by Navy Yard Philadelphia
January 14, 2015
Categories: Awards, Development Updates, Innovation, Workforce Development,
To strengthen Pennsylvania as a national leader for technology development and innovation, Governor Tom Corbett announced the award of more than $17 million in tax credits to more than 200 Pennsylvania start-up companies to support new growth, investment, and job creation. Five companies with headquarters at The Navy Yard are recipients of the Keystone Innovation Zone (KIZ) Tax Credit program, including Building 22 Metalworks, LLC, Iroko Intermediate Holdings, Inc., LUXTECH LLC, Rhoads Marine Industries, Inc., and ZSX Medical, LLC.
“We created an economic climate in Pennsylvania where start-up companies can grow and our young people can flourish,” said Gov. Corbett. “This innovative tax credit helps build strong relationships between businesses and universities to create good-paying jobs for our young people right here at home.”
The Department of Community and Economic Development (DCED) has approved $466,500 through the Keystone Innovation Zone Tax Credit program for five companies located within The Navy Yard, designated as one of the state’s 28 Keystone Innovation Zones (KIZ).
LUXTECH, LLC is a designer and manufacturer of LED modules. The rapidly growing company located to The Navy Yard in February 2013 and is continually looking for electrical engineers! LUXTECH will be investing $100,000 in KIZ tax credits into R&D and product development, which will allow it to maintain its leadership in AC LED technology.
Rhoads Marine Industries, Inc. provides dry dock and pierside repair and Layberth services to government and commercial clients along the Delaware River since November 2010. The KIZ tax credit of $100,000 will enable Rhoads to improve its facilities, hire qualified staff, and become one of the few pierside emergency repair facilities along the Delaware River.
ZSX Medical, LLC is developing surgical closure tools for minimally-invasive surgery. ZSX Medical is committed to improving surgery for patients and doctors, reducing complications, and reducing the overall cost of care. This $66,500 KIZ tax credit will enable ZSX Medical to continue the research and development required to bring its products to market. ZSX Medical has been headquartered at The Navy Yard since June 2013.
Additionally, Iroko Intermediate Holdings, Inc. received a KIZ tax credit award of $100,000, and Building 22 Metalworks, LLC received a KIZ tax credit award of $100,000. A complete list of the companies that received the Tax Credit is available on the New PA site.
KIZ Tax Credits provide for the award of up to $25 million annually. To be eligible, companies must be: a for-profit company that operates within the boundaries of a Ben Franklin Technology Development Authority-approved KIZ; less than eight-years-old; and operate within one or more of the target industry sectors including, but not limited to, life sciences, information technology, advanced manufacturing, business services, defense, energy, agriculture and food processing.
The KIZ Tax Credit program provides the KIZ Company with the ability to sell its credits for cash. For those KIZ companies who do not have a Pennsylvania tax liability for the year in which they qualify for the tax credit, the company can sell the credit themselves or secure a third-party, independent broker to sell the tax credit on its behalf. The KIZ Tax Credit program is a great way for companies to support their cash flow needs, giving them the opportunity to hire new staff, expand their market, and purchase equipment.
For more information about KIZ at The Navy Yard, visit The Navy Yard’s website.