D.C. Mun. Regs. tit. 9, r. 9-1105

Current through Register Vol. 71, No. 43, October 25, 2024

Rule 9-1105 - TAX CREDITS TO QHTCS: WAGES PAID TO QUALIFIED DISADVANTAGED EMPLOYEES

1105.1

A QHTC shall be allowed a credit against the tax imposed by D.C. Official Code § 47-1817.6 equal to fifty percent (50%) of the wages paid to a qualified disadvantaged employee, as defined in § 1199, during the first 24 calendar months of employment.

1105.2

The credit claimed under this section shall be limited to fifteen thousand dollars ($15,000) in a taxable year for each qualified disadvantaged employee.

1105.3

The credit shall not be allowed if:

(a) The employee is a key employee;

(b) The QHTC accords the qualified employee lesser benefits or rights than it accords other employees in similar jobs; or

(c) The qualified employee is employed as the result of:

(1) The displacement of another employee;

(2) A strike or lockout;

(3) A layoff in which other employees are awaiting recall; or

(4) A reduction of the regular wages, benefits, or rights of other employees in similar jobs.

1105.4

If the amount of the credit allowable under this section exceeds the tax otherwise due from a QHTC, the unused amount of the credit shall not be carried forward after the tenth year following the first year the taxpayer files a return claiming QHTC status.

D.C. Mun. Regs. tit. 9, r. 9-1105

Final Rulemaking published at 49 DCR 2142 (March 8, 2002)