Sales Tax Refunds on purchases of eligible items from local (Lubbock County) suppliers will be provided by the City of Lubbock, and may be applied for in Lubbock County. Refunds will be made by the City of Lubbock at the beginning of the next fiscal quarter after the completion of the company's first (1st), second (2nd), and third (3rd) years in operation in a designated enterprize zone.

A refund of one hundred (100) percent of local sales tax paid on eligible purchases will be made by the City after the first year of operation. A refund of fifty (50) percent of local sales taxes paid on eligible purchases will be made by the City during the first fiscal quarter after the second and third years of operation in a designated enterprise zone.

Criteria:

A. The business applying for refund must be located in a designated enterprise zone in the City of Lubbock.

B. The business must be qualified under a definition promulgated in the State of Texas Enterprise Zone Regulations which states that a qualified business is one which has twenty-five (25) percent of its workforce composed of residents of a designated enterprise zone.

C. The property must be properly zoned.

D. The business must file an application for refund of local sales taxes collected for the City of Lubbock by the Texas Comptroller's Office. The application must contain the following information:

1. Business name and address,

2. The owner's name and contact address,

3. Telephone and fax numbers,

4. The date of the start of operation in a designated enterprise zone, and

5. Employment information, including:

a. Total employment,

b. Number of employees that are zone residents,

c. Documentation such as names and zip codes, and

d. Employee time sheets,

6. List of vendors from whom eligible purchases were made.

7. Documentation of amount of local sales tax paid, such as paid invoices or other proof of payment from vendors.

Eligible Purchases:

A. Supplies purchased from local vendors and used in office operation, such as, but not limited to, paper, writing instruments, incidentals, computers, software and peripherals.

B. Supplies purchased from local vendors and used in furnishing the business such as, but not limited to, desks, chairs, cabinets, display cases, and safes.

C. Materials purchased from local vendors and used in constructing or renovating facilities such as base materials and finishes.

Process:

A. A business makes application to Zone Administrator and provides documentation of employment and purchases from vendors.

B. The Zone Administrator reviews the application and conducts any audit or investigation necessary to verify the information provided.

C. The Zone Administrator certifies the amount of refund due to the business to the Assistant City Manager of Financial Services.

D. The Assistant City Manager of Financial Services verifies the information and causes a check to be drawn at the beginning of the fiscal quarter after the verification, which will be mailed to the business.

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