Hiring Incentive to Restore Employment (HIRE) Act
All Businesses Can Benefit from the New Small Business Jobs Act
On September 27, 2010, President Obama signed into law the Small Business Jobs Act of 2010 , or H.R. 5297 (hereafter, “the Act”). Though many of the Act’s provisions focus on small businesses , the new law also contains tax incentives that apply to all businesses as well as new retirement savings incentives for individuals . It is important to note that some of these provisions offer taxpayers a very small window of opportunity, requiring action before the end of the year to take advantage of the savings. INCENTIVES FOR ALL BUSINESSES The Act enhances and extends a number of tax incentives that were originally included in the Economic Stimulus Act of 2008 (“the 2008 Stimulus Act”) and the American Recovery and Reinvestment Act of 2009 (“the. Read More.
HIRE Act’s Employee Retention Tax Credit Now Available
The Hiring Incentives to Restore Employment (HIRE) Act provides qualified small businesses with a new tax credit for retaining certain qualified employees . This provision is intended to encourage businesses and tax-exempt entities to hire and retain employees, and is generally applicable for 2010. CREDIT AVAILABLE For each retained worker, a qualified employer’s general business credit is increased by the lesser of: $1,000, or 6.2% of the retained worker’s wages during a 52-week consecutive period
HIRE Act Gives Payroll Tax Holiday to Certain Employers
The Hiring Incentives to Restore Employment (HIRE) Act provides a Payroll Tax Holiday for businesses that hire and retain previously unemployed workers. This provision applies to wages paid beginning after March 18, 2010, and ending on December 31, 2010. Qualified employers are forgiven their 6.2 percent share of the “old age, survivors, and disability insurance (OASDI)” component of Social Security payroll taxes for qualified employees performing services in a trade or business. A qualified individual is any individual who: begins work for a qualified employer after February 3, 2010, and before January 1, 2011; certifies by a signed affidavit that he or she. Read More.