MUNICIPAL TAX INCENTIVE POLICY

- The Town of Clarenville will not consider businesses under this Tax Incentive Policy that are eligible to apply under the EDGE Program. Any business not eligible for the EDGE Program will have to provide verification upon request.

- The Town of Clarenville will not consider a Tax Concession for any business that is in direct competition with any existing business. Each request will be considered on an individual basis.

- Businesses that do not qualify for the EDGE Program may be considered for a Tax Concession under the following criteria:

1. Non-Competitive Business
Any business not participating in whole or in part in any product, activity or service of any other business already established within the jurisdictional area.

2. Tax Exemption
Exemption will be considered for Business Tax only.

3. Verification of Investment
Confirmation must be received by way of Financial Statements or Letter of Verification from a recognized auditing firm. In kind labour value, equipment donation or estimated investment dollar value will not be recognized for the purpose of determining eligibility.

4. Formula Outline
Investment Amount Tax Exemption
$25,000 - $100,000 1 year
$100,001 - 200,000 2 years
$200,001 - Up 3 years

5. Job Creation
New business must result in new job creation.

6. Personal/Home Based Businesses
Personal and Home Based Businesses do not qualify under the above legislation.

7. Amendments
Council reserves the right to amend and/or terminate these regulations at any time.

Adopted: April 14, 1998
Motion No: 98-074
Mayor
Clerk