Senators call to expand Covid aid plan designed to keep employees on the payroll

[DonViejo]

Source: CNBC



PUBLISHED FRI, FEB 26 20219:30 AM EST

Jacob Pramuk
@JACOBPRAMUK


KEY POINTS

* A bipartisan group of senators is calling on the chamber’s leaders to expand the employee retention tax credit as part of the $1.9 trillion coronavirus relief plan working its way through Congress.

* The credit was first included as part of the CARES Act last spring to encourage companies to keep employees on payroll.

* The House aims to approve its version of the rescue package on Friday and send it to the Senate, where lawmakers are expected to offer a range of amendments.

A bipartisan group of senators is urging Senate leaders to expand a key economic relief provision when the chamber takes up the $1.9 trillion coronavirus rescue package next week.

Nine lawmakers wrote Friday to Senate Majority Leader Chuck Schumer, D-N.Y., and Minority Leader Mitch McConnell, R-Ky., pushing them to boost the employee retention tax credit in the bill working its way through Congress. The policy, first implemented as part of the CARES Act last spring, aims to encourage companies to keep workers on payroll while the pandemic damages the economy.

As structured now, businesses can claim refundable tax credits for 70% of eligible wages and health-insurance costs for up to $10,000 per employee each quarter. Employers now qualify through June if government public-health orders fully or partially restrict their business, or if during a quarter they take in less than 80% of the revenue they saw during the same period in 2019.

The senators wrote that they want to change the tax credit policy to scrap a provision that allows companies with more than 500 employees to claim the credit only for “compensation provided to furloughed employees who are paid but not working.” They instead want companies that lost at least 85% of revenue to be able to use the credit for all employees regardless of their status.

Read more: https://www.cnbc.com/2021/02/26/covid-relief-senators-call-to-expand-employee-retention-tax-credit.html

[cstanleytech]

1. I think a better option rather than lining the pockets of corporations

with more free taxpayer money would be to pass a massive infrastructure spending bill.
It’s vital that we have a good solid infrastructure for many reasons.
First is for our defense followed by helping our country to maintain its economic power and finally a good maintained infrastructure is a safe infrastructure.

[Demsrule86]

2. We need to get this bill out now...if people lose unemployment they could literally starve...send

help now to the people... I know for a fact that a number of small businesses and others abused the last covid relief bill so no ...just pass what we have now minus the minimum wage we just don't have time.