Tax Credits Discussed at Business Association Meeting

Small business tax credits dominated discussion at the Perry Hall White Marsh Business Association meeting, held at the SECU Credit Union on Rossville Boulevard Tuesday evening.

Association members from Perry Hall Patch, Picture This Photography, Accent Printers, Natural Lighting, Statefarm Insurance and SECU Credit Union attended the meeting, which included a presentation from Ryan Byrd, a sales consultant with Paychex, a payroll services company.

Byrd instructed association members on state and federal tax credits available to small businesses that employ the previously unemployed.

At the state level, employers are eligible for a $5,000 tax credit for each full-time worker hired before the end of the year. Details can found through the Maryland Department of Business and Economic Development.

At the federal level, employers are eligible for a $1,000 tax credit for each full-time or part-time worker hired before the end of the year. They are also eligible for an exemption from the employer's portion of social security taxes. Details on the 2010 HIRE Act can be found on the Internal Revenue Service's website. 

Most small business owners don't even know the programs exist, said Byrd. "It wasn't something that was advertised. The IRS didn't send out anything to business owners telling them to use it."

The federal programs could possibly extend into 2011, if judged successful by members of the U.S. Congress, said Byrd, but interested business owners shouldn't wait to take advantage of these valuable programs.