Empowerment zones designations continue through year-end 2013 

September 27:  The IRS today announced that all empowerment zone designations (i.e., certain urban and rural areas where employers and other taxpayers qualify for special tax incentives) remain in effect through the end of 2013.

Read the IRS release IR-2013-78 [PDF 121 KB]

Empowerment zones to remain in effect

In May 2013, the IRS issued Notice 2013-38 to address the relevant provision of the American Taxpayer Relief Act of 2012.

Read TaxNewsFlash-United States: Notice 2013-38 - Automatic extension of empowerment zone designations through 2013

Notice 2013-38 provided that any nomination for an empowerment zone in effect on December 31, 2009, would have a new termination date of December 31, 2013, unless the governing state or municipality declined the extension in a notification to the IRS.

The deadline for notification was July 29, 2013. No state or municipality contacted the IRS to decline the extension. Therefore, all empowerment zone designations in effect on December 31, 2009, remain in effect through December 31, 2013.

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