S.255: Disability Employment Incentive Act

Overview

The Disability Employment Incentive Act would increase three existing tax credits for employers who hire and retain employees who experience disabilities and who make their workplaces more accessible.

These tax credits are:

• Work Opportunity Tax Credit – The credit will continue to be 40 percent of the individual’s salary for the first year of employment, but raise the amount of the salary considered for credit from $6,000 to $12,500, raising the maximum available tax credit from $2,400 to $5,000. Additionally, these benefits would extend to the second year of employment. During the second year, employers can receive up to twenty percent of an individual’s salary.
• Applies to businesses that hire people referred to them through a state Vocational Rehabilitation agency; a person who is receiving Supplemental Security Income (SSI) benefits; and a person who is receiving Social Security Disability Insurance (SSDI) benefits.
• Disability Access Expenditures Tax Credit – The maximum tax credit would be raised from $5,000 to $10,000 for small businesses.
• Architectural and Transportation Barrier Tax Credit – This tax credit would increase from $15,000 to $30,000 for expenses incurred in a single year by a business for the purpose of removing physical barriers in vehicles and buildings, as well as barriers in digital communications.

H.R. 3992 is the House companion bill.

Source

View Full Overview

Talking Points

  • The National Assembly supports these tax credits that would increase incentives for employers to hire people with disabilities and, in turn, increase the communities’ financial stability, which helps everyone thrive.

Our Stance

Support

Priority

Medium

Bill Number

S.255

Date Introduced

January 29, 2019

Committee

Senate Finance Committee

Bill Status

Introduced or Prefiled