When Congress passed its omnibus spending bill for fiscal year 2021, most of the business community’s attention was focused on the provisions related to the coronavirus stimulus package. However, there were several other provisions of interest in the bill, including language that dealt with several expiring tax credits.
A coalition of businesses, including ASA, sent a letter to House and Senate leaders urging them to extend the Work Opportunity Tax Credit before it expired at the end of the year. In the letter, the group stated, “Allowing tax extenders to lapse at the end of 2020 would undermine the effectiveness of these incentives, threaten thousands of jobs in the U.S. economy, and cause needless uncertainty for taxpayers at a time when many are coping with severe economic hardship.”
As part of the final spending package, language was included that extended several expiring tax credits, including the Work Opportunity Tax Credit, through Dec. 31, 2025. President Trump signed the bill into law shortly before the end of the year.