We are a manufacturing company which plans to bring back employees after extended layoffs. If we apply and then have to layoff prior to the 12 month period, what happens?
The tax credit is available to a qualified employer for a qualified position that is expected to last indefinitely and without interruption for a period of 12 months or more. The credit is not available for temporary positions or those positions that an employer expects will last for fewer than 6 months. Companies are expected to be honest with their expectations – if you do not have a reasonable belief that the position will last indefinitely, you may not claim the credit.
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