FAQs for Indian Tribal Governments regarding Targeted Tax Benefits

 

General FAQs for Indian Tribal Governments regarding Targeted Tax Benefits

Insights into the types of credits available to entities that do business with and/or employ Native Americans.

FAQs for Indian Tribal Governments regarding the Indian Employment Credit

Insights into the intent of the credit; what are empowerment zones and enterprise communities; who can claim the credit and how; who are "eligible" employees and what are "qualified" wages; and how the credit affects deductions and other credits. Note: This credit was retroactively extended for 2018, 2019 and 2020. It will expire for wages paid or incurred in tax years beginning after 12/31/2020 without another extension.

FAQs for Indian Tribal Governments regarding the Work Opportunity Credit

Insights into the intent of the credit; who can claim the credit and how; who is a "targeted group employee"; what are "qualified wages"; and how the credit affects deductions and other credits. The work opportunity credit has been extended to cover employees who begin work in 2020. Don’t report wages paid to or incurred for employees who begin work after 2020 unless the credit is extended again.

FAQs for Indian Tribal Governments regarding the Empowerment Zone Employment Credit

Insights into the intent of the credit; who can claim the credit and how; what is a "qualified zone employee" and what are "qualified zone wages"; and what effect the credit has on deductions and other credits. Note: The Empowerment Zone Employment Credit was extended through the end of 2020. To extend the designations, state and local governments must amend their nominations of the designated zones in order to move the termination date to December 31, 2020.

FAQs for Indian Tribal Governments regarding Special Depreciation Rules

Insights into special depreciation rules and section 179 deduction and recapture rules; what is "qualified" property and "qualified infrastructure" property; the definitions of enterprise zone and qualified zone businesses; and the limitations.