David Kirkpatrick

January 29, 2010

New employee $5000 tax credit proposed

Filed under: Business, Politics — Tags: , , , , — David Kirkpatrick @ 4:18 pm

More detail on the White House plan to help Main Street.

From the link:

President Obama will propose Friday in Baltimore a new business tax credit worth up to $5,000 for every new worker hired this year.

Under the president’s plan, a business could claim a tax credit of up to $5,000 for every net new employee it adds to its workforce this year.  If that business hires a worker and fires another, it would be ineligible for this credit.

Senior administration officials said they capped the total credits a business can claim at $500,000 to ensure their proposal mostly helps small businesses.

“The focus is really on small businesses,” said a senior administration official.

The president is also proposing the federal government reimburse businesses for the Social Security taxes they owe on increases in their payrolls this year.