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Qualifying businesses participating in NJIP receive substantial benefits, including:

• A 3 percent withholding tax credit applied to the company's job training fund, essentially doubling the training funds otherwise available.
• An investment tax credit of up to 10 percent for use against Iowa's corporate income tax. The credit, based on machinery, equipment, land, buildings, and improvements, can be carried forward for seven years.
• A 13 percent research and development activity corporate tax credit may be carried forward or refunded.
• A refund of Iowa sales, service or use taxes paid to contractors or subcontractors during the construction phase of the project.
• The local government involved may elect to exempt property taxes on improvements to land and buildings for a period not to exceed 20 years. These exemptions can cover all or a portion of the value added by the improvements.

A business is eligible for NJIP benefits if it:

• Creates and maintains at least 50 new jobs for at least five years.
• Pays a median wage for new production jobs of at least $11.96 per hour or 130 percent of the average county wage for new jobs, whichever is higher.
• Makes a capital investment of at least $10.87 million.
• Provides and pays at least 80 percent of health and dental insurance costs for all full-time employees at the new facility.
• Does not close or significantly reduce operations elsewhere in Iowa in order to relocate the operation to the proposed community.

Additionally, participating companies must meet at least three of the following criteria:

• Offer a pension or profit-sharing plan.
• Produce/manufacture value-added goods or services.
• Belong to one of Iowa's "target" business segments:      -Value-added agricultural products
       -Insurance, financial services or telecommunications
       -Plastics
       -Metals
       -Printing, paper or packaging products
       -Pharmaceuticals
       -Software development
       -Instruments, measuring devices and medical instruments
       -Recycling and waste management
   
• Make daycare services available.
• Annually invest no less than one percent of the Iowa facility's pretax profits in research and development.
• Have a productivity and safety improvement program in place.
• Annually invest no less than one percent of Iowa facility's pretax profits in worker training and skills enhancement.
• Occupy an existing vacant facility of at least 20,000 sq. ft.

Other ways a company may be considered:

When good cause is shown, a community may request a waiver of the $10.87 million capital investment requirement and/or a waiver of the jobs creation requirement. In order to be considered for a waiver, the eligible business must, at a minimum, agree to the following:

• The business must make a minimum capital investment of $3 million.
• The business must create at least 15 full-time production positions at a facility which has located or expanded in Iowa.

Businesses interested in this program should consult the Iowa Department of Economic Development along with relevant local organizations to determine eligibility.