Illinois Enterprise Zone Changes 2022. Please take note of the following changes to take effect on January 1st, 2022. P.A. 102-0108 clarifies that the Illinois Enterprise Zone Act authorizes a total of 97 enterprise zones to be in existence at any given time under the Act, other than those authorized.
QCREDA bonds can support private manufacturing projects that fuel economic growth. The lower interest rates and longer payment terms of DOUBLE tax-exempt Industrial Revenue Bonds (IRBs) can be used to finance industrial expansion.
The Federal Tax Code allows some private companies to receive favorable financing or municipal financing that is generally reserved for units of government like cities and counties. The Code requires that a governmental body act as an “issuer” of bonds on behalf of private entities like manufacturers and housing developers. The issuer has no liability to make payment if the project fails.
The tax-free aspect of bond financing is related to the interest that is paid on the bond. This interest is received as income to the party that buys the bond (Bond Buyer), but that party does not have to pay federal income tax on that interest income.