Bill passed Senate unanimously in 2009
Senate Majority Leader Harvey Peeler filed legislation today for an economic plan that will assist businesses and help put the unemployed back into work. His “Jump Start Plan,” which passed the Senate unanimously in 2009, gives businesses tax credits for up to two years for bringing on board an unemployed South Carolina resident. The state unemployment rate was 10.6 percent as of December.
“My phone is ringing off the hook from businesses being taxed when they’re forced to lay off employees. If businesses are going to be taxed for laying off workers, it only makes sense to provide tax incentives for businesses that hire people off South Carolina’s unemployment roles.” Peeler said. “As I said when this bill passed in 2009, government can’t create economic growth. Only private business can. The best government can do is get out of the way.”
The bill gives a particular business a $100 tax credit per month per formerly unemployed S.C. resident, for a maximum of $2,400 over a period of 24 months. Eligible people would have to have been out of work for at least four weeks, be employed by the business for at least four weeks while working at least 35 hours a week and provide a notarized affidavit confirming legal residency. The tax credit cannot exceed the amount of taxes the business pays in a year, but any excess can be carried forward into the next year.
Companies in South Carolina are already hurting from higher unemployment insurance taxes. They are in need of a tax break. Sens. Kevin Bryant and Greg Ryberg are cosponsoring the legislation. The bill passed unanimously in 2009.