The Urban Enterprise Zone program in New Jersey offers tax incentives and financial assistance to encourage business growth and job creation in designated urban communities. Businesses certified in a UEZ can receive benefits like reduced sales tax rates, tax exemptions on certain purchases and investments, and tax credits for hiring employees or making qualified investments. The program has helped create over 4,000 new jobs in Paterson and over 2,500 new jobs in Passaic County.

1. Urban Enterprise Zones – New Jersey
OVERVIEW
Enacted in 1983, the Urban Enterprise Zone (UEZ) program fosters
economic revitalization in designated urban communities by offering
incentives that encourage businesses to create private sector jobs through
public and private investment. Approximately 6,800 certified UEZ
businesses participate and benefit from the UEZ program. The benefits
include a number of tax and other financial incentives, including:
• Half the standard sales tax rate charged on certain purchases, currently
3.5%.
• Tax exemptions on certain purchases including capital equipment
acquired and investments made to build a new, expanded or upgraded
facility
• Annually, either a one-time $1,500 tax credit for each new permanent
full-time employee hired; or alternatively, a tax credit against the
Corporate Business Tax up to 8% of qualified investments
• Priority financial assistance from state agencies.
• Subsidized unemployment insurance costs for certain employees
earning less than $4,500 per quarter.
• Electricity and natural gas sales tax exemption by manufacturing firms
with at least 250 employees, over 50% of whom are in a manufacturing
process.
For more information visit the NJ Department of Community Affairs Forms
& Information site, at http://www.nj.gov/dca/affiliates/uez/publications/.
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2. Passaic County
Passaic
Community Profile UEZ District Profile
population active businesses
69,781 191
labor force zone employment
29,893 2500
per capita income
$14,424 2000
HS degree or higher 732
1500
65.4% 1301
1000
largest occupations
500 484
9,000
346
0
6,000
Full time Part time
3,000 New Jobs Created
Existing Jobs
0
largest sectors
25 Manufacturing
35
8 Trans
local contact:
15 Wholesale
UEZ Coordinator
Retail Trade
Enterprise Zone Dev Corp 97
Services
973-365-5520
Paterson
Community Profile UEZ District Profile
population active businesses
146,199 490
labor force zone employment
64,582
12000
per capita income
10000
$15,543 2665
8000
HS degree or higher
7455
71.7% 6000
largest occupations 4000
18,000 2000 809
1620
0
12,000 Full time Part time
6,000 New Jobs Created
Existing Jobs
0
largest sectors
Manufacturing
88 84
Wholesale
local contact: 74 52 Retail Trade
UEZ Coordinator FIRE
162
City of Paterson Services
973-321-1212