Sen. Charles Schumer (D-NY) and Rep. Paul Tonko (D-NY) have introduced legislation into the Senate and House of Representatives intended to extend the HIRE Act, which was signed into law by President Obama on March 18, 2010, by six months. As it currently stands, the HIRE Act provides tax incentives for businesses hiring unemployed workers. These benefits include: a 6.2 % payroll tax incentive for employers who hire unemployed workers this year (after Feb. 3, 2010, and before Jan. 1, 2011); and a $1,000 general business tax credit for each worker retained by the employer for at least one year.
Under the HIRE Now Tax Cut Extension Act of 2010, qualified employers hiring qualified employees from July 22, 2010, through June 30, 2011, would be entitled to take advantage of the HIRE Act’s benefits for an additional six months. This legislation is intended to further spur the nation’s economic recovery by reducing the cost to employers associated with hiring new employees. The proposed legislation is currently before the House Ways and Means Committee and the Senate Committee on Finance.
For additional information regarding the HIRE Act, please see:
- HIRE Act Provides Tax Breaks for Hiring Unemployed Workers
- IRS Issues Draft Form to Certify Qualified Employees Under HIRE Act
- IRS to Issue Hire Act Final Form W-11 Week of April 5
- IRS Issues HIRE Act Final Form W-11 and New Q&As
- IRS Issues Revised Forms W-2 and W-3 for HIRE Act Changes
- IRS Issues Additional FAQs for HIRE Act
- IRS Notes Errors on Payroll Tax Returns Seeking HIRE Act Benefits
- IRS Issues HIRE Act Guidance Self-Employed Individuals and More