11/26/2024
The NCIDA is proud to announce that Covington, Georgia has been designated as New Rural Zone for Tax Incentives and Economic Development!
Covington Joins Eight Other Cities in Georgia’s Initiative to Boost Economic Growth and Revitalize Historic Downtowns
The City of Covington is proud to announce its designation as a Rural Zone, a significant achievement that will unlock critical state tax incentives aimed at fostering economic development and revitalizing its historic downtown district. Covington is one of nine Georgia cities to receive this designation in the 2024 round of Rural Zone announcements, alongside Chickamauga, Dallas, Dawsonville, Douglas, Ellaville, Fort Oglethorpe, Sandersville, and Warrenton.
The Rural Zone program, a partnership between the Georgia Department of Community Affairs and the Georgia Department of Economic Development offers a range of state income tax credits designed to incentivize job creation, property investments, and downtown revitalization efforts in rural communities. Covington’s designation opens the door for local businesses and investors to take advantage of these tax incentives, starting January 1, 2025. In order to qualify for any of the credits, businesses must first create at least two new full-time jobs.
Incentive Highlights Include:
· Jobs Tax Credit: $2,000 per year for each new full-time equivalent (FTE) employee, available for up to five years, for businesses that create new jobs.
· Investment Credit: 25% of the purchase price of a property within the designated Rural Zone, up to a maximum of $125,000.
· Rehabilitation Credit: 30% of qualified rehabilitation costs for a property in the Rural Zone, up to a maximum of $150,000.
"Being selected as one of Georgia's Rural Zone designations is a transformative opportunity for our community, unlocking essential resources, tax incentives, and support that can drive economic growth, attract new businesses, and improve quality of life,” said Serra P. Hall, Executive Director of the Newton County Industrial Development Authority. “It's a recognition of our potential, empowering us to preserve our unique character while fostering sustainable development for generations to come."
The Rural Zone designation lasts for five years, providing ample time for businesses and property owners to take advantage of the incentives. Communities, local developers, and business owners are encouraged to start planning for the opportunities that will begin in 2025.
