Relevant & Favorable Passed Legislation: Tax breaks for employers who hire the unemployed

Let’s hope the below legislation proves to further increase employer hiring activity. 

The incentive is significant.

 

Congress Passes HIRE Act Carrying Hiring Incentives, Stimulus Measures, and New Foreign Account Tax Compliance Rules

Today, the Senate by a vote of 68-29 approved H.R. 2847, carrying the Hiring Incentives to Restore Employment (HIRE) Act, as passed by the House. Thus, the HIRE Act is cleared for the President’s signature. The HIRE Act:

·         Exempts employers from paying the employer share of Social Security employment taxes on wages paid in 2010 to newly hired qualified unemployed workers. These are workers who: (1) begin employment with the employer after February 3, 2010 and before January 1, 2011, (2) were previously unemployed and (3) do not replace other employees of the employer. The payroll tax relief applies only for wages paid with respect to employment beginning on the day after the enactment date (the date the HIRE Act is signed into law by the President) and before 2011.

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