A $1,000 tax credit for hiring combat and unemployed veterans is now law. The Veterans Employment Act by Rep. Connie Rowe, R-Jasper, is retroactive to Jan. 1 of this year.
Businesses giving honorably discharged combat veterans or any unemployed honorably discharged veteran a full-time, $14-an-hour-or-more job is eligible for the $1,000 tax credit. Previously, the law required at least a $10-an-hour job. The veteran must be employed for 12 months before the hiring business can claim the credit. The $1,000 credit is only available in the first tax year after that 12-month period. In other words, the credit is given only one time for every new job.
The new law removes the requirement from the 2012 Heroes for Hire Act that the unemployed veteran must have been discharged from active duty in the past two years for their employer to claim the credit.
Rowe said the purpose is “to encourage more small businesses to hire more veterans when they can.”
The legislation was part of the Alabama House Republican Caucus’ 2018 Legislative Agenda.
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