Business Incentives Available in DeSoto, TX
DeSoto provides compelling business incentives, including Property Tax Abatements, Opportunity Zone, Enterprise Zone, and SBA HUBZone benefits. These incentives benefit biotechnology and retail businesses. Situated strategically and supported by various local and statewide economic incentives, the DeSoto Development Corporation equips businesses with the financial support necessary for project success.
Business Incentives
Property Tax Abatement
- Offered on new Business Personal Property (BPP) and Real Property.
- Minimum investment of $1.0 million for new construction/development or expansion.
- An application is required before construction/purchase. The return on investment analysis determines the level of incentives.
- Apply here.
Local Incentives
Triple Freeport Equivalency
- Cash rebates up to 100% of taxed freeport inventory value.
- Qualification through Dallas Central Appraisal District and Dallas ISD.
Infrastructure Participation
- Financial assistance for road improvements, utilities, and infrastructure upgrades.
Façade Improvements Grant Program
- One grant per building per fiscal year.
- Approval is at the discretion of the DeSoto Development Corporation Board. Apply here.
Sales Tax Rebates
- Refund of a portion of sales tax for retail establishments.
Economic Development Incentive Agreement
- Funds for new, expanding, or relocating companies.
- Use for renovation, site preparation, engineering studies, etc. Apply here.
Land Cost Assistance
- Potential reduction of industrial/commercial land prices.
Fee and Permit Rebates
- Payment of permitting, building inspection, or other fees for expanding or new businesses.
Statewide Incentives
- Texas Enterprise Fund (TEF)
- Governor's University Research Initiative (GURI)
- Texas Enterprise Zone Program
- Texas Small Business Credit Initiative (TSBCI)
- Skills Development Fund
- Texas Jobs, Energy, Technology & Innovation Act (JETI)
- Opportunity Zones
- Industrial Revenue Bonds (IRBs)
- Spaceport Trust Fund (STF)
- Economic Development & Diversification In-State Tuition for Employees
DeSoto Opportunity Zone
DeSoto's strategic location in Dallas County includes an Opportunity Zone, providing tax incentives for businesses and investors. This zone, located in Census Tract ID 48113016621, offers advantages such as deferred or eliminated federal taxes on capital gains.
New Markets Tax Credit
The New Markets Tax Credit (NMTC) encourages investment and development in low-income communities, like those in DeSoto, by offering tax credits to investors who make equity investments in specialized investment vehicles, referred to as Community Development Entities (CDEs). Investors can claim a 39% credit on their equity investment over a 7-year period. DeSoto has multiple census tracts that are NMTC qualified, including the tract located in DeSoto’s Opportunity Zone, making it an attractive destination for investors looking to benefit from the NMTC program.
Texas Enterprise Zone Program
DeSoto has four Enterprise Zones, offering businesses significant benefits through the state sales and use tax refund program. Companies in these zones can apply for refunds on qualified expenses, up to the maximum allowable refund, based on their planned investment and job creation/retention.
To qualify as an Enterprise Project, speak with the DDC about the criteria. If eligible, the DDC may nominate your company, granting you access to the EZP. Explore the program further to maximize your benefits.
View map of Enterprise Zone properties in DeSoto.
U.S. Small Business Administration HUBZones
In DeSoto, three HUBZones offer great benefits for local businesses. HUBZone-certified companies enjoy preferential access to government contracts for goods and services. This certification provides several advantages, including fair competition for contracts, the ability to secure some contracts without competition, and a 10% price evaluation preference when bidding on contracts. Learn more about the HUBZone Program.
