Greater Peoria, located in the heart of Illinois, has a flat individual income tax rate. This rate is less than half of the national average. Our region also has a wide range of financial incentives and support for businesses looking to grow and succeed. Opportunities for funding are available for nearly every size and kind of business in our community. Illinois does not collect a state tax on personal property. All property, other than real estate, is exempt from the property tax in Illinois. Thus, all classes of personal property, including machinery, equipment, inventories, and intangibles, are exempt, giving you additional saving opportunities for your business.
Greater Peoria offers a variety of financial incentives and support for businesses looking to grow and achieve success. Greater Peoria is home to seven opportunity zones: five in Peoria, one in Havana, and one in Pekin. An Opportunity Zone is an economically-distressed community where new investments, under certain conditions, may be eligible for preferential tax treatment. Opportunity Zones are a tool for economic development, designed to connect distressed, low-income communities (urban and rural) with private investment capital, resulting in economic growth and job creation.
The Greater Peoria Region has five Enterprise Zones which are part of the Illinois Enterprise Zone Program. Enterprise Zones are designed to stimulate economic growth and neighborhood revitalization in strategic areas of the state. This goal is accomplished through state and local tax incentives, regulatory relief, and improved governmental services. Benefits include property tax abatement, permit fee waivers, jobs tax credit, dividend income deduction, interest deduction, contribution deduction, building material sales tax exemption, machinery & equipment/pollution control facilities sales tax deduction, utility tax exemption, and investment tax credit. Explore Greater Peoria’s five Enterprise Zones on our interactive map. Simply add the layer of the Enterprise Zone you want to see.
The State of Illinois Department of Commerce and Economic Opportunity EDGE Tax CreditE program provides annual corporate tax credits to qualifying businesses which support job creation, capital investment and improve the standard of living for all Illinois residents. The non-refundable income tax credit is equal to 50% of the income tax withholdings of new jobs created in the state. This percentage increases to 75% if the business expansion project is located in an “underserved area” census tract. Learn More.
Greater Peoria area businesses also benefit from the Advantage Illinois Participation Loan Program. By working with the state’s banking community and venture capitalists the program helps entrepreneurs and small businesses start up, expand and create new jobs at a faster rate. Learn More.
Businesses in the Greater Peoria Region are also supported by The Tri-County River Valley Development Authority (TRVDA) Industrial Revenue Bonds. This program offers qualifying companies with tax-free (state and federal) bond financing. Learn More
Greater Peoria offers the Illinois Manufacturing Innovation Voucher Program powered by the Illinois Manufacturing Excellence Center (IMEC). The program supports small and mid-sized manufacturers, with 5-500 employees, to embrace new technologies in their products and processes. The Illinois Manufacturing Innovation Voucher will award up to $25,000 in match funding to:
Greater Peoria is in Foreign Trade Zone 114, which provides over two million square feet of warehousing and distribution space available for general-purpose zone usage. Operating within these zones comes with numerous benefits such as lower duties, cost avoidance, staging and showcasing capabilities, and assembly cost savings.
Boost productivity through research and development.
Greater Peoria businesses can take advantage of the R&D tax credit. Illinois’ program is modeled after the federal R&D tax credit, including the federal definition of qualifying research. It is a non-refundable tax credit equal to 6.5% of qualifying research expenditures that exceed the baseline amount:
Tax Increment Financing, or TIF, is a public financing method that is used as a subsidy for redevelopment, infrastructure, and other community-improvement projects. These districts dedicate property tax revenues generated within the TIF for improvements within the district to encourage new economic development and job creation. Funds may be used for costs associated with the development or redevelopment of property within the TIF, allowing blighted, declining and underperforming areas to become viable again, and allowing these areas to compete with vacant land at the edge of urban areas. Projects in TIF districts vary, but could include:
Explore Greater Peoria’s 21 TIF Districts on our interactive map. Simply add the layer of the TIF District you want to see.
Peoria County Government Assistance Programs: Through its Government Assistance Program, Peoria County offers 3 levels of assistance through a MICROLOAN (up to $35K or 80% of the project), a GAP LOAN (up to $150K or 50% of the project), or a MACRO LOAN ( up to $600K or 33% of the project). The interest rate of the loans are generally fixed at 3% below the prime rate, with a minimum rate of 3%.
For more information on any of these programs, please do not hesitate to contact us.
Director of Business Assistance | Foreign-Trade Zone #114