Long Beach is the 5th largest city in California with one of the most diverse residential and business communities in the U.S.
Download EZ Press Release – Record Year for EZ, Long Beach Most Business Friendly
Businesses ranging from plane manufacturers, software developers, clean-energy/ green-tech, food producers, restaurants and professional service companies generated an estimated $78 million of California hiring and equipment tax credits. These credits are a much needed benefit to mitigate the California corporate and individual tax rates – at up to 10.3% – are at the highest levels compared to other states.
With the skyrocketing unemployment, the California EZ program provides a significant incentive for businesses to hire local residents, veterans, and other economically or physically challenged workers.
The program allows employers to claim hiring credits of up to $12,500 per "qualified employee" per year. Depending on the industry, a typical business will have 15% to 50% of their employees eligible for these program benefits. Employees working in the Zone are also eligible for a personal-level tax credit of up to $525 per year.
In addition to the valuable hiring credit, employers are eligible for equipment tax credits up to 8.75% of the capitalized cost of manufacturing, processing, technology, and pollution and energy control equipment.
Employers can claim these credits for up to 4 prior years and secure refunds of prior year taxes.
Businesses should act quickly for 2008 filings since the city will be raising the $40 per employee vouchering fee to $60 per voucher beginning March 1, 2009.
For more information about the Long Beach EZ program as well as programs throughout California and the U.S., please read the following:
Download Urban Success Mag Tax Break article
Download Focusing on Unemployment 12.2008
Download CA Tax Rates article 12.2007
Download NTCG Brochure 10.2008
More information can be obtained at:
www.hcvt.com or
Tags: CA Tax credits, California budget, California EZ Tax credits, California Tax Rates, Enterprise Zone Credits