High Performance Incentive Program (HPIP)

The HPIP provides an investment tax credit and other incentives to companies that pay above average wages and have a strong commitment to skills development for their workers. Eligible companies may receive substantial investment tax credits and other incentives if they satisfy wage and training criteria program.

Eligible NAICS include all NAICS that begin with 3 and other NAICS categories which include 2211 - 2213; 4231 - 4251; 4811- 5191; 5211 - 7213; and 8111 - 9281. A worksite with any NAICS code may qualify if they are designated, by the secretary, as a headquarters or back-office operation of a national or multi-national firm.


  • Must pay above average industry wage.
  • Invest an amount equal to 2% of payroll in employee training or participate in a State training program.
  • Business activities fall within NAICS codes other than those for agriculture, Mining, construction, and retailing. For companies that are otherwise eligible are not manufacturers at least 51% of revenues must be generated from sales to Kansas manufacturers; and/or out-of-state commercial; and/or governmental customers.


  • A tax credit for capital investment, with a 16-year carry-forward, equal to up to 10% of the eligible investment that exceeds $ 1 million in Douglas, Johnson, Sedgwick, Shawnee and Wyandotte counties and exceeds $50,000 in all other counties.
  • Exemption from sales tax for eligible capital investments/services.
  • A potential workforce training tax credit up to $50,000 per year on training. Expenditures above two percent of the company payroll.
  • Priority consideration for other assistance programs offered through Commerce, KTEC, and MAMTC.
Cannot be used if taxpayer elects Expensing Deduction.


Contact Ed Bryan, Commerce, at 785-296-7174.