As an employer, you give many the opportunity to work. These
opportunities created allows you to take advantage of many Federal,
State, & Local tax incentives offered. At BOOS & ASSOCIATES, we
have a dedicated tax credit team with decades of experience in assisting
clients to help maximize these benefits. Due to COVID-19, the IRS and
the State of California has offered two new tax credits.
New Credits Available
Employee Retention Credit
Allows
for a refundable payroll tax credit for eligible employers harmed by
COVID-19. The credit is equal to 50% of up to $10,000 in qualified
wages per employee (i.e., a total of $5,000 per employee). Employers
generally are not eligible for the Employee Retention Credit if any
member of their controlled or affiliated service group obtained a PPP
loan.
New Hiring Credit for Small Businesses
The
Governor signed bill SB 1447 which allows Businesses to receive a
$1,000 credit (up to a $100,000 maximum) for every net increase in
full-time equivalent employees. The credit can only be claimed by
businesses that reserve the credit and that:
Employed
100 or fewer employees as of December 31, 2019; and
Experienced
a 50% decrease in gross receipts when comparing their 2020 second
calendar quarter gross receipts with 2019 second calendar quarter
gross receipts.
On top of the two new credits available to businesses, our team also
offers the following services.
Other Tax Credit Services Offered
California
New Employment Credit (“NEC”)
Federal
Hiring Tax Credits
Work
Opportunity Tax Credit ("WOTC")
Research
& Development Tax Credits
Need Help?
If you think your business can benefit or is interested in any of
the above tax credits, BOOS
& ASSOCIATES is here to help! To inquire more information please
email us at askboos@booscpa.com.
