Nevada's Tax Abatements and Incentives

Tax abatements and incentives are certainly a hot topic in economic development.  In fact, there are professional service firms that specialize in navigating the often complicated and misleading process in states across the country.  In Nevada, no such service is required.  Because our tax structure is inherently mild, we have a limited number of incentive programs.  Think about it – if we don’t tax it, we can’t give a short-term refund.

However, we understand the increasingly competitive environment for tax incentives.  Nevada offers an aggressive sales tax abatement and personal property tax abatement on new equipment as well as a modified business tax abatement (similar to a payroll tax) on new employees. 

Upon approval by the Nevada Commission on Economic Development, sales tax can be reduced to 2%.  This generally accounts for a 75% abatement of the sales tax due on capital equipment.  Personal property tax on capital equipment can be abated up to 50% for up to 10 years.  Modified business (payroll) tax can be abated by 50% for four years on new employees.

In order to qualify for these programs, there are minimum job creation, wage level and capital investment thresholds.  Businesses located in Washoe or Clark counties are subject to the urban requirements while all other counties are subject to the rural requirements.

Our most powerful tool we can offer is access to customized training funds.  These funds can be used to develop a custom workforce to fit the exact specifications of your facility.  Nevada agencies will work together with you to design, fund and implement these programs to give you access to the workforce you need to be successful.

If you think you may qualify for these programs or are interested in applying, please contact the local development authority in your region.  For a list of development authorities, click here.  For more detailed information on these programs, click here