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Bill > A4997


NJ A4997

Allows corporation business tax and gross income tax credits to businesses employing qualified ex-offenders.


summary

Introduced
11/16/2020
In Committee
11/16/2020
Crossed Over
Passed
Dead
01/11/2022

Introduced Session

2020-2021 Regular Session

Bill Summary

This bill allows corporation business tax and gross income tax credits to businesses that employ qualified ex-offenders. The amount of each credit would be equal to 15 percent of the wages paid to the ex-offender with a maximum of $900 per ex-offender. A qualified ex-offender is defined in the bill as a person who: (1) has been convicted of a crime of the first, second, third or fourth degree in this State; and (2) has been hired within one year of the date of conviction or release from incarceration. These State tax credits are modeled on the federal Work Opportunity Tax Credit (WOTC), which encourages employers to hire targeted groups of employees, including ex-felons. Under the federal WOTC, employers may claim a federal tax credit of up to 40 percent of the first $6,000 earned by an employee in the employee's first year, or $2,400.

AI Summary

This bill allows corporation business tax and gross income tax credits to businesses that employ qualified ex-offenders. The credit is equal to 15% of the wages paid to the ex-offender, up to a maximum of $900 per ex-offender. A qualified ex-offender is defined as a person who has been convicted of a crime of the first, second, third, or fourth degree in New Jersey and has been hired within one year of their conviction or release from incarceration. These State tax credits are modeled on the federal Work Opportunity Tax Credit (WOTC), which encourages employers to hire targeted groups of employees, including ex-felons.

Committee Categories

Business and Industry

Sponsors (2)

Last Action

Introduced, Referred to Assembly Commerce and Economic Development Committee (on 11/16/2020)

bill text


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