The Alabama incentives are designed to assist companies through the initial investment period and to help encourage investment and employment opportunities in our area.  Below is a brief description of the major incentive programs offered through provisions of the state constitution and codes.  For more information on each of these incentives, follow the provided link or contact the ECGEDC office. 

Capital Investment Tax Credit - An income tax credit of up to 5 percent of initial capital costs for new and expanding companies, available for 20 years, can effectively eliminate Alabama income tax liability.  Projects must meet minimum investment criteria, employment requirements, and wage requirements. 

Employer Education Credit - Businesses can receive an income tax credit equal to 20 percent of the costs of basic skills education for employees.

Sales and Use Taxes - Alabama allows businesses to avoid liability for some materials brought into the state, such as pollution control equipment and some raw materials for industrial products.

Property Taxes - Alabama has one of the nation's lowest property taxes - 20 percent of market value for businesses - and a portion of that tax may be abated for new projects and expansions.

Business Privilege Taxes - Alabama business privilege taxes follow a gradiated scale from 25 cents to $1.75 per $1,000 of net worth, but no more than $15,000.

Getting Down to Business

What is required to open a manufacturing plant in Alabama?  Below is a brief checklist of items a company will need to consider and address.  Each business is unique and has its own needs and requirements.  We can help you identify applicable requirements and help your company through this stage. For more information on these items contact the ECGEDC office or follow the provided links.

REGISTERING A NEW BUSINESS

Corporate registration- Alabama Secretary of State

PERMITTING (prior to construction)

Construction stormwater- Alabama Department of Environmental Management

Air emissions- Alabama Department of Environmental Management

Archeological - Alabama Historical Commission

PERMITTING (prior to operation start-up)

Process wastewater- Alabama Department of Environmental Management

Operation storm water- Alabama Department of Environmental Management

INDUSTRIAL TRAINING

Pre-employment training - Alabama Industrial Development Training

Economic Development Information

Alabama Department of Environmental Management

Alabama Department of Revenue

Alabama Department of Labor Market Information

Alabama Development Office

Alabama Historical Commission

Alabama Industrial Development Training (AIDT)

Alabama Power Company

Economic Development Partnership of Alabama

Enterprise State Community College

PowerSouth

Southeast Alabama Gas District