California Competes Tax Credit 2026/27 Fiscal Year Application Windows Announced

If your organization is considering an expansion, relocation, or major hiring decision in California, the California Competes Tax Credit (CCTC) belongs in the conversation. This income tax credit program rewards organizations that create full-time jobs and make meaningful investment in the state, and each fiscal year brings a fresh set of application windows.

The program provides hundreds of millions in tax credits each fiscal year. In practice, the pool runs considerably higher due to recaptured credits and amounts unallocated from the prior year. For organizations with significant growth plans, that is a meaningful opportunity.

Key Takeaways

• The CCTC is a competitive income tax credit program for organizations that locate, stay, or grow in the state.
• Go-Biz evaluates applicants against 14 criteria, including job creation, capital investment, wages, geography, and overall economic impact.
• The program has strict application deadlines across three application periods each fiscal year.

Why the CCTC Matters for Manufacturers and Other Strategic Industries

The CCTC can present a valuable tool for organizations that align with the State’s strategic economic priorities. For FY26-27, special consideration will be given to companies operating in the California Jobs First Economic Blueprint's "strengthen" and "accelerate" sectors, making the program especially attractive for businesses in those priority industries. For example, manufacturing is in the “strengthen” sector, reflecting its role in driving innovation, investment, and high-quality job creation across the state.

Application Windows for Fiscal Year 2026-2027

The Director of GO-Biz has announced the application periods for fiscal year 2026-2027. Deadlines are firm, and the online portal closes automatically once a period ends, so plan your timeline accordingly.

• Application Period 1: July 20, 2026 – August 10, 2026
  • $350 million in tax credits available
• Application Period 2: January 4, 2027 – January 25, 2027
  • $250 million in tax credits available
• Application Period 3: March 1, 2027 – March 15, 2027
  • $219.8 million in tax credits available in addition to any remaining unallocated amounts from the two previous application periods

Who Is Eligible for the CCTC?

Any growing organization can apply for this competitive credit regardless of their industry, size, or location. State-level incentive programs are critical to attract and grow organizations, and the CCTC has become one of California's flagship programs. Since the program was established in 2013, the CCTC has awarded the tax credit to 1,245 organizations and helped generate more than 170,000 full-time jobs across California, according to the Governor’s Office of Business and Economic Development (GO-Biz). This history reflects years of consistent investment in California’s growth as a critical component of the state’s economic development policy.

How Do You Apply for the California Competes Tax Credit?

There are three application periods each year, and applicants must apply online. There is no fee to apply.

The CCTC is a significant and competitive program, and the state expects applicants to treat it as one. Earning this tax credit is not automatic and takes more than simply applying. Organizations must demonstrate their value to California through 14 evaluation criteria.

Strong applications require real preparation. This is not a check-the-box process. Organizations that succeed invest time in understanding what the state is looking for, build a compelling narrative around their growth plans, and present their story with specificity and intention. The CCTC rewards organizations that engage thoughtfully, make a clear case for why California should invest in them, and can articulate what they bring to the state in return.

• According to the Governor’s Office of Business and Economic Development, the 14 criteria evaluated are:

1. Number of jobs created or retained
2. Strategic importance to the state, region, or locality
3. Training opportunities offered to employees
4. Incentives available from in-state, out-of-state, and federal government sources
5. Opportunity for future growth and expansion
6. Extent to which the credit influences decision to relocate jobs into California from states that have enacted laws that: permit discrimination on the basis of sexual orientation, gender identity, or gender expression; or deny or interfere with women’s reproductive rights
7. Overall compensation paid to employees, including wages
8. Extent of unemployment and poverty in current or proposed site location
9. Economic impact
10. Duration of the proposed project and applicant’s commitment to remain in California
11. Extent to which the benefit to California exceeds the benefit to the applicant
12. Extent to which the credit influences creation of new California jobs
13. Commitment to treating workforce fairly and creating quality, full-time, wage and salary jobs
14. Amount of investment

How We Can Help

We help you build a strong CCTC application and provide advisory support throughout the application lifecycle. We model your entity’s economic impact, provide documentation support, negotiate when needed, and, if you are granted tax credits, we can assist with ongoing compliance and reporting, making sure you earn the credits promised.

Our trusted advisors have decades of experience navigating complex incentive programs. If you are planning growth in California and want to take advantage of the California Competes Tax Credit’s significant opportunity, reach out to us today to speak with the EisnerAmper State and Local Tax Credits & Incentives team, and find out how you can get started.