The Arkansas Tourism Development Act (Act 2308 of 2005) provides incentives for qualified new or expanding tourism facilities and attractions. The program applies to cultural or historical sites, recreational or entertainment facilities, areas of natural phenomenon or scenic beauty, theme parks, amusement parks, indoor or outdoor plays or music shows, botanical gardens, and cultural or educational centers. Lodging facilities may also qualify provided the approved costs exceed $5 million, and the facility is attached to a convention center containing a minimum of 75,000 square feet or the facility itself contains a minimum of 12,000 square feet of meeting or exhibit space.

To qualify, a project:

- must cost a minimum of $500,000 in a high unemployment county or $1,000,000 in any other county.

- must be open to the public on a regular basis

- must develop a marketing plan that targets at least 25% of its visitors from out-of-state residents

- must have a significant and positive economic impact on the state

- must not adversely affect existing employment in the state

Qualified and approved businesses will be eligible to recover up to 25% of initial investment for projects located in high-unemployment counties and 15% for all other projects through a sales tax credit against state sales taxes collected from visitors to the attraction. The business could also be eligible for income tax credits based on a percentage of full-time permanent employees working at the tourism attraction project.

To request additional information about this program, call the Arkansas Economic Development Commission at 501-682-5277.