USVI Public Records

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## Slide 1 Virgin Islands Economic Development Authority Revenue Estimating Conference May 2024 The Buccaneer, Inc. VIEDC Beneficiary [notes] Type your notes ## Slide 2 Virgin Islands Economic Development Commission Fiscal Years 2025-2026 Revenue Projections Tramway Properties, Inc. VIEDC Beneficiary [notes] Type your notes ## Slide 3 WHAT IS ECONOMIC DEVELOPMENT? Universal Concrete, LLC VIEDC Beneficiary The International Economic Development Council (IEDC) defines economic development “as a program, group of policies, or activity that seeks to improve the economic well-being and quality of life for a community, by creating and/or retaining jobs that facilitate growth, enhance wealth and provide a stable tax base.” [notes] Type your notes ## Slide 4 10% Income Tax Paid to the Territory Capital Investments Charitable Contributions Employment Wages & Benefits for VI Residents 100% Income Tax on Global Income FACT Tax incentives are intended to spur economic growth that would not have otherwise occurred. The Territory starts at a net zero position [notes] Type your notes ## Slide 5 BENEFITS TO THE TERRITORY BENEFICIARIES MUST PAY Income Tax Payroll Tax Stamp Tax Property Tax* NOTE ON INCOME TAX Effective Tax Rate: 2.3% (based on tax rate of 21% and 10% surcharge) 10% on VIEDC Corporate Income Effective Tax Rate: 3.7% (based on exemption and partial exemption as provided in 29 V.I.C. § 713d on Distributions, Dividends and/or Interest Withholding) 10% on VIEDC Personal Income Full Tax Rate on Global Non-VIEDC Personal Income No tax-incentive/benefits are taken on income derived from services provided in the USVI (Designated Services) *If not used for the approved business. [notes] Add note to this slide ## Slide 6 Minimum Capital Investment of $100,000 BENEFITS TO THE TERRITORY Purchase Goods and Services Locally from Virgin Islands Businesses LOCAL INVESTMENT [notes] Type your notes ## Slide 7 BENEFITS TO THE TERRITORY EMPLOYMENT Hire a Minimum of 5 (Designated Service Businesses (DSB) only) or 10 Full-Time Employees (All Other Businesses) 80% of Full-Time Positions Filled by Virgin Islands Residents Management Training Programs Tuition Reimbursement 20% Management/ Supervisory/Technical Positions Filled by Virgin Islands Residents Pension Plan, Medical Insurance and Paid Time Off (Vacation, Sick, Donated, & Other Leave Required by Law) [notes] Type your notes ## Slide 8 BENEFITS TO THE TERRITORY STATUTORY REQUIREMENTS & CHARITABLE CONTRIBUTIONS Contribution of $3000 Annually to the Board of Education Contribution of $2500 Annually to the Department of Labor Charitable Contributions Annually to Local Non-profits, 501(c)3 Entities and/or Government Programs Educational Assistance (including Internship Opportunities and Scholarships) of which 55% must be paid directly to the VI Department of Education Alpine Group USVI, LLC VIEDC Beneficiary [notes] Type your notes ## Slide 9 HISTORICAL NEW APPLICANT STATISTICS [notes] Type your notes ## Slide 10 [notes] Type your notes ## Slide 11 Full-Time Equivalent Jobs Average: 6,436/year Charitable Contributions Average: $3.23M/year Taxes and Duties Paid Average: $103M/year Wages & Salaries Average: $339M/year Territory-Wide Economic Output Average: $500M/year ECONOMIC IMPACT ANALYSIS Impact of the Beneficiaries of the EDC Program for the Period 2013-2015 19.3 THOUSAND $9.7 MILLION $309 MILLION $1 BILLION $1.5 BILLION Tree Limin’ Extreme, LLC VIEDC Beneficiary Source: USVIEDA Economic Impact Analysis conducted by UVI's Institute for Leadership & Organizational Effectiveness (2019) [notes] Type your notes ## Slide 12 ACTIVE BENEFICIARIES [notes] Type your notes ## Slide 13 TOTAL TAXES & DUTIES PAID The average annual taxes and duties paid from 2016-2020 was $93M. [notes] Type your notes ## Slide 14 FISCAL IMPACT TO THE USVI ECONOMY Total Taxes Paid by VIEDC Beneficiaries Taxes Paid on Global Income by Principals USVI Economy [notes] Type your notes ## Slide 15 FY 2025-2026 ANTICIPATED REVENUES [notes] Type your notes ## Slide 16 www.usvieda.org 340.714.1700 340.773.6499 CONTACT US info@usvieda.org [notes] Type your notes