22 Baltimore Road Rockville, MD 20850 Montgomerybusiness.org  

Incentives Montgomery County is the premiere destination for Corporate Headquarters, Life Sciences, Shared-Services operations and Cyber-security corporations. Choose Montgomery County for a proven community in growing companies.

  ↓ Advantages: ↓ Qualification:

Economic Development Grant and Loan Program

The typical amount of assistance ranges from $5,000 to $100,000. Higher amounts are possible for businesses involved in large projects.

Projected employment growth and capital investment, or other positive economic impacts that the County’s assistance will facilitate. Subject to Council Approval.

Cybersecurity Supplemental Program The County’s latest local tax incentive program aimed at spurring job and business growth in the ever-critical cybersecurity sector.

Local cybersecurity companies who receive a tax credit through the State’s cybersecurity incentive program will receive a cash supplement from the County based on total tax credits received by Montgomery County cybersecurity companies

Company must receive final tax credit certificate for the Maryland Cybersecurity Investment Tax Credit

MOVE Make Office Vacancy Extinct $4 per square foot economic development

fund incentive

Company must be new to Montgomery County, sign a minimum 3-year lease of Class A office or lab space. Company must be in the field of cybersecurity, green technology, IT or life sciences. Incentive has a cap of $40,000 (10,000sf) and for year 1.

New Jobs Tax Credit Tax credit against county real and personal property taxes, for a period of 6 taxable years, equal to the following percentages of the property tax imposed on the assessment of the new or expanded premises: 52% during the 1st and 2nd taxable years, 39% during the 3rd and 4th taxable years, and 26% during the 5th and 6th taxable years.

A business entity certified for the New Jobs Tax Credit also qualifies for the state tax credit, which is to be applied against individual or corporate income tax, insurance premiums tax, or financial institution franchise tax, and is equal to a percentage of the amount of property tax imposed on the assessment of the new or expanded premises as follows: 28% in the 1st and 2nd taxable years, 21% in the 3rd and 4th taxable years, and 14% in the 5th and 6th taxable years.

The state and county tax credit programs can be combined for a total tax credit of 80% during the 1st and 2nd year, 60% during the 3rd and 4th years, and 40% during the 5th and 6th years.

Hire 25 new full-time employees within 24 months, the positions must be permanent; and, construct or expand by a minimum of 5,000 SF in a 24 month period at the same location.

 

Holly Sears Sullivan, MBDC hsullivan@montgomerybusiness.org/ 240-399-3903 301.399.3903

Steve Silverman, Montgomery Co. Dept. of Economic Development steve.silverman@montgomerycountymd.gov/ 240.777.2005

↓ Advantages: ↓ Qualification:

Enhanced Job Tax Credit For each of the first 12 years after a business entity qualifies for the Enhanced New Jobs Tax Credit, Montgomery County shall compute the amount of property tax credit granted, equal to 58.5% of the amount of property tax imposed on the increase in assessment of: -new or expanded premises -newly renovated real property improvements adjoining or adjoining premise, provided renovations are substantial -the personal property located on the new or expanded premised, or adjoining renovations A business entity certified for the Enhanced New Jobs Tax Credit also qualifies for the State tax credit, which is equal to 31.5% of the amount of County property tax imposed on the increase in assessment of the real and personal property, described above, for each of the first 12 taxable years after the business entity qualifies for the credit. The business entity can apply the state tax credit against the individual or corporate income tax, insurance premium tax, or financial institution franchise tax.

Within 6 years from the date of notification the company must:

New Businesses:

• Obtain at least 250,000 square feet of new premises

• Employ at least 1,250 individuals in new permanent full-time positions, paying at least 150% of the federal minimum wage, in a qualified industry, and located in the new or expanded premises.

Existing Businesses:

• Obtain at least 250,000 SF of new premises

• Employ at least 2,500 in existing full time positions, paying at least 150% of the federal minimum wage, in a qualified industry.

• Employ at least 500 individuals in new permanent full-time positions, paying at least 150% of the federal minimum wage, in a qualified industry, and located in the new or expanded premises.

Biotechnology Investor Incentive Program

Investors who receive a tax credit through the State’s biotechnology incentive program will receive a cash supplement from the County based on the total tax credits received by investors of Montgomery County biotechnology companies.

Investors of companies that receive approval first from the Maryland Bio Investor Tax Credit Program. The county’s portion is an add-on to already approved investors by the State and it is given as cash, not credit.

Green Investor Incentive Program Small Business Revolving Loan Program This loan program is targeted at Montgomery County-based small businesses with gross revenues of less than $5,000,000 annually and fewer than 75 employees.

Incentive up to $50,000 to investors in green technology

Program assistance typically ranges from $5,000 to $100,000, with maximum terms up to 5 years

If you invest in a local business that researches, develops or provides an innovative, new to the market green product or service and implements verified sustainable operations Applications will be reviewed based upon County underwriting policy, including but not limited to the financial condition of the business, projected job growth, capital investment and debt service. Loan proceeds must be used to grow the business in the County. Collateral and principal’s personal guarantee are required.

Laurie Boyer, REDI Boyer@RockvilleREDI.org  301-315-8096