New small business tax credits for employers

December 2, 2020

Dear Chamber member, partner, or supporter,

The Clovis Chamber’s role during this time is to provide the most up to date information to our membership from local, state and federal sources. The below information is provided by Assemblyman Jim Patterson and forwarded by the Clovis Chamber.

Small business owners who hired new employees or rehired staff that had to be laid off may qualify for a state tax credit of $1,000 per employee. The credit can be applied to the business owner’s income tax or sales and use tax liability.

This credit only applies to California small businesses that meet the qualifications below:

Employed 100 or fewer employees as of December 31, 2019.
Had an increase in employees between July 2020 - November 2020, compared to the prior quarter (April 2020 - June 2020).
Suffered a 50 percent decrease or more in income tax gross receipts between second quarter 2020 - second quarter 2019.

Interested business owners should apply immediately. Tax credits will be given on a first-come first-served basis and the program is only offering $100 million total in tax credits to business owners statewide. The application period ends on January 15, 2021.

For more information and to apply, visit the California Department of Tax and Fee Administration 's website at https://www.cdtfa.ca.gov/taxes-and-fees/SB1447-tax-credit.htm

As we receive more information we will let you know as soon as possible.

Best regards,

Greg Newman

CEO

Clovis Chamber of Commerce

greg@clovischamber.com

(559) 207-3864

clovischamber.com