HB 622 Summary

• Establishes the "Manufacturing Jobs Act" allowing qualified manufacturing companies that produce new products to retain 100% of withholding tax from full-time jobs for 10 years, or 50% for 7 years if modifying/expanding existing products.

• Qualified suppliers deriving more than 10% of annual sales from qualified manufacturing companies can retain all withholding tax from new jobs for 3 years (or 5 years if wages equal 120% of county average wage).

• Caps individual company withholding tax retention at $10 million per calendar year and aggregate statewide cap at $60 million per calendar year.

• Requires companies to make minimum capital investments within 2 years ($75,000 per retained job for new products, $50,000 for existing product modifications) and prohibits simultaneous receipt of other state tax credits for the same jobs.

• Program automatically sunsets 6 years after effective date unless reauthorized, with provisions for 12-year sunset if reauthorized; department must report annually to legislature on participating companies, benefits provided, and jobs created/retained.