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Incentives

Incentives are available in Pearland, Texas, to support business growth and investment. Packages are determined based on factors such as the type of business, quality of jobs created or retained, wages paid, capital investment, and overall impact on the community. PEDC is available to assist in identifying and securing the incentives that best align with your business needs. 

Incentives
Local
State
State

Economic Development & Diversification: In-State Tuition for Employees
State

This incentive allows employees and family members of qualified businesses to pay in-state tuition fees when attending a Texas institution of higher education. Without this incentive designation, a

This incentive allows employees and family members of qualified businesses to pay in-state tuition fees when attending a Texas institution of higher education. Without this incentive designation, a student must reside in Texas for a 12-month period to be entitled to pay the tuition fees of a Texas resident.

Economic Development Refund
State

The Texas Comptroller of Public Accounts offers a refund of state franchise and sales and use taxes paid by companies that own certain abated property. A company who meets certain conditions may

The Texas Comptroller of Public Accounts offers a refund of state franchise and sales and use taxes paid by companies that own certain abated property. A company who meets certain conditions may apply for a refund.

Natural Gas & Electricity
State

Texas companies are exempt from paying state and local sales and use tax on electricity and natural gas used in manufacturing, processing, or fabricating tangible personal property. The company

Texas companies are exempt from paying state and local sales and use tax on electricity and natural gas used in manufacturing, processing, or fabricating tangible personal property. The company must complete a “predominant use study” that shows that at least 50 percent of the electricity or natural gas consumed by the business directly causes a physical change to a product.

Pollution Control Incentive
State

A Texas constitutional amendment providing an exemption from property taxation for pollution control was approved in 1993.

A Texas constitutional amendment providing an exemption from property taxation for pollution control was approved in 1993.

Research and Development Tax Credit
State

The Research & Development tax credit provides a choice between a franchise tax credit and a sales tax exemption for materials, software, and equipment used for R&D purposes.

The Research & Development tax credit provides a choice between a franchise tax credit and a sales tax exemption for materials, software, and equipment used for R&D purposes.

Skills Development Fund
State

The Skills Development Fund is an innovative program created to assist Texas public community and technical colleges in financing customized job training for their local businesses.

The Skills Development Fund is an innovative program created to assist Texas public community and technical colleges in financing customized job training for their local businesses.

Texas Enterprise Fund
State

The Texas Enterprise Fund attracts new businesses and assists growing existing business in the state.

The Texas Enterprise Fund attracts new businesses and assists growing existing business in the state.

Texas Enterprise Zone Program
State

The City of Pearland has the ability to nominate projects for the Texas Enterprise Zone Program. Upon the city designating a business as an enterprise project, and upon that project’s designation

The City of Pearland has the ability to nominate projects for the Texas Enterprise Zone Program. Upon the city designating a business as an enterprise project, and upon that project’s designation being approved by the state, the business is eligible for a refund of state sales and use taxes paid and used at the qualified business site.

Manufacturing Machinery & Equipment
State

Leased or purchased machinery, equipment, replacement parts, and accessories that are used or consumed in the manufacturing, processing, fabricating, or repairing of tangible personal property for

Leased or purchased machinery, equipment, replacement parts, and accessories that are used or consumed in the manufacturing, processing, fabricating, or repairing of tangible personal property for ultimate sale, are exempt from state and local sales and use tax.

Local

Economic Development Sales Tax
Local

The Pearland Economic Development Corporation (PEDC) is a state authorized Type B non-profit corporation that was approved by the residents of Pearland in 1995 to collect a one-half of one percent

The Pearland Economic Development Corporation (PEDC) is a state authorized Type B non-profit corporation that was approved by the residents of Pearland in 1995 to collect a one-half of one percent sales tax dedicated to promoting economic development.

Foreign Trade Zone Designation
Local

Foreign Trade Zones (FTZ) are considered to be outside of U.S. Customs Territory for the purpose of customs duty payment. Therefore, goods entering FTZs are not subject to customs tariffs until the

Foreign Trade Zones (FTZ) are considered to be outside of U.S. Customs Territory for the purpose of customs duty payment. Therefore, goods entering FTZs are not subject to customs tariffs until the goods leave the zone and are formally entered into U.S. Customs Territory.

Freeport Property Tax Exemption
Local

The Freeport exemption exempts certain types of tangible personal property (i.e., inventory) from ad valorem (property) taxation.

The Freeport exemption exempts certain types of tangible personal property (i.e., inventory) from ad valorem (property) taxation.

Property Tax Abatement
Local

The City of Pearland offers property tax abatement to certain types of businesses based on primary job creation and investment.

The City of Pearland offers property tax abatement to certain types of businesses based on primary job creation and investment.

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