“Veterans Opportunity Tax Credit” Helps Delaware Businesses Hire Recent Combat Veterans
Governor Jack Markell and legislative leaders announced a new effort (HB 275)to help put recent combat veterans to work when they return from service. The “Veterans Opportunity Tax Credit” would give companies a $1,500 annual tax credit for each recent veteran they hired.
The Veterans Opportunity Tax credit would allow any business can take a tax credit of 10% of the gross wages paid to qualified veterans, with a cap of $1,500. The cap would continue for 3 tax years, so the total benefit to the employer could be $4,500 per veteran hired. The credit could be taken by any private sector business, and can be credited against personal income taxes, corporate income taxes, bank franchise taxes and insurance premium taxes. Because the tax credit is refundable, businesses without tax liabilities can use the tax credits immediately.
Businesses would not be able to double-count a qualifying veteran as a new hire under the New Economy Jobs Program tax credit, or tax credits for qualified investment in business facilities and targeted areas.
You can check out the details on the proposed legislation using this free resource.