Friendly Reminder - New Tax Credits for EmployersOctober 2021 Tax News

Two new tax credits are coming soon! Both credits require taxpayers to get tentative credit reservations in specific timeframes.

Main Street Small Business Tax Credit II

The Main Street Small Business Tax Credit II will be available for the 2021 taxable year. You must get a reservation for this credit from the California Department of Tax and Fee Administration from November 1 through 30, 2021 (or sooner, if the money available for the credit is fully allocated).

For more information, visit:

• Main Street Small Business Tax Credit II
• 2021 Main Street Small Business Tax Credit II (CDTFA)

Homeless Hiring Tax Credit

The Homeless Hiring Tax Credit will be available to eligible employers, beginning with the 2022 taxable year.

This credit requires:

• Eligible employees be certified as eligible
• The employer must obtain a tentative credit reservation from FTB soon after hiring the eligible employee

For information on this credit, including how to obtain the required certification and tentative credit reservation, visit Homeless Hiring Tax Credit.