What is it?
The Renewal Community Employment Credit lets you claim a credit against your Federal taxes of up to 10% of the annual wages paid to each qualified employee or new hire, up to a maximum of $1,500 per employee per year.
Where are the Renewal Communities?
California has Renewal Communities in Los Angeles, Orange Cove, Parlier, San Diego, and San Francisco.
Who counts as a ‘qualified employee’?
Qualified employees must live and work in the Renewal Community in which your business is located. They can be full-time or part-time.
How can you benefit?
The Renewal Community Employment Credit is in effect until the end of 2009. Universal Tax Services can help you claim up to $1,500 for each qualified employee, each year until then and go back over the past three years to make claims for each qualified employee working for you during that time. You will receive a generous interest payment on top of all refunds to which you are entitled. Since you can carry forward any unused credit amounts for up to 20 years, you can improve the long-term financial performance of your business if you act promptly.