HI HB811

Establishes a temporary employment increase tax credit for employers who increased both the number of covered employees and total wages paid by at least 10% in calendar years 2011 or 2012 compared to the immediately preceding year.

Tax credit equals 10% of the increase in total wages paid to covered employees, with a maximum credit of $50,000 per taxable year.

Credit applies to taxable years beginning after December 31, 2010, and December 31, 2011, and may be carried forward to future years if it exceeds current year tax liability.

Employers must have been in business during calendar year 2010 to qualify and must comply with all applicable federal, state, and county statutes, rules, and regulations.

Covered employees and wages are determined using Form UC-B6 (quarterly wage and contribution reports) filed with the Department of Labor and Industrial Relations; provision allows successor employers to include predecessor's employees and wages for comparison purposes.