Indiana · Geographic / Investment · IN-CRD-001
Community Revitalization Enhancement District Credit
Publication revised September 24, 2026. Sourcebook page 105.
Credit amount / calculation
Credit based on qualified investment under district rules.
Business fit and eligible activity
Qualifying fixed-site investment in a designated district can generate a credit. Qualified investment or approved project activity; confirm eligible property, location and taxpayer type.
Eligibility and practical use
This is the kind of credit that can matter to a capital-intensive mill even when the project adds only a handful of jobs. Logging equipment deserves a separate eligibility check because mobile harvesting property may be treated differently from machinery used at a manufacturing site. Check the approval deadline before signing a purchase order or contract. A binding commitment made too early can disqualify a project. Page
Illustrative business benefit
A sawmill is replacing a headrig and adding scanning, material handling, and electrical controls in a project of roughly $2 million. The credit calculation would be based only on the costs the program recognizes as qualified investment. Before issuing purchase orders, the mill should obtain a written view on whether installation, electrical work, used equipment, and software are included.
Timing / first action
Seek approval before signing a purchase order, contract, lease or other binding commitment. Confirm the exact point at which a purchase order, contract, lease, or other binding commitment would make the project ineligible.
Official sources
Related programs
EDGE Credit
Credit based on incremental Indiana payroll withholding
Growing employers can negotiate a payroll-based credit tied to new Indiana employment.
Hoosier Business Investment Credit
Discretionary credit based on eligible capital investment
Manufacturing expansions can receive a negotiated credit for qualified capital investment.
Research Expense Tax Credit
15% of the first $1 million of qualified research expenses
Qualified Indiana research can generate a state credit for manufacturers.
Clean Electricity Investment Credit (Internal Revenue Code §48E)
Generally
Potentially relevant when a forest-products facility owns qualifying zero-emission generation or energy-storage property.
Clean Electricity Production Credit (Internal Revenue Code §45Y)
Production-based
Alternative to the investment credit for owners/operators of qualifying clean-electricity facilities; potentially relevant to qualifying on-site generation.
Credit for Increasing Research Activities (Internal Revenue Code §41)
Regular research-credit method
A sawmill, secondary manufacturer or biomass business can qualify when it performs genuine technological experimentation to improve a product or process.