided over $83 million guaranteed loans to Indiana businesses.

Office of Regulatory Ombudsman
The Indiana Economic Development Corporation Office of Regulatory Ombudsman acts as a mediator, expediter and problem-solver in areas affecting businesses, communities and economic development organizations. The Ombudsman's office can assist in the permitting process, serve as a liaison with state agencies and provide information about state regulations and requirements. The Office of Regulatory Ombudsman can be contacted at 800-280-0584.