Tax Relief

Corporate Franchise Tax Credits

Liberty County is designated a Strategic Investment Area (SIA). If your business is subject to a Franchise Tax and you are expanding or locating to the area, your business may be eligible to take advantage of various credits to reduce your franchise tax liability including tax credits for Research & Development, Jobs Creation, Capital, and more.

For more information on Franchise Tax Credits click here.

Sales & Use Tax Exemption on Manufacturing Equipment

Qualified manufacturing equipment and machinery will be 100% exempt from state and local sales tax paid on purchases of qualified machinery and equipment—must be used directly in the manufacturing, processing, fabrication, or repair of tangible personal property to be sold.

For more information on Tax Exemption on Manufacturing Equipment click here.

Property Tax Abatement

The City of Liberty and Liberty County have established guidelines for the creation of reinvestment zones and granting tax abatements.

To view the City’s Tax Abatement Guidlines and Criteria  click here.

Double Freeport Exemption

The City of Liberty and Liberty ISD grant Freeport Exemption, providing a substantial financial benefit to Liberty primary employers, which by definition, manufacturer or distribute products that are shipped outside of Texas.

The Freeport Exemption exempts certain types of tangible personal property (inventory) from ad valorem (property) taxation provided the property is: 1) Acquired in or imported into Texas to be forwarded out of state, 2) Detained in Texas for assembling, storing, manufacturing, processing, or fabricating purposes by the person who acquired or imported it; and 3) transported out of the sate within 175 days after the date the person acquired or imported it into Texas.

For Freeport Exemption application click here.

Foreign Trade Zone

Liberty County FTZ #171, located in Liberty and surrounding counties, offers multiple, general purpose and sub-zone sites.

Foreign and domestic merchandise generally considered to be in international commerce can be moved into a FTZ without U.S. Customs entry or payment of Customs duties or excise tax. If the final product is imported into the U.S., Customs duty and excise taxes are due when the final product leaves the FTZ and formally enters the U.S.

No customs duty or excise tax is levied if the final product is exported from the U.S.

Fore more information on Foreign Trade Zones click here.