Today, Obama to unveil new tax breaks to spur jobs growth, hike wages

[babylonsister]

Obama to unveil new tax breaks to spur jobs growth, hike wages

By Michael A. Fletcher
Washington Post Staff Writer
Thursday, January 28, 2010; 11:05 PM



In an effort to spur job creation, President Obama plans Friday to unveil a $33 billion package of tax breaks aimed at encouraging businesses to hire workers and give employees raises.

The proposal would provide a $5,000 tax credit for each worker hired in 2010 and subsidize wage increases by reimbursing Social Security tax increases for businesses that expand their payrolls.

The tax breaks would be capped at $500,000 a business, meaning that they would mostly benefit small firms, according to senior administration officials who briefed reporters on the plan. The tax break on pay increases would apply only to workers making $106,800 or less.

Obama is scheduled to announce the plan during a visit to a small business in Baltimore.

With the nation's unemployment rate at the highest level in a generation even as the economy begins to recover from a deep recession, the tax breaks are intended to "give a little extra incentive" for businesses to hire workers, said a senior administration official who spoke on condition of anonymity to brief reporters on the plan in advance of the president's announcement.

more...

http://www.washingtonpost.com/wp-dyn/content/article/2010/01/28/AR2010012803674.html?hpid=topnews

[RBInMaine]

1. Positive Start

[ccharles000]

2. k/r

[fasttense]

3. So, is this for US citizens only?

Will they get the same tax break if they hire HB-1 visa workers? Does this plan include a hire America provision?

Or will we be stimulating foreign countries' economies?

[babylonsister]

4. Here's a thought; go google it. I imagine it's for US companies only, since

the whole point is to stimulate the US economy.

[unblock]

6. h1-b visa workers are part of the american economy.

don't confuse foreigners with foreign countries. offshoring (contracting out labor to a company with workers in a foreign country) is a different matter, and is unlikely to be covered by this credit, if only because the offshoring arrangement is rarely an "employment" relationship. usually it's a contract with another company.

[Clio the Leo]

5. Ok now Congress, pass the darned thing! NT