Corporation's fixed asset proposal works its way through Ohio legislature
June 26, 2012
Dover, Ohio-based Allied Machine & Engineering Corporation recently received approval for a five-year, 40 percent state tax credit to expand two facilities and create $1 million in additional payroll, according to the Times Reporter.
The expansion would increase manufacturing capabilities, as well as broaden the scope for research and development, engineering support and training. The company expects to create the equivalent of 30 new full-time positions, ranging from administrative support to engineering.
In addition to the two-building expansion, Allied Machine & Engineering will also use the funding to invest in fixed assets
, as new machinery and equipment will be needed to fill the added space.
Currently, the plan has been approved by the Ohio Tax Credit Authority. The next step is for it to be passed by commissioners from Tuscarawas County before the proposal will be submitted to the state itself, the news source explains.
Construction work was supposed to begin earlier this month, but the approval process has pushed it back until July 8, at the earliest.
The costs incurred by the construction of a new fixed asset
should be recorded in a construction in progress account, then transferred to the company's regular property, plant and equipment account after the project has been completed.