Up to a 35% Tax Credit is Available for Businesses Encouraging Tourism in West Virginia
In efforts to encourage the creation and expansion of tourism within West Virginia, a 25% tax credit is available to eligible businesses. This credit is offered through the Tourism Development Act, and is meant to assist companies and entrepreneurs to better take advantage of the wealth and beauty the state of Virginia has to offer by creating and preserving jobs, improving the local economy, and generating new sources of revenue that support public services provided by the state.
Eligible Projects
To be deemed eligible, projects must meet the following criteria:
- Attract at least 25% of its visitors from outside of West Virginia
- Generate approved costs in excess of $1,000,000
- Create a significant and positive economic impact on the State
- Operate for a minimum of 100 days per year
- Provide additional employment opportunities in the State
- No more than 50% of the project costs can be for lodging
Funding Details
- The 25% tax credit will be from consumers sales and service taxes collected on the gross receipts generated directly from daily operations
- Certain projects can receive a 35% credit if the project is on an abandoned surface mine or is on/adjacent to a state or national forest or park
- The tax credit is taken over a 10-year period, at the rate of one tenth of the amount per taxable year
