The PPE Manufacturing Tax Credit makes $10 million in investment tax credits per year available to businesses that invest in the production of PPE during the 2020, 2021, and 2022 tax years. The program supports investment in PPE manufacturing facilities and equipment to increase the availability of critical public healthcare products and create manufacturing jobs.  Tax credits are awarded on the basis of jobs created ($10,000 per job) with additional credits for meeting certain operating or locational objectives. 


To receive tax credits through the PPE Manufacturing Tax Credit Program, a project must meet each of the following criteria:

  • Be located in:
    • An approved redevelopment or rehabilitation area,
    • A Smart Growth Area, or
    • A facility engaged in an approved research collaboration or apprenticeship or pre-apprenticeship program, or in large, long-vacant building
  • Manufacture PPE, such as coveralls, face shields, gloves, gowns, masks, respirators, safeguard equipment, and other equipment designed to protect the wearer from the spread of infection or illness,
  • Create a minimum number of new jobs
  • Meet a minimum investment threshold for new construction or the improvement or fit-out of existing facilities


Projects can receive a base tax credit of $10,000 per new job created.  In addition, additional credits are available for new or retained jobs in facilities that meet any of the following operational or location goals:

  • Hosts an approved apprenticeship or pre-apprenticeship program ($1,000 per job):
  • Hosts an approved research collaboration ($1,500 per job); or
  • Is located in a building vacant for seven years and having 250,000 square feet or more ($1,000 per job)

Please note that jobs that have been the basis for previously awarded tax credits under another NJEDA program are not eligible for inclusion in the PPE Manufacturing Tax Credit Program.

Individual projects are subject to a cap of $500,000 on the combined base and additional credits.,

PPE Manufacturing Tax Credits that exceed the amount that a taxpayer owes shall be treated as a refundable overpayment.

Available credits under the program are limited to $10 million per year.

As with all NJEDA programs, the PPE Manufacturing Tax Credit program has a series of fees assessed in order to cover the Authority’s cost of administering the program.  They are as follows:

Application Fee: $2,000 (one-time, non-refundable, to be submitted with application)

Approval Fee: $5,000 (one-time, payable prior to submittal of application to the Authority Board, refundable only if Board does not approve the tax credit)

Servicing Fee: $2,000 (annual fee, payable at the time the business submits its annual report during the five-year compliance period)

In addition to the foregoing, there may be special fees arising from due diligence needs or changes to an applicant’s participation in the PMTC or other NJEDA programs.  Those fees could include:

Due Diligence Fee: direct cost (one-time, non-refundable, chargeable if the Authority deems it necessary to retain a third party to conduct applicant due diligence, payable upon request)

Modification Fee: $1,000/$2,500 (one-time, non-refundable, payable prior to the approval of minor/major modifications)

Termination Fee: $2,500/$7,500 (one-time, non-refundable, payable for minor/major modifications deriving from an applicant’s request to terminate an existing incentive agreement with NJEDA in order to participate in the PPE Manufacturing Tax Credit program)


Tax credits through the PPE Manufacturing Tax Credit Program are only available for full-Tax credits under the PPE Manufacturing Tax Credit Program are only available for full-time jobs offering at least 35 hours per week, a wage rate of $15 per hour or more, and approved employee health benefits. Employers must also commit to retaining the incented jobs for a period of at least five years.

The full statutory text of the program can be found in sections 106-107 of the Economic Recovery Act of 2020, available here.

The PPE Manufacturing Tax Credit Program sets the eligibility minimums for job creation/retention and investment slightly lower for facilities located in the following counties: 

  • Atlantic
  • Burlington
  • Cape May
  • Cumberland
  • Gloucester
  • Ocean
  • Salem 

All work performed for or on behalf of an applicant to the PPE Manufacturing Tax Credit Program must adhere to State of New Jersey requirements relating to affirmative action and prevailing wage.