Legislation aimed at encouraging investment in rural businesses passed the House Ways and Means General Fund Committee Wednesday.
HB 195 by Rep. Danny Garrett, R-Trussville, would authorize the Department of Commerce to issue tax credit certificates to investors in certified growth funds providing capital to rural, minority and female-owned businesses.
The measure would provide tax credits for job creation and retention by agribusinesses with fewer than 200 employees located in federally identified growth and opportunity zones. The bill also applies to rural hospitals and health clinics. Tax credits would be capped at $7.5 million per year, beginning January 1, 2022.
HB 195 now goes to the full House of Representatives for consideration.