19-100-400 Me. Code R. § 5

Current through 2024-44, October 30, 2024

Section 100-400-5 - PROCEDURE FOR REIMBURSEMENT

A.REPORTING BY QUALIFIED BUSINESS

On or before March 15th of each year, each qualified business approved by the Commissioner pursuant to this rule must report to the Department of Economic and Community Development, the following:

1. The number of employees employed during the preceding calendar year;

2. The gross wages paid to, and income derived from employment for, each qualified employee during the preceding year; and

3. Certification that the qualified employee data submitted pursuant to Section 2(B)(3) is accurate for the preceding calendar year, or any fraction thereof for which reimbursement is sought under this chapter;

4. If at any time during the calendar year for which reimbursement is sought the qualified business has failed to maintain the minimum qualification criteria described in §6753 of the Act, the business must provide the following:

a. Beginning and ending dates of the period or periods during which the business failed to meet the qualification criteria; and

b. The gross wages during the period or periods listed; and

5. Any further information the Department of Economic and Community Development may reasonably require.

B.DETERMINATION BY THE STATE TAX ASSESSOR

On or before June 30th of each year, the State Tax Assessor shall review the tentative employment tax increment received from the Commissioner and determine the employment tax increment of each qualified business for the preceding calendar year. A qualified business may receive up to 80% of the benefit base for a qualified business as determined by the State Tax Assessor, subject to the following limitations imposed in 36 M.R.S.A. §6754(2):

1. A previously qualified business may not receive reimbursement for any period of time in which it failed to maintain the minimum requirements for initial approval as a qualified business;

2. Reimbursement expires ten calendar years after the approval date of the employment tax increment financing development program, with the first calendar year being the one in which the development program approval occurred;

3. A business electing to take the jobs and investment tax credit under 36 M.R.S.A. §5215 may not claim employment tax increment financing reimbursement until the full amount of allowable jobs and investment tax credit benefits have been claimed, and the combined use of this credit and the ETIF program may not exceed the ten-year term limitation;

4. Qualified gross wage amounts are limited to the amount reported by the qualified business in box 1 on the qualified employee's federal Form W-2 for services performed in Maine during the calendar year. A qualified business must supply copies of Forms W-2 electronically at the time of filing its application for wage reimbursement if not already filed with Maine Revenue Services; and

5. The aggregate annual retained employment tax increment revenues for all employment tax increment financing programs may not exceed $20,000,000, adjusted by a factor equal to the percentage change in the United States Bureau of Labor Statistics Consumer Price Index, United States City Average, from January 1, 1996 to the date of application.

C.PAYMENT FROM THE DEPARTMENT OF ADMINISTRATIVE AND FINANCIAL SERVICES

On or before July 31st of each year, the assessor shall pay to each qualified business the approved retained employment tax increment of that business for the preceding calendar year.

19-100 C.M.R. ch. 400, § 5