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Ebong Eka on what tax credits are giving business owners an incentive to hire a veteran
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See we had -- bound -- -- joining us.
Talk hi good morning good morning UICPA.
And we are talking about tax credits and incentives to higher military veterans as Wal-Mart is doing so thanks for coming on and joining us.
Well thanks readily than happy new year by the way -- we think you can't January 17 start a year -- -- lame duck it's a little later than Napoli that are and I.
I know I know so -- -- -- dozens well yeah.
Depending where you sit that -- girls -- what side of the value sit the fiscal cliff.
Bill came through but one of the good things about it I think everybody.
It would agree with is that the tax credits for veterans.
For hiring veterans actually has been extended for 2013.
What are those credits well there's two there were extended the first one is.
The wounded warriors tax credit and the other one is returning heroes tax credit.
Now the returning heroes tax credit.
Offers a tax credit to a business owner who hires a veteran.
Who's been unemployed for at least four weeks and the tax credit can be as high as -- 400 dollars.
Just saying okay -- any sense of how many businesses had taken advantage and that's.
Well right now we don't know -- relative because of the bill of rate was actually get -- initially signed into law.
On November 2011 -- notes throughout 2012 I think the numbers are still being compiled.
Aston whose use -- utilizing the credit.
On their few other credits to within -- you know the returning heroes as well as the wounded warriors and the other one is that you have a long term.
I'll bet a better -- who's been unemployed long term.
They can get a credit will that the business so we can get a credit as much as -- to 600 dollars -- -- someone -- for a veteran has been unemployed for longer than six months.
Now.
All -- -- you -- -- your CPA or your tax advisor to find out that the veteran you -- Meets the meets the criteria but for the most part this is actually cash.
Money that ends up in the business -- business owners' pockets and it's a dollar for dollar reduction of your taxes -- not like a tax deductions even better than that.
It's -- paces behind wal mart's decision to hire some -- aren't.
What you know what I ready next piece and that actually prompted me thinking.
About that now would be surprised I mean they're gonna higher they've they've what they think they promise a higher about a 100000.
Veterans over the next five years.
And granted for a company like Wal-Mart other big companies it may or may not be a jaw drop in the bucket.
But they can use that money for other things as well and what I think -- actually has a larger impact on small businesses because it could be a small business owner.
That has -- ten employees and hires one -- two veterans that could be as much as 20000 dollars.
In the in their pocket that he can use improve their infrastructure.
Why buy new equipment maybe even higher -- additional worker.
So and that -- small businesses who fuel the economy.
The fact that this has a larger impact on a smaller medium size businesses is actually -- you.
When he put it like that -- it seems like a no brainer Friday -- -- -- should hire.
Military veterans they're doing good for the nation they're doing good for them better and it's often -- it's very difficult for them to get jobs ends.
For saving money in -- custom house.
That is exactly sure of India these veterans who go overseas and they risk life and in some cases -- To protect our freedom and get a civilian to stay here to have this discussion so we should and -- at our best effort to try to hire them.
Train them and -- one of the issues I've seen or spoken several veterans in the past and one of the problems that they have with getting -- jobs is that some of the skills that they may acquire in the military.
Is not easily translate -- -- to when you to a to a new job right so the business owners initially things look I have an immediate need.
And how to like that that needs to be granted you're good to logistics in the battlefield and how -- -- the -- owners not capable sometimes of translating that skill and in the battlefield.
To the border just kind of what the press one or the other probably think we're seeing with unemployment the unemployment rate -- veterans which is as high as ten point 8%.
I know it is very shockingly high we had businesses come on here and tell us about their programs -- options for returning veterans but honestly there's just too few of them at this point.
-- CPA -- -- not to -- if you actually crunch the numbers but going back to the big guide to Wal-Mart.
You know the the maximum tax savings that they can have from hiring a 100000 veterans in the next five years.
As a right now no because this this tax credits current tax credits only four.
This current year for those extension ST wow we're just doesn't do doesn't thirteenth -- -- -- yes it was it was extended in January -- certainly find when he signed this fiscal -- bill that extended the tax credits for the rest of this year now.
Is your chance of that they'll be extended further I think there really is because again we have a hiring a plumber for veterans we have a there's a huge push.
Socially as well as in the business world to bring veterans back into the fold of the it was a -- of daily life.
And you know more importantly all of the other the other the other big tax credit is wounded veterans.
The wounded heroes or wounded warriors are a tax credit.
Which judge can get you as much as 9600 dollars a business owner for hiring -- disabled veterans have been unemployed for six months or more.
Even on Mecca thank you so much for bringing us that story will put your website on the screen.
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