- Federal Jobs Bill.
Status: U.S. Senate is expected to pass today. Bill then goes to U.S. House of Representatives.
Companies that hire unemployed people would receive an exemption from paying Social Security taxes on those workers for the remainder of 2010. Employers would also receive a $1,000 tax credit for each new worker who remains on the job at least one year.
- State Job Creation Tax Credit.
Status: Proposed by Governor Deval Patrick. Currently pending in the Massachusetts Legislature's Joint Committee on Revenue.
Creates a $2,500 refundable tax credit on withholding tax for employers with 50 or fewer total employees who hire new full-time Massachusetts employees during the 12-month period beginning April 1, 2010. Calculation of the net increase in the number of Massachusetts employees is based on the employer's number of Massachusetts employees as of March 31, 2010. The credit is available to qualifying employers for each new full-time Massachusetts job created and sustained for at least one year.
The federal jobs bill passed a key preliminary vote yesterday with the support of Massachusetts Senator Scott Brown and four other Republicans. Senator Brown issued a statement about the vote:
"I came to Washington to be an independent voice, to put politics aside, and to do everything in my power to help create jobs for Massachusetts families. This Senate jobs bill is not perfect. I wish the tax cuts were deeper and broader, but I am voting for it because it contains measures that will help put people back to work.
"I was disappointed with the continuation of politics-as-usual in the drafting of this bill, as it was crafted behind closed doors, without transparency and accountability. I hope for improvements in that process going forward. All of us, Republicans and Democrats, have to work together to get our economy back on track. I hope my vote today is a strong step toward restoring bipartisanship in Washington."
Will these proposed tax incentives prompt your company to hire additional workers? We appreciate your comments.