Recycling Property Credit (business credit)
An individual, corporation, partnership, or small business corporation may receive a tax credit for investments in depreciable property used primarily to collect or process reclaimable material or to manufacture a product from reclaimed material according to the following schedule:
- 25% of the cost of the property on the first $250,000 invested;
- 15% of the cost of the property on the next $250,000 invested; and
- 5% of the cost of the property on the next $500,000 invested.
The credit may not be claimed for:
- investments in depreciable property in excess of $1 million
- an industrial waste generated by the person claiming the tax credit unless:
- the person generating the waste historically has disposed of the waste onsite or in a licensed landfill; and
- standard industrial practice has not generally included the reuse of the waste in the manufacturing process.
- an investment in property used to produce energy from reclaimed material.