Aviation Tax Abatement

Aviation Tax Abatement is sponsored by Nevada Governor's Office of Economic Development (GOED). This program offers partial abatements from Personal Property and Sales & Use Taxes for aviation companies that locate or expand their business in Nevada.

Incentives | Governor's Office of Economic Development Discover the advantages that make Nevada an ideal destination for doing business. From company incentives that encourage private sector firms to create jobs, invest in communities, and strengthen local industries to a pro-business culture, experience first-hand why Nevada stands out as a beacon for innovation, growth, and opportunity.

We invite you to explore, thrive and elevate your business here in the Silver State! The State/GOED provides Standard Tax Abatements covering sales and use tax, personal property, modified business taxes, as well as a real property abatement for recycling. Nevada Standard Tax Abatements Sales and Use Tax Abatement Sales and use tax abatement on qualified capital equipment purchases, with reductions in the rate to as low as 2%.

Modified Business Tax Abatement An abatement of 50 percent of the 1. 17% rate on quarterly wages exceeding $50,000. Personal Property Tax Abatement An abatement on personal property not to exceed 50% over a maximum of 10 years.

Real Property Tax Abatement for Recycling Up to 50% abatement for up to 10 years on real and personal property for qualified recycling businesses. Further information available here. Qualifying Criteria for Tax Abatements: A company must meet two criteria out of three.

Average Wage (Statewide average wage) – must meet average wage* Number of Primary Jobs created Note: The company has to offer a medical insurance plan and pay at least 65% of the plan’s premium costs.

Company Responsibilities: Maintain the business in Nevada for 5 years Register pursuant to the laws of Nevada Generate more than 50% of revenue from the project from outside of the State Note: For the most current statewide average wage visit: https://nevadaworkforce. com/ Indicate on the application the company’s plan to fulfill workforce needs.

A partial abatement from personal property tax and sales and use tax are available to data center companies that locate or expand their business in Nevada. Abatements apply to collocated businesses of the data center. Sales and use tax abatement for up to 10 or 20 years on qualified capital equipment purchases, with reductions in the rate to as low as 2%.

*Requires the Governor’s Office of Economic Development (GOED) Board to approve a reduction to 2% by a two-thirds vote. An abatement on personal property not to exceed 75% over a maximum of 10 or 20 years.

Jobs: Within 5 years employ 10 full-time employees who are Nevada residents Wages: Pay at least 100% of the Statewide Average Wage Capital Investment: Within 5 years, invest at least $25 million in cumulative capital expenditures between the applicant and tenants Jobs: Within 5 years employ 50 full-time employees who are Nevada residents Wages: Pay at least 100% of the Statewide Average Wage Capital Investment: Within 5 years, invest at least $100 million in cumulative capital expenditures between the applicant and tenants.

Company applying for Data Center Tax Abatements also must meet following criteria: Maintain the business in Nevada for 10 years. Register pursuant to the laws of Nevada. Offer medical insurance plan and pay at least 65% of the insurance premium costs.

Ensure that 50% or more of all workers engaged in construction of the data center are Nevada residents. Partial abatements from Personal Property and Sales & Use Taxes are available to aviation companies that locate or expand their business in Nevada. Sales and use tax abatement for up to 10 years on qualified capital equipment purchases, with reductions in the rate to as low as 2%.

* Requires the Governor’s Office of Economic Development (GOED) Board to approve a reduction to 2% by a two-thirds vote. An abatement on personal property not to exceed 50% over a maximum of 10 years. ■ Create 5 or more new full-time jobs within one year ■ Pay an average wage of at least 100% of the Statewide Average Wage ■ Indicate on the application the company’s plan to fulfill workforce needs.

In addition to the above requirements the company must meet ONE of the following criteria: ■ Make a new capital investment of at least $250,000 within 1 year ■ Maintain and possess in this State tangible personal property of not less than $5,000,000 ■ The business develops, refines or owns a patent or other intellectual property, or has been issued FAA certificate (14 CFR Part 21) $1B Investment and $3.

5B Investment Abatements Up to 50% abatement for up to 10 years on real and personal property for qualified recycling businesses. Capital Investment of at least $1 Billion Abatement of Taxes Include: ■ Sales and Use Tax Reduction – Depending on the county a company chooses to locate in, the reduced rate ranges between 4. 6% and 6.

125% for 15 years. ■ MBT – 75% for 10 years. ■ Property Taxes (Real and Personal) – 75% for 10 years.

No longer available: Transferrable Tax Credit’s (TCCs) $38M available; $9,500 for each qualified employee up to 4,000 jobs. Sunset on June 30, 2025. Capital Investment of at least $3.

5 Billion Abatement of Taxes Include: ■ Sales and Use Tax Reduction – Depending on the county a company chooses to locate in, the reduced rate ranges between 4. 6% and 6. 125% for 20 years.

■ MBT – 100% for 10 years. ■ Property Taxes (Real and Personal) – 100% for 10 years No longer available: Transferrable Tax Credit’s (TCCs) $38M available; $9,500 for each qualified employee up to 4,000 jobs. Sunset on June 30, 2025.

Indicate on the application the company’s plan to fulfill workforce needs. Real Property Recycling Tax Abatements Qualifying businesses can receive a partial abatement of up to 50% of the tax due on real property over a maximum of 10 years. ■ Must meet the ‘Standard Abatement’ requirements for an Urban or Rural location.

o Engages in the primary trade of preparing, fabricating, manufacturing or otherwise processing raw material or an intermediate product through a process in which at least 50 percent of the material or product is recycled on-site; o Includes as a primary component a facility for the generation of electricity from recycled material or a facility for the production of biofuels, biomass or other primary fuels from recycled material to produce energy; or o Primarily engages in the recycling or repurposing of materials that were used to produce or store renewable energy, including, without limitation, materials used in solar panels or waste materials resulting from the extraction of minerals; ■ The Office finds that the business has as a primary purpose the conservation of energy the substitution of other sources of energy for fossil sources of energy or the advancement of the environmental sustainability and energy goals of this State; ■ Indicate on the application the company’s plan to fulfill workforce needs.

A company works directly with the RDA (Regional Development Authority) to submit a Tax Abatement Application to GOED. GOED’s staff processes applications to determine eligibility and qualifications, as well as perform an economic analysis of the qualifying application. Applications are presented to the GOED Board members who determine abatements.

Abatement Agreement and Tax Abatement Package When approved, companies will enter into a contract with GOED. After signing the contract, the Department of Taxation will provide the company with a Taxation Abatement Package, so that companies can use approved abatements. A company works directly with the RDA (Regional Development Authority) to submit a Tax Abatement Application to GOED.

Submit applications to GOED through the relevant Regional Development Authority! Interested in Doing Business in Nevada? Join The Initiative Today Organization/Business/Community Name (Required) State / Province / Region Are you signing up as an Organization/Business, Community, or Individual?

(Required) Do you consent to be publicly listed on the GOED website? (Required) Upload your logo here (Required) Accepted file types: jpg, jpeg, png, pdf, Max. file size: 10 MB.

By clicking submit below, you agree to the terms of the License Agreement that govern your participation. Please review the agreement