This text of Utah § 63N-2-104.2 (Written agreement -- Contents -- Grounds for amendment or termination.) is published on Counsel Stack Legal Research, covering Utah primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
(1)If the office determines that a business entity is eligible for a tax credit under Section 63N-2-104.1, the office may enter into a written agreement with the business entity that:
(1)(a) establishes performance benchmarks for the business entity to claim a tax credit, including any minimum wage requirements;
(1)(b) specifies the maximum amount of tax credit that the business entity may be authorized for a taxable year and over the life of the new commercial project, subject to the limitations in Section 63N-2-104.3;
(1)(c) establishes the length of time the business entity may claim a tax credit;
(1)(d) requires the business entity to retain records supporting a claim for a tax credit for at least four years after the business entity claims the tax credit;
(1)(e) requires the business
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(1) If the office determines that a business entity is eligible for a tax credit under Section 63N-2-104.1, the office may enter into a written agreement with the business entity that:
(1)(a) establishes performance benchmarks for the business entity to claim a tax credit, including any minimum wage requirements;
(1)(b) specifies the maximum amount of tax credit that the business entity may be authorized for a taxable year and over the life of the new commercial project, subject to the limitations in Section 63N-2-104.3;
(1)(c) establishes the length of time the business entity may claim a tax credit;
(1)(d) requires the business entity to retain records supporting a claim for a tax credit for at least four years after the business entity claims the tax credit;
(1)(e) requires the business entity to submit to audits for verification of any tax credit claimed; and
(1)(f) requires the business entity, in order to claim a tax credit, to meet the requirements of Section 63N-2-105.
(2) In establishing the terms of a written agreement, including the duration and amount of tax credit that the business entity may be authorized to receive, the office shall:
(2)(a) authorize the tax credit in a manner that provides the most effective incentive for the new commercial project;
(2)(b) consider the following factors:
(2)(b)(i) whether the new commercial project provides vital or specialized support to supply chains;
(2)(b)(ii) whether the new commercial project provides an innovative product, technology, or service;
(2)(b)(iii) the number and wages of new incremental jobs associated with the new commercial project;
(2)(b)(iv) the amount of financial support provided by local government entities for the new commercial project;
(2)(b)(v) the amount of capital expenditures associated with the new commercial project;
(2)(b)(vi) whether the new commercial project returns jobs transferred overseas;
(2)(b)(vii) the rate of unemployment in the county in which the new commercial project is located;
(2)(b)(viii) whether the new commercial project creates a remote work opportunity;
(2)(b)(ix) whether the new commercial project is located in a development zone created by a local government entity as described in Subsection 63N-2-104(2);
(2)(b)(x) whether the business entity commits to hiring Utah workers for the new commercial project;
(2)(b)(xi) whether the business entity adopts a corporate citizenry plan or supports initiatives in the state that advance education, gender equality, diversity and inclusion, work-life balance, environmental or social good, or other similar causes;
(2)(b)(xii) whether the business entity's headquarters are located within the state;
(2)(b)(xiii) the likelihood of other business entities relocating to another state as a result of the new commercial project;
(2)(b)(xiv) the necessity of the tax credit for the business entity's expansion in the state or relocation from another state;
(2)(b)(xv) whether the proposed new commercial project might reasonably be expected to occur in the foreseeable future without the tax credit; and
(2)(b)(xvi) the location and impact of the new commercial project on existing and planned transportation facilities, existing and planned housing, including affordable housing, and public infrastructure; and
(2)(c) consult with the GOEO board.
(3) In determining the amount of tax credit that a business entity may be authorized to receive under a written agreement, the office may:
(3)(a) authorize a higher or optimized amount of tax credit for a new commercial project located within a development zone created by a local government entity as described in Subsection 63N-2-104(2); and
(3)(b) establish by rule made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, a process by which the office closely approximates the amount of taxes the business entity paid under Title 59, Chapter 12, Sales and Use Tax Act, for a capital project.
(4) If the office identifies any of the following events after entering into a written agreement with a business entity, the office and the business entity shall amend, or the office may terminate, the written agreement:
(4)(a) a change in the business entity's organization resulting from a merger with or acquisition of another entity located in the state;
(4)(b) a material increase in the business entity's retail operations that results in new state revenue not subject to the incentive; or
(4)(c) an increase in the business entity's operations that:
(4)(c)(i) is outside the scope of the written agreement or outside the boundaries of a development zone; and
(4)(c)(ii) results in new state revenue not subject to the incentive.