If you’re running a business and not looking for employment-based tax credits, you are leaving perfectly good money on the table. Unearthing tax credits and incentives does require a fair amount of work, and it’s not always easy for businesses to focus in-house resources on this process. However, the tax savings found with employment-based tax credits are incredibly valuable for economic growth to occur.
The following three types of tax incentive programs could make all the difference in whether your business succeeds or fails:
- Job Creation Incentives
If you’re stuck wondering how to start or grow your business with OPM (“other people’s money”), it’s time to look beyond individual investors and start identifying these benefits, on the state or local level, that offer cash grants, job creation credits, special financing or property incentives related to job creation.
An example of a job creation tax incentive: The City of Philadelphia offers eligible business owners a one-time tax credit of up to $5,000 for each newly qualified, full-time job created in the city.
- Job Training Grants
Tax incentive programs for internal, external or on-the-job trainings offer cost savings of between $200 and $500 per employee. The savings from training programs offsets 25% - 50% of outsourced training provider costs and up to 100% of internal trainer costs.
- Wage Subsidy Services
Wage subsidies are designed to increase job competitiveness for individuals on public assistance – food stamps, welfare, disability, etc. A wage subsidy program reimburses the employer (either in whole or part) for a qualified individual’s wages for a set period of time. Generally those programs are funded with federal dollars but managed at the state and local level. Eligibility requirements vary from program to program and area to area.
These three types of employment-based tax incentives are broken down on a state and local level, and there’s a discovery period and process to follow, depending on what tax credits and incentives are available to your business.
That’s why it’s critical to partner with an outsourced tax expert who knows exactly how to find every available tax credit for your business. With this knowledgeable guidance, you never miss a beat on compliance, documentation or filing deadlines.
Ready to discover more employment-based tax incentives and savings opportunities for your business? Call 866-444-4880 or click here to speak directly with an experienced tax expert at Corporate Tax Incentives.
