Business Development Tax Credit Program

About this programme

The Business Development Tax Credit (BTC) Program was created by 2015 Wisconsin Act 55 and is run by the Wisconsin Economic Development Corporation (WEDC). It gives refundable tax credits to businesses located in or relocating to Wisconsin, to reduce their Wisconsin income or franchise tax liability, or to provide a refund that improves cash flow.

The programme supports job creation, capital investment, training, corporate headquarters location or retention, and investment in workforce housing and child care programs. Its purpose is to incent new and expanding businesses in the state.

For calendar year 2026, WEDC's target is to assist 33 businesses, supporting the creation of 1,821 jobs and the retention of 4,653 jobs, while achieving at least 42:1 leverage of other investment. The CY26 tax credit allocation is capped at $22,000,000, which can be supplemented by reallocating up to an additional $10,000,000 and by carrying forward unused credits.

How it works

WEDC certifies eligible businesses, and each certification can run for up to 10 cumulative years, generally based on a three-year earning period and contract term (with an additional two-year job-maintenance period for job-creation projects).

Job creation credits equal up to 10% of the annual wages of Eligible Employees in Full-Time Jobs created, rising to up to an additional 5% (15% total) in an Economically Distressed area. Credits cannot be earned on wages over $100,000 a year, and jobs must be maintained for 5 years from the Certification Date, or 2 years after the final earning period, whichever is longer.

Training credits equal up to 50% of Eligible Training Costs (trainer cost, training materials, and trainee wages during classroom or on-the-job training), but exclude travel, food, and lodging, and exclude routine onboarding or business-process-system training.

Capital investment credits equal up to 3% of new personal property investment and up to 5% of new real property investment. The project must involve a total capital investment of at least $250,000, or, for smaller projects, at least $10,000 per Eligible Employee on the project.

Corporate Headquarters credits equal up to 10% of the annual wages of positions created or retained in connection with locating or keeping a corporate headquarters in Wisconsin, again capped at $100,000 in wages per job.

Workforce housing and child care investment credits each equal up to 15% of eligible expenditures, covering capital expenditures the business makes directly or contributes to a third party building, rehabilitating housing, or establishing a child care programme (including contributions to a local revolving loan fund).

The maximum award is generally the greater of what the business could earn under job creation or capital investment; WEDC is not required to award the statutory maximum. A project can qualify for extra credits if it is in an Economically Distressed area or Opportunity Zone, involves locating or retaining a corporate headquarters, faces out-of-state competition, pays 50% of eligible employees more than 400% of the federal minimum wage, involves energy-efficiency investment, or has an industry jobs multiplier over 2.0.

Tax credits are refundable: if approved credits exceed tax due, the excess is refunded. Credits are non-transferable and must be claimed with WEDC's written certification attached to the Wisconsin tax return.

Who can apply

The business must make a capital investment and either create new Full-Time Jobs or retain existing ones, must not let net Wisconsin employment fall below its Base Year level, must be operating or intend to operate in Wisconsin, and must apply and enter into a contract with WEDC. A total capital investment of at least $250,000 is required for the CY26 programme.

The applicant must offer employees in the Full-Time Jobs being created, attracted, or retained at least 50% of health insurance benefit costs, or an equivalent benefit acceptable to WEDC, and must continue offering retirement, health, and other benefits through the agreement's duration. A Full-Time Job is defined as non-seasonal, paying more than 2,080 hours times 150% of the federal minimum wage annually, with benefits offered.

Certain businesses are ineligible unless extraordinary circumstances are approved by WEDC's Board of Directors: payday and title loan companies, telemarketing other than inbound call centers, pawn shops, media outlets, retail, farms, primary care medical facilities, financial institutions, the hospitality industry, and distribution-center- or warehouse-only projects (though these can be considered as part of a larger project).

How to apply

1. Contact a WEDC Account Manager to discuss whether your project fits the programme.
2. If your project aligns with eligibility criteria, WEDC invites you to submit a full application through Network Wisconsin.
3. The completed application is assigned to an underwriter and goes through WEDC's award review process.
4. WEDC approves or denies certification within 90 days of receiving a completed application.
5. Once certified, submit annual performance reports documenting capital investment, job creation, and job retention, and keep all backup documentation for the life of the award, since WEDC audits a sample of awards each year.

Frequently asked

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Reviewed 2026-09-25. Programmes change, so check eligibility, amounts and deadlines on the official page before you apply. CapEasy is a private firm and is not part of any government body.