Federal and State Incentives
Opportunity Zone
Broken Arrow’s Opportunity Zone covers one square mile and encompasses the dynamic Rose District complete with housing and commercial opportunities for developers.
This is a federal incentive that benefits local and state investors. By investing in an Opportunity Zone, through a qualifying Opportunity Fund, investors can defer and/or reduce their federal capital gains tax liability. If an investor’s capital is left in a qualifying fund for 5 years, the investor will defer their federal capital gains taxes. In the fifth year, the investor can reduce their capital gains tax. There is an additional reduction in year 7. If they leave the money in the fund for 10 years, then any appreciation in the asset from the time they invest through 10 years is not subject to any additional capital gains tax. This deferral and/or reduction on federal capital gains taxes will improve return on investment and also direct capital to areas that need investment.
State of Oklahoma Incentives
The BAEDC is versed in how to utilize Oklahoma incentives and is ready to assist you. The state is globally recognized for its outstanding incentive programs and pro-business environment. Businesses can choose between a cash incentive or a tax credit package, and in some cases, qualifying businesses can take advantage of both programs.
Oklahoma Business Incentives and Tax Guide
Call the BAEDC at (918) 893-2100 to see how your business may leverage all Broken Arrow and Oklahoma has to offer.
- Oklahoma Quality Jobs Program
- New Market Tax Credits
- Foreign Trade Zones
- Industrial Access Road Assistance
- Customize Employee Training
- Freeport Inventory Benefits
- Five-Year Ad Valorem Tax Exemption
- Manufacturing Sales Tax Exemptions
- American Indian Lands Tax Credit
- Workforce Tax Credits: Aerospace, Automotive, Software/Cybersecurity Workforce
- Business Expansion Incentive Program
- Investment / New Jobs Package
Local and State Incentives at Work in Broken Arrow
In 2016, BAEDC worked with the City of Broken Arrow, State of Oklahoma, and CareerTech to attract a new phase and relocation of existing employer Alfa Laval with a total new job count of 347 employees at an average annual wage of $51,000. Based in Sweden, Alfa Laval is a global leader in heat transfer and fluid-handling technologies. The City of Broken Arrow and Oklahoma Department of Transportation invested millions of dollars in public improvements to create an industrial access road for the company by leveraging city funding and Industrial Access Road Assistance. Alfa Laval qualified for state incentives through the Oklahoma Department of Commerce Quality Jobs Program and retained Training for Industry Dollars from CareerTech to fund training for their new facility.
In 2010, our community provided substantial incentives to retain and grow a major employer, FlightSafety International. Flight Safety employs over 800 people in Broken Arrow, at an average salary of $65,000. They received a plant site, on a 99-year lease at a cost of $1 per year, as well as $6.6 million in infrastructure for construction needs.
