Apr 1 2011
Senate Majority Leader Harvey Peeler’s “Jump Start” jobs plan was reported out of the Senate Finance Committee Tuesday afternoon and will now be considered by the full Senate. The legislation will provide tax credits to South Carolina businesses that hire previously out-of-work South Carolinians from the unemployment rolls.
“Government can’t create new jobs, only private businesses can. This bill goes a long way towards giving those businesses the opportunity to hire new employees, expand and get our state’s economy going again,” Peeler said. “Last year, the Jump Start plan passed unanimously in the Senate but died in the House. I’m looking forward to getting the legislation out of the Senate quickly, and hope the House will take it up this year.”
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, Greg Ryberg, Shane Massey, Mike Rose and Nikki Setzler are cosponsoring the legislation.