A PROGRAM FOR ECONOMIC DEVELOPMENT AND REVITALIZATION
Established in 2017, the Calumet Region Enterprise Zone is designed to stimulate economic growth and neighborhood revitalization in key opportunity areas in Calumet City, Dolton, Lansing, Riverdale, South Holland, Thornton, and unincorporated Cook County.
The concept underlying enterprise zones is that by reducing government regulation and taxation in economically depressed areas will stimulate local business enterprise and investment that would otherwise not occur. This is accomplished through state and local tax incentives, regulatory relief, and improved governmental services.
Core benefits of enterprise zones are sales tax abatement on building materials for projects in the zone with valid Illinois Department of Revenue (IDOR) building materials sales tax exemption certificate; 50% abatement of the municipal portion of real estate taxes on the added tax value the project creates for 5 years (Projects in a TIF or receiving other property tax abatements are not eligible for this benefit); and 50% discount on local building permit fees (All other fees and inspection procedures follow local ordinances).
Types of projects that qualify for enterprise zone incentives are commercial, industrial, and residential developments that contain twelve units or more under one ownership.
When added together, tax credits from enterprise zones can total millions of dollars every year over a given time period. This aggregate tax break makes a huge difference to business start-ups and expansions, which often require large capitalization expenditures that would otherwise be difficult to afford.