North Carolina Creates COVID-19 Unemployment Tax Credit

By May 5, 2020COVID-19, SUI Tax

Governor Roy Cooper signed Senate Bill 704 into law on May 4, 2020.  This bill serves as a COVID-19 Relief Bill containing a provision allowing North Carolina employers to claim an unemployment tax credit to relieve financial burdens under the Coronavirus outbreak.

Section 1.2.(c) states that the amount of the credit equals the amount of tax due for the first quarter of 2020 and is payable for contributions due during the remainder of the 2020 calendar year.

The credit is to be applied to unemployment tax due for the second quarter, which started April 1, 2020, and ends June 30, 2020. If the amount of the credit exceeds the amount of tax due, the remainder is to be refunded to the employer.

Employers must file the first quarter 2020 report and make all contributions payments for this quarter timely to receive the credit.

 

As always, if there are any questions, please do not hesitate to contact us at covid-19@thomas-and-company.com or visit our website at https://thomas-and-company.com/covid-19/.

 

Josh Kendall

Author Josh Kendall

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