Enterprise Zones
Illinois Enterprise Zones offer state and local tax incentives to stimulate economic growth in economically depressed areas, including sales tax exemptions on building materials, utility tax exemptions, and investment tax credits.
Check an Address — Free Snapshot
See whether a specific Chicago address sits inside the area that unlocks Enterprise Zones, alongside every other incentive that touches that parcel.
Businesses located within one of Chicago's six Enterprise Zones (I-VI) making qualifying investments in machinery, equipment, or building materials.
Enterprise Zones is tied to the Enterprise Zone geography — being inside that boundary is the first eligibility gate. A single address can fall inside several overlapping incentive areas at once.
Boundaries are precise and change over time, so exact eligibility always depends on the specific address. The fastest way to know is to run a free snapshot for the parcel you have in mind.
Typical range · Up to 9.25% sales tax exemption + 0.5% investment credit + utility exemptions
- +Up to 9.25% sales tax exemption on building materials (state + local combined)
- +0.5% state investment tax credit
- +Utility tax exemption (telecom, natural gas, electric)
- +Potential property tax abatement
- 1Confirm your business is within an Enterprise Zone
- 2Apply to the local Enterprise Zone Administrator
- 3Submit investment plan and job creation projections
- 4Receive certification for tax benefits; obtain BMEC for sales tax exemption on materials
Email ezadministrator@cityofchicago.org to confirm Enterprise Zone status
- Enterprise Zone application
- Business plan with investment details
- Job creation/retention projections
- Proof of location within the zone
This page is a starting point, not eligibility, legal, or tax advice. Verify current requirements, deadlines, and boundaries with the administering agency before applying or spending money — program rules and funding change over time.
- Building Materials Exemption Certificate (BMEC) — Illinois Department of Revenue
Required to claim sales tax exemption on building materials.
- IDOR Business Incentives Reporting — Illinois Department of Revenue
Annual reporting required for businesses receiving Enterprise Zone benefits.
- Phone
- (312) 744-4190
- Phone
- (217) 524-0615
- Albert@illinois.gov
- Web
- Visit site ↗
Last verified 2026-05-21
Illinois supports federal Opportunity Zone investments through DCEO discretionary grants (Regional Site Readiness, OZ capital grants) and scoring preference for projects in designated zones. A new round of IL-nominated zones takes effect January 1, 2027 under OZ 2.0.
The Economic Development for a Growing Economy (EDGE) program provides Illinois income tax credits against state withholding for businesses that create or retain jobs. Amended by HB2755 / P.A. 104-0006 (June 2025) to expand withholding-credit elections and require 10-day public posting of EDGE agreement terms.
REV Illinois (Reimagining Electric Vehicles in Illinois) provides project-by-project tax credits for businesses in the electric vehicle and renewable energy supply chain. Negotiated with DCEO across four investment/job tiers.
MICRO (Manufacturing Illinois Chips for Real Opportunity) supports semiconductor and microchip-related businesses with income tax credits, training, and infrastructure support. Codified at 35 ILCS 45.