DALLAS, Feb. 28, 2018 /PRNewswire/ — Continuing the recent trend to provide federal income tax relief for certain wages paid during national disasters, businesses impacted by the California wildfires can receive a benefit similar to the tax credit in 2017 for businesses impacted by the hurricanes. Included within the recently signed H.R. 1892 – Bipartisan Budget Act of 2018 is the Employee Retention Tax Credit for Employers Affected by California Wildfires. This credit allows employers to claim a tax credit equal to 40% of the wages paid to an employee if the location of employment was in a core disaster area and that location was impacted by the wildfires. The credit is capped at $2,400 per employee. The credit applies to wages paid during the time that the business remained inoperable. The eight California counties the Federal Emergency Management Agency (FEMA) deemed disaster areas include Orange, Mendocino, Sonoma, Lake, Napa, Yuba, Butte, and Nevada.
Businesses that were or remain inoperable between October 8, 2017 and January 1, 2018 may qualify for this employee retention tax credit.
About Ryan
Ryan, an award-winning global tax services and software provider, is the largest Firm in the world dedicated exclusively to business taxes. The Firm provides an integrated suite of federal, state, local, and international tax services on a multi-jurisdictional basis, including tax recovery, consulting, advocacy, compliance, and technology services. Ryan is a five-time recipient of the International Service Excellence Award from the Customer Service Institute of America (CSIA) for its commitment to world-class client service. Empowered by the dynamic myRyan work environment, which is widely recognized as the most innovative in the tax services industry, Ryan’s multi-disciplinary team of more than 2,200 professionals and associates serves over 14,000 clients in more than 45 countries, including many of the world’s most prominent Global 5000 companies. More information about Ryan can be found at ryan.com. “Ryan” and “Firm” refer to the global organizational network, and may refer to one or more of the member firms of Ryan International, each of which is a separate legal entity.
TECHNICAL INFORMATION CONTACTS:
Allea Newbold
Principal
Ryan
813.228.7100
allea.newbold@ryan.com
Matt Lowell
Manager
Ryan
321.251.2924
matt.lowell@ryan.com
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