AB 832

Under this bill, a business may claim an income and franchise tax credit in an

amount equal to $5,000 multiplied by the number of the taxpayer's employees who

satisfy all of the following conditions:

1. In the taxable year prior to the taxable year for which the taxpayer claims

a credit, the employee worked at least 800 hours, but no more than 1,200 hours, at

the taxpayer's business in this state.

2. During the taxable year for which the taxpayer claims a credit, the employee

worked at least 2,000 hours at the taxpayer's business in this state.

3. During the taxable year for which the taxpayer claims a credit, the taxpayer

paid the employee a wage of not less than $10 an hour.

4. The taxpayer's business is located in a county where the average rate of total

unemployment is 6 percent or greater.

5. The taxpayer's business employs no more than ten employees during the

taxable year.

A taxpayer may claim the credit for one taxable year only. If the amount of the

credit exceeds the taxpayer's tax liability, the taxpayer may credit the unused

amount of the credit to the next five taxable years, except that the taxpayer may not

claim the unused balance for a taxable year in which the number of the taxpayer's

full-time employees is less than number of such employees employed by the taxpayer

for the taxable year for which the taxpayer originally claimed the credit.