Payroll Tax Holiday

Posted by DVF in Accounting, Financial on April 23, 2010 | 39 Comments »

In addition to the payroll tax break for wages paid to qualified workers after March 18, 2010, there is a $1,000 tax credit that can apply to those same workers who are employed for a 52 consecutive week period. The credit equals the lesser of 6.2% of wages paid during the 52 week period or $1,000. Since the law can only apply to a worker hired after February 3, 2010, the earliest date an employee would qualify is in 2011. So, for most taxpayers, the credit is not available until they file their 2011 returns. So, some careful recordkeeping now can pay off next year.

 

For additional information, call us at Dempsey Vantrease & Follis or visit our newsletter link at www.dvf-pllc.com. 

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