(PRWEB) March 19, 2010
Virginia Beach, VA (Vocus) March 19, 2010 -- President Obama has signed the Hiring Incentives to Restore Employment Act (HIRE Act) designed to provide $18 billion of job creation incentives for businesses and $20 billion for highway and transportation improvements. A key benefit for sole proprietors and other businesses is an extension of a provision from the American Recovery and Reinvestment Act (P.L. 111-5) that allows small businesses to deduct up to $250,000 of the cost of qualifying property in the year it is purchased, rather than waiting to recover their costs through depreciation deductions over a number of years. This would extend the provision through the tax year of 2010. Without this new legislation, the amount small businesses could expense would fall to approximately $133,000 according to the current law in effect.
“Other measures may follow to stimulate hiring, but this also boosts tax incentives for putting business property in place, said John Hewitt, CEO of Liberty Tax Service.
Some of the other key provisions are:
- The “Hire Now Tax Cut” that exempts businesses that hire workers unemployed for at least 60 days from paying the 6.2 percent Social Security payroll tax through December, 2010. There’s also an additional $1,000 credit for employers if the new workers stay on the job a full year.
- There‘s $20 billion allotted to provide infrastructure improvements to highways and funds for transit programs through the end of 2010.
About Liberty Tax Service
Liberty Tax Service is the fastest growing retail tax preparation company in the industry’s history. Founded in 1997 by CEO John T. Hewitt, a pioneer in the tax industry, Liberty Tax Service has prepared over 7,000,000 individual income tax returns. With 41 years of tax industry experience, Hewitt stands as the most experienced CEO in the tax preparation business, having also founded Jackson Hewitt Tax Service (NYSE:JTX).
Liberty Tax Service provides computerized income tax preparation, electronic filing, refund loans, and online filing through eSmart Tax. Each office offers customers audit assistance, a money back guarantee, and free tax return checking. The Liberty Tax Service franchise opportunity is #9 on the fastest growing franchises list of the 2010 Entrepreneur “Franchise 500.”