Enterprise Zones
The Colorado Enterprise Zone (EZ) program provides incentives for new businesses to locate or expand in economically distressed areas in Colorado as designated by the Colorado Economic Development Commission (EDC). Businesses located in a zone may qualify for 10 different Enterprise Zone Tax Credits and Incentives to encourage job creation and investment.
The Colorado Economic Development Commission (EDC) designates the Enterprise Zones. Four of Colorado's 18 Enterprise Zones are in Metro Denver; two are located in Northern Colorado.
Businesses located in a zone can qualify for the following Enterprise Zone tax credits and incentives to encourage job creation and investment in Colorado:
- 3 percent investment tax credit
- $500 job tax credit
- State sales tax exemption of manufacturing and mining equipment
- $500 job tax credit for agricultural processing
- $200 job tax credit for employer-sponsored health insurance
- 3 percent research and development tax credit
- 25 percent tax credit to rehabilitate vacant buildings
- 25 percent tax credit for contributions to zone projects
- 10 percent tax credit for job training
- Infrastructure Tax Credit
- Various additional negotiated local government tax incentives
Enterprise Zone administrators on the local level certify whether businesses are located within an Enterprise Zone. The business must attach a copy of the Enterprise Zone Certification of Qualified Business form DR0074 (available in the Document Downloads on this page) to its Colorado income tax return. Detailed information on Colorado Enterprise Zone incentives, contact information, and forms can be found in the Document Downloads.