Section 38GG: Hiring of qualified veterans; excise tax credit
Section 38GG. (a) A business corporation with not more than 100 employees, that is certified by the secretary of veterans' services pursuant to section 2C of chapter 115 and qualifies for and claims the Work Opportunity Credit allowed under section 51 of the Internal Revenue Code, as amended and in effect for the taxable year, for the hiring of qualified veterans in the commonwealth shall be allowed a credit against its excise due under this chapter in an amount equal to $2,000 for each qualified veteran hired by the business corporation. For the purposes of this section, ''qualified veteran'' shall have the same meaning as under section 51(d)(3) of the Code.
(b) To be eligible for a credit under this section: (i) the primary place of employment and the primary residence of the qualified veteran shall be in the commonwealth; and (ii) not later than the day an individual begins work, a business corporation shall have obtained the applicable certification from the department of career services or any successor agency that the individual is a qualified veteran.
(c) In the case of a business corporation that is subject to a minimum excise under this chapter, the amount of the credit allowed by this section shall not reduce the excise to an amount