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Contact R&D’s Industry Development Specialist

Opportunity Zones

The 2017 Federal Tax Cuts and Jobs Act authorized a community economic development program called the Opportunity Zones Program. This new program provides incentives for investors to re-invest unrealized capital gains into Opportunity Funds in exchange for temporary tax deferral and other benefits. The Opportunity Funds will then be used to provide investment capital in low-income communities designated as Opportunity Zones.

Four Census Tracts in Hilo and Kona have been designated as Opportunity Zones.

Additional information about Opportunity Zones is available from DBEDT’s Business Development and Support Division at

Comments on proposed rules for the Opportunity Zone program ( will be accepted through December 19, 2018.


Enterprise Zones

The Enterprise Zone program is a state-county partnership that has been growing job opportunities on Hawai‘i Island for over 20 years by incentivizing business investment in areas with low income or high unemployment.
  • Nearly 300 Hawai‘i Island businesses have participated in the Enterprise Zone program since 1994.
  • In 2013, Enterprise Zone participating companies on Hawai‘i Island accounted for over $116 million in revenue and over 600 jobs.
  • The Enterprise Zone is an area within which businesses engaged in eligible activities can receive state and county tax incentives, provided they meet job growth goals (or revenue goals for agriculture businesses).
  • Businesses in an Enterprise Zone can participate in the program for seven years (ten for agriculture or manufacturing businesses).
  • Participating businesses are eligible for 100% exemption from state wholesale general excise tax (.5%), 20-80% non-refundable credit on state income tax, and a non-refundable state tax credit for the cost of unemployment insurance premiums. Businesses are also eligible for a three-year exemption from any increase in county property taxes resulting from new construction.
  • Enterprise Zone eligible activities include farming, ranching, agricultural processing, and certain kinds of high tech businesses.
  • The Enterprise Zone designation does not supersede any county zoning, state land use designation, building regulations, or any other regulations applicable to business operations.

Map of Hawai‘i County Enterprise Zones


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