AK HB391

Creates a special industrial development tax credit allowing approved project owners to claim 25 percent of qualified capital investment for five years after project commencement against corporation income or oil and gas production taxes.

Provides additional 5 percent tax credits for projects located outside municipalities with populations over 10,000 or for projects committing to purchase minimum 50 million cubic feet daily of state-produced natural gas during first five years of operation.

Offers 10 percent credit on direct payroll expenses for resident workers and 20 percent credit on job training expenditures during the five-year operational period following project approval.

Requires Commissioner of Commerce, Community, and Economic Development to approve eligible manufacturing projects (North American Industry Classification System Sectors 32 or 33) based on job creation, economic benefit, natural resource use, tax base contribution, and infrastructure impact.

Establishes that unused credit portions may be carried forward for 10 years, transferred to others, or purchased by the state for up to $10 million annually per project; effective January 1, 2011.