Major Economic Growth Attraction

Incentivizing Large-Scale Development in Iowa

The Major Economic Growth Attraction (MEGA) program helps Iowa compete for large-scale development projects that generate significant capital investment and high-quality jobs. The program is intended for projects with more than $1 billion in capital investment.

Potential Tax Incentives

MEGA incentives are negotiated on a project-by-project basis and depend on factors such as investment size, job creation, wage levels, economic impact and level of need.

Potential benefits include:

  • Refundable investment tax credit of up to 5% of qualifying investment
  • Withholding tax credit of up to 3% for eligible new jobs
  • Refund of state sales, service or use taxes paid during construction
  • Local property tax exemption on the value added to the property

Awards are subject to approval by the Iowa Economic Development Authority (IEDA) Board.

Eligibility

Projects must meet the following requirements:

  • Business operations in advanced manufacturing, biosciences, or research and development
  • New jobs paying at least 140% of the qualifying wage threshold at project completion
  • Location at an Iowa Certified Site of at least 250 acres
  • Provision of a qualifying employee benefits package for all full-time employees
  • No affiliation with foreign adversaries

Application Process

  1. Submit a pre-application
    A confidential review to assess eligibility and estimate potential incentives.
  2. Complete the application (upon invitation only)
  3. IEDA Board review
    The board meets monthly on the third Friday. Awards and application details are public, though payroll and financial records remain confidential under Iowa law.

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