Posey County Indiana economic development banner graphic
Welcome to Posey County graphic
horizontal rule graphic

Posey County Welcomes Your Business!

Posey County is a dynamic area in Southwestern Indiana that welcomes your inquiries for the relocation, or expansion, of your business. Posey County is home to General Electric's Plastics Division (manfacturer of a major portion of the world's CD and DVD stock, lexan, and plastics for numerous industries), Ports of Indiana-Mt. Vernon (one of the 3 international ports of Indiana), GAF Materials Corp., Pearison Inc. and many other technologically advanced industries.

By locating in Posey County, your company gains a central location in an area offering a superior quality of life. The low cost of living is just an additional bonus!

Location


Posey County is bordered by the beautiful Ohio River to the south, the picturesque Wabash River on the west by, and Interstate 64 to the North. Posey County is tucked into the extreme southwestern tip of Indiana, and is a paradise of water sports. Over seventy-five miles of shoreline marked with beautiful trees or lush agricultural fields, offers a scene to be seen by all.

Mt. Vernon is the County seat.

Posey County encompasses 410 sq. miles (1,062 sq. km.), while Evansville MSA, to the east is 1,485 sq. miles (3,846 sq. km.).

Demographic Information


Posey County is part of the Evansville, Indiana Metropolitan Statistical Area. Evansville is the third largest city in the state of Indiana. For up to date, detailed statistical information on the Evansville MSA, click here. Additional comprehensive information on the Evansville area is available on the Vision-e web site.

Current demographic information for Posey County is available on the statistical pages of the state of Indiana by clicking here.

Back to top

Healthcare


Posey County has six physicians who are associated with Evansville hospitals, two orthopedic specialists, one cardiologist and one podiatrist. There are six dentists, four optometrists and two chiropractors. Intermediate care and skilled care facilities can also be found in Posey County. Evansville has a state- of- the -art health care delivery system with more than 500 practicing physicians and 26 fields of medicine, including an occupational medical focus. Deaconess Hospital, one of the top 100 cardiovascular hospitals in the nation, and St. Marys Hospital offer the area the highest level of care at a fraction of the national average. Life flight helicopter from Posey County is available to Evansville hospitals.

Taxes

In Indiana there are two basic corporate taxes - Income and Property. Unlike some other States Indiana has no Franchise Tax, Intangibles Tax, Accounts Receivables Tax, or Employment Tax. Recent tax reform in the state of Indiana has greatly enhanced the attractiveness of doing business in Posey County.

Highlights of the 2002 tax restructuring include:
  • Reduction of both business and personal property taxes
  • Elimination of inventory and gross receipts taxes
  • Doubling of the Research and Development (R&D) tax credit, making it the sixth highest in the nation
  • Establishing new venture capital tax credits
  • Creating certified technology parks throughout the state

Source: Indiana Department of Commerce, 2002 Annual Report – Message from (then) Lieutenant Governor Joseph Kernan

Corporate Income Tax

For estimating purposes, our corporate income tax rate is 8.5% of the Indiana portion of the Federal Adjusted Gross Income. Indiana no longer has a gross income tax.

Indiana uses a four part apportionment formula (Property, Payroll, and a double weighting of Sales) to determine the Indiana portion of Federal adjusted gross.

Personal Income Tax

3.4% of Adjusted Gross Income; $1,000 per person exemption.

Corporate Franchise Tax
None in Indiana

Sales and Use Tax
6% - Raw materials and energy used in manufacturing are exempt from sales tax

Unemployment Tax
New Employer rate (in place the first three years of business) $189 per employee per year. Indiana's average after first 3 years - $119 per employee per year.

Workers Compensation
At $1.85 per $100 of payroll Indiana ranks 2nd in the nation in Workers Compensation costs.

Property Taxes
When calculating property taxes, multiply the assessed value times the net tax rate. To each property taxpayer the State of Indiana will rebate a percentage of taxes back to the taxpayer; this is called the State Property Tax Replacement Credit (SPTRC). The net property tax rate is the gross rate minus the SPTRC percentage.

Average Net Real Property Tax Rate
1.7105% ($1.71 per $100 assessed valuation) (With Ten-Year Abatement the average annual Effective Real Property Tax Rate is .8638% (.008638).)

Average Net Personal Property Tax Rate
1.9687% ($1.97 per $100 assessed valuation) (With Ten-Year Abatement the average annual Effective Equipment Property Tax Rate is .2559% (.002559).)

Real Property Tax
In 2003 Indiana went to a market-based real property valuation.

Back to top

Personal Property Taxes
Indiana employs an accelerated depreciation schedule for the assessment of equipment. Full depreciation in Indiana is 30%. Most manufacturing equipment is fully depreciated within five years. Note: 10-year property tax abatement will be granted for manufacturing equipment.

Used equipment brought to Indiana is eligible for full property tax abatement. Indiana values used equipment according to its age using the accelerated depreciation schedule.

Special equipment, such as dies and molds, is assessed at 1% of its cost by year two.

Inventory Property Tax
Inventory taxes will be eliminated by the end of 2006.

