What is the Enterprise Zone Employee Deduction?

Certain areas within Indiana have been designated as enterprise zones. Enterprise zones are established to encourage investment and job growth in distressed urban areas.

If you lived in an enterprise zone and worked for a qualified employer within that zone you may be able to take this deduction. Your employer will provide you with Form IT-40QEC if you are eligible to claim this deduction.

The amount of the deduction is one-half of the earned income shown on that form or $7,500, whichever is less. If you and your spouse both have received Form IT-40QEC, you may each take this deduction for a combined maximum of $15,000 (no more than $7,500 per qualifying person). You must enclose Form IT-40QEC with the Form IT-40 to support any claimed deduction.

Enterprise zones have been established in areas of certain cities/locations. Use this website to look up contact information for a particular enterprise zone: www.aiez.org/directory.html.

Trusted Company

14 Million Returns Filed

As an authorized IRS e-file provider, FreeTaxUSA® has e-filed over 14 million returns!

Best Value

File your federal taxes for FREE.
Add a state return for only $12.95.
Get the best value online!

Fast Refund

Get the fastest refund possible!

FreeTaxUSA provides the fastest way to get your refund when you use IRS e-file and direct deposit.

100% Accuracy

Our site checks for errors or problems before you send your tax return to the IRS. We guarantee the calculations in our software will be 100% accurate.

© 2002-2015 FreeTaxUSA, a TaxHawk, Inc. owned and operated website - Terms of Use