Big Island Businesses That Hire Veterans Can Receive Tax Credits
The recent bill passed by Congress on New Year’s Day that averted the fiscal cliff also extended a tax benefit for Big Island business owners who hire veterans.
According to reports in Army Times, the federal legislation included the “Returning Heroes and Wounded Warriors” work opportunity tax credits.
Employers on Hawaii Island and around the country who hire veterans can receive tax credits ranging from $2,400 to $9,600.
Two of the five tax credits are each worth $2,400.
One is for veterans whose families receive supplemental nutrition assistance and the second is for short-term hiring of unemployed veterans.
Employers who hire a veteran discharged within the previous year who has a service-connected disability can receive a $4,800 tax credit.
Companies hiring veterans who have been unemployed for an extended period can receive a $5,600 tax credit.
The maximum tax credit, $9,600, is for employers who hire a service-disabled veteran who has been unemployed for an extended period.
Originally included in the Vow to Hire Heroes Act signed into law by President Obama in November 2011, the tax credits would have expired had they not been included in the new tax deal.
The five tax credits are now extended until Dec. 31, 2013.
The White House has released a fact sheet on these credits and how businesses can apply for them.
For more information, contact Russell Ogawa, Department of Labor & Industrial Relations, 830 Punchbowl St., Room 329, Honolulu, HI, at 808-586-8820, or by email at [email protected].