Franchise/Corp. Tax
In Indiana there is no State franchise/corporation tax. In some States this is a tax on the total capital employed within the state including building and equipment costs.

Accounts Receivables
In Indiana there is no accounts receivables tax.

Accounts Payable
In Indiana there is no accounts payable tax.

Local Income Tax
In Indiana there are no local corporate income taxes.

County Income Tax
In Indiana there are no county corporate income taxes.

Other Taxes
None
Source: Hoosier Energy - Peter Lieber: June 2004

Additional Links of Interest for tax information:

Indiana Department of Commerce Tax Restructuring 2002
Indiana Department of Commerce Indiana Tax Information
Indiana Department of Commerce Economic and Demographic Profile

Back to top

Incentives

Significant financial benefits can be sought if you select Posey County as the site for your next project. The Posey County Chamber will work with city and county officials, state governmental entities, as well as utility providers to find those resources which most closely fit your company's needs.

Once the parameters of your company's project are known, the Posey County Chamber will work to put together the best cost-savings plan available. Various incentives that may be utilized toward your project include: (Note: some of the following are linked to the governement information about the program. Clicking on the link will open a new window in your browser.)

Tax Increment Financing
Posey County's TIF funds allow for continued infrastructure development, as well as new construction, property acquisition and training. The amount of revenue available is dependent upon your company's investment. To leverage the property tax revenue, tax-exempt or taxable bonds may be issued in support of the project. The bonds are then retired through property tax revenue generated by the project and/or the TIF district.

Tax Abatement
Tax Abatement in Posey County is offered to the maximum extent of the law. Prior to construction, a program is set up that will phase in the increase in property taxes that result from investments in industrial buildings, land, machinery and equipment. The gradual increase occurs over a span of up to 10 years.

EDGE Tax Credit
Your company may qualify for a state tax credit known as EDGE. This credit is based on payroll and allows individual income tax withholdings from company employees to be credited against the company's Indiana corporate income tax liability. Excess withholdings are refunded to the company. These credits can be awarded for up to 10 years.

Hoosier Business Investment Tax Credit
The State of Indiana offers a 30% credit on a qualified capital investment made by a taxpayer. Capital investments include purchase/upgrade manufacturing equipment, telecommunications equipment or computers. Also included is the construction of buildings for fuse in computer, software, biological sciences or telecommunications industries.

Venture Capital Tax Credit
Investors in Indiana businesses may be eligible for a tax credit equal to 20% of the investment. These credits are authorized by the Indiana Department of Commerce up to $10 million per year.

Research and Development Tax Credit
Some Indiana businesses may claim a 10% credit on taxes for investment in research and development. This percentage will remain in effect until 2013.

Biodiesel Tax Credit
A tax credit of $1 per gallon is available for all biodiesel produced in Indiana and used to produce blended biodiesel. A tax credit of 2 cents per gallon is available on blended biodiesel produced in Indiana. Finally, a tax credit of 1 cent per gallon is available on blended biodiesel sold through a metered pump at a service station.

Ethanol Tax Credit
Indiana facilities that produce ethanol are eligible for a 1.25 cents per gallon tax credit.

Aircraft Tax Credit
Aircraft operated by a business entity that has its corporate headquarters in Indiana are exempt from the property tax. Also, property tax deductions are available to owners of aircraft used to transport people or property between a qualifying medium hum airport and at least two qualifying underserved airports.

Interstate Inventory Tax Exemption
Finished goods awaiting shipment to an out-of-state destination are usually exempt from inventory tax. Typically, the amount of the exemption is determined by applying the percentage of the location´┐Żs total shipments to out-of-state destinations during the previous year.

Lease-Financing for Capital Projects
Available through the Ports of Indiana, corporations and developers with investment-grade credit that wish to expand may seek financing assistance. This assistance is available to qualified candidates regardless of their proximity to or usage of Indiana's ports.

Training Cost Assistance
Posey County and the State of Indiana can both provide training dollars to help get your new or expanded facility staffed with a trained workforce. Grants for up to 50 percent of eligible training costs are available. Awards for retraining can reach up to $200,000. Also, up to 75 percent of related costs may be reimbursed for companies seeking to become QS-9000 certified.

Infrastructure Improvements
Grants and loans are available from the State of Indiana for infrastructure improvements such as funding for roads, rail spurs, water lines and sewer lines.

21st Century Research and Technology Fund
Businesses or individuals looking to develop or commercialize advance technologies can turn to the 21st Century Research and Technology Fund for assistance. Awards have been awarded in fields including bioengineering, life sciences, pharmaceutical science, agriculture, advanced manufacturing and information technology.

For additional information on any of the above incentive programs, please contact the Posey County Chamber of Commerce (812-838-3639)

Additional Links of Interest for Incentives:
Indiana Department of Commerce Tax Incentives
Indiana Department of Commerce Incentives

Back to top

© Posey County Chamber of Commerce
PO Box 633  915 E. 4th Street, Mt Vernon, IN 47620-0633
Tel: 812-838-3639 Fax: 812-838-6358  E-mail: chamber@poseynet.net

Back to top

Location

Demographic Information

Climate

Healthcare

Transportation

Taxes

Incentives

Industrial Sites & Parks