What does it take for a company to become an EDC beneficiary company and, therefore, be able to receive the 90% EDC tax credit on its eligible income?
A company must have a valid Certificate for tax benefits issued by the U.S. Virgin Islands Economic Development Commission (“EDC”). A company must complete an application, submit it to the EDC and be approved by the EDC after a public hearing with the EDC Commission in order to be issued an EDC Certificate for tax benefits. Pursuant to the EDC Program law, a summary of some typical requirements for applicants to be granted an EDC Certificate for tax benefits are as follows: • Provide full-time employment for at least 10 local residents of the U.S. Virgin Islands who have resided in the V.I. for at least one year prior to being hired by the EDC beneficiary company. • Provide full health benefits to all employees. • Provide at least a 5% employer-provided retirement plan contribution for all employees via a 401(k) or similar type of retirement plan. • Invest at least $100,000, exclusive of inventory, in an industry or business that advances the economic well-being of the USVI. • Contribu
Related Questions
- If I am laid off from AA, or another eligible air transportation industry company, and never joined the AA Credit Union, am I still able to join?
- What happens if a unit is leased as a tax credit eligible household and later is found out that the household is not income qualified?
- If I earn too much income for a tax credit property, am I ineligible for others?
