State & Federal Incentives

Qualified, new or expanded warehouse and distribution facility - means a new or expanded facility, which meets the requirements set out in 67-6-102(a)(16) (H) for the storage or distribution of finished tangible personal property. Such facilities shall not include a building where tangible personal property is fabricated, processed, assembled, or sold over-the-counter to consumers.

Source: Tennessee Department of Economic & Community Development, 2005

FastTrack Economic Development Fund
  • Grants covering relocation expenses, temporary office space, capital improvements, retro-fitting and other expenditures not covered by infrastructure or job training grants.
  • Only used in exceptional cases where a company’s impact on a given community is significant.
FastTrack Infrastructure Program
  • Infrastructure grants for rail, roadway, port, airport, water, sewer, gas, telecommunication or other site improvements.
  • Grantees are local communities only; must be for public infrastructure improvements benefiting a specific company generating new jobs and investment; requires local matching funds.
FastTrack Training Program
  • Grant assisting companies with training expenses and the development of customized training plans.
  • Funding levels are based on number of new jobs created, amount of capital invested, wages, types of skills/knowledge needed.
Job Tax Credit
  • Credit of $4,500 per job to offset up to 50% of franchise and excise (F&E) taxes in any given year with a carry forward for up to 15 years.
  • To qualify, companies must create at least 25 new jobs within a 36 month period and invest at least $500,000 in a qualified business enterprise.
Enhanced Job Tax Credit
  • Allows an additional annual credit for locations/expansions in designated Tier 2 and Tier 3 Enhancement Counties. Enhanced JTC can offset up to 100% of F&E liability for either a three or five year period as determined by the Tier.
  • To qualify, companies must create at least 25 new jobs within a 36 month period and invest at least $500,000 in a qualified business enterprise.
Super Job Tax Credit
  • Credit of $5,000 per new job to offset up to 100% of F&E tax liability for a period of 3-20 yrs., depending on investment amount; no carry forward.
  • To qualify, companies must invest $100M or more and create a minimum of 100 new jobs paying at least 100% of TN’s average occupational wage; OR
  • Establish or expand a headquarters location, invest at least $10M and create 100 new HQ jobs paying at least 150% of TN’s average occupational wage.
TVA Electric Incentives

Financing is available for companies from TVA Loan Funds to stimulate job growth and leverage capital investment. TVA seeks to fill a funding gap or lower interest costs of project funding, thereby enhancing the opportunity for success. The maximum loan amount is $3 million and is determined primarily by jobs and capital investment. Loan terms may be from five to 20 years based on collateral. 

TVA Valley Investment Credit

The Investment Credit is an economic development incentive program jointly offered by TVA and participating local power companies. This performance-based program rewards companies for the five-year economic and energy benefits associated with their new/expanded operations. Awards are applied as a credit to monthly power bills. Most companies can expect a 15-30 percent savings annually over a five-year period. 

TVA Economic Development Loan Funds

Financing is available for companies from TVA Loan Funds to stimulate job growth and leverage capital investment. TVA seeks to fill a funding gap or lower interest costs of project funding, thereby enhancing the opportunity for success. The maximum loan amount is $3 million and is determined primarily by job jobs and capital investment. Loan terms bay be from five to 20 years based on collateral,