The City may establish or approve the establishment of special districts that can impose special assessments and/or taxes in order to pay for public improvements and/or to eliminate blight. These districts are typically geographic areas such as a neighborhood or corridor that are contiguously connected. The most common special taxing districts are Neighborhood Improvement Districts (NID), Community Improvement Districts (CID), and Transportation Development Districts (TDD).
Property Tax Abatement
Tax abatement is offered through a variety of programs geared to job creation, private investment, and redevelopment. Typically, property taxes continue to be paid on land and improvements based on their value prior to the new investment. All, or a portion, of the incremental increase in property taxes is abated for an established period of time. This incentive is sometimes referred to by the respective Missouri Statute as Chapter 99 (Land Clearance for Redevelopment Authority), or Chapter 353 (Urban Redevelopment Corporation).
Tax Increment Financing (TIF)
All taxes owed and a portion of all of the incremental increase in taxes resulting from the redevelopment is captured and redirected to pay redevelopment project costs. Taxing jurisdictions continue to receive the taxes based on the pre-development value. A Tax Increment Financing (TIF) project may also capture new economic activity taxes after the TIF is approved. All new Business Personal Property taxes created immediately flow to the respective taxing jurisdictions while the TIF is in existence.
See the Incentive Policy link at the bottom for more details.
State Of Missouri Incentives
The BUILD Missouri Program is an incentive tool that allows the Missouri Department of Economic Development and the Missouri Development Finance Board to provide a financial incentive for the location or expansion of large business projects. The incentives are designed to reduce necessary infrastructure and equipment expenses if a project can demonstrate a need for funding. The Program is governed by Sections 100.700 to 100.850, RSMo.
An eligible industry in manufacturing, processing, assembly, research and development, agricultural processing or services in interstate commerce must invest a minimum of $15 million; or $10 million for an office industry (regional, national or international headquarters, telecommunications operations, computer operations, insurance companies or credit card billing and processing centers) in an economic development project; and
Create a minimum of 100 new jobs for eligible employees at the economic development project or a minimum of 500 jobs if the economic development project is an office industry or a minimum of 200 new jobs if the economic development project is an office industry located within a distressed community as defined in Section 135.530, RSMo. Ineligible: Retail, health or professional services, intra-state relocations or replacement facilities.
See BUILD Program for more details.
Missouri Works was established to facilitate the creation of quality jobs by targeted business projects in the state.
The program creates a streamlined incentive to allow Missouri to be competitive on both large and small job creation projects. It incentivizes job creation with a statutory withholdings tax retention benefit and a discretionary, highly liquid tax credit. The program benefits are based on a percentage of the payroll of the new jobs created. More information is available on Missouri Works here.
Missouri Workforce Incentives
Missouri offers a variety of workforce incentives for new jobs added in the state. Most popular are On-The-Job Training and Missouri Works Training. For a full listing of Missouri Works Training, visit Business.mo.gov/training. Additional information on training programs Missouri can be found here.