How Tax Law Can Affect Your Business And How Professional Tax Preparer Can Help?

With the Impact of COVID on businesses, the state of Georgia passed some legislation to help you boost your business. This is how the new tax laws can affect you and your business and how can a Professional Tax Preparer can help you? Taxation Acts which are implemented recently are:

Tax Credit Return On Investment Act Of 2021

The Tax Credit Return on Investment Act of 2021 allows up to five economic analyses performed by independent auditors.

Georgia Economic Renewal Act Of 2021

The Georgia Economic Renewal Act of 2021 allows pharmaceutical and medicine manufacturers to claim an additional $1,250 per job tax credit. They are effective from July 1, 2021 for tax years beginning or after Jan 1, 2021.

The credit is claimed separately from the jobs tax credit, and can be used to offset 100% of the taxpayer’s income tax liability. If the business operates in an approved zone or county, any excess can be taken as a credit against a taxpayer’s employee withholding taxes. 

Georgia Economic Recovery Act Of 2021

The Georgia Economic Recovery Act of 2021 extends or reinstates a number of sales and use tax abatements.

Atlanta Urban Enterprise Zone Act

Atlanta Urban Enterprise Zone Act of 1988 has been amended by offering special tax abatements allowed to the City of Atlanta. Specially designated urban enterprise zones of Atlanta. Qualifying businesses and service enterprises within these zones are exempt from county and municipal  property taxes on the following schedule, as long as the enterprise upholds the agreed-upon minimum standards: 100% of the property tax for the first five years.

Such zones are determined by special council, or delegated to the city to determine, on the basis of three of the five following criteria:

  1. Pervasive poverty, as determined by United States Bureau of Census data.
  2. Unemployment is at least 10% higher than the state average as defined by the Georgia Department of Labor, or evidence of adverse economic conditions.
  3. General distress as generally defined by abandoned structures, higher crime, and population decline

For more information and updates on the new laws, contact Professional Tax Preparer at AATCA in Atlanta, GA.

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