Legislation to reward companies who are willing to locate or expand in Philadelphia by creating 1,000 new jobs that pay at least $45,000 per year with benefits.
Sponsors: Councilmember Oh
Tax Credit.
(.1) Large employers who employ low skill employees may
receive a tax credit for each of their newly-hired or newly-transferred to
the City of Philadelphia employees; of which at least five hundred (500)
are low skill employees that each receive at least forty-five thousand
dollars ($45,000) in annual compensation, in addition to benefits; that
have completed at least one year of service in their positions within the
City of Philadelphia, and are part of a group of one thousand (1,000) or
more newly-hired or newly-transferred to the City of Philadelphia low
skill employees that have completed at least one year of service in their
positions within the City of Philadelphia.
(.2) In order to receive a credit under this subsection 19-2600 (17), an
employer must file an application in the form and manner prescribed by
the Department that shows the location of employment is in the City of
Philadelphia and that the employee has been hired after the effective date
of this Ordinance and has completed one year of service in the position
within the City of Philadelphia.
(.3) The tax credit shall be in the amount of five thousand dollars ($5,000)
multiplied by the number of newly-hired full-time employees and newly
hired full-time equivalent employees who have completed at least one year
of service in the position as set-forth in subsection 19-2600 (17)(a)(.1) and
(b). This calculation shall be done at the end of each tax year, and is not
restricted to the same individuals from year to year.
(.4) The tax credit shall be taken against total business income and
receipts tax liability. Any unused credit may be carried forward for three
years.
(.5) The tax credit shall not be available to any particular large employer
for more than five (5) years.
(.6) The total amount of tax credits earned by large employers collectively
under this subsection 19-2600 (17) shall not exceed ten million dollars
($10,000,000) in any one year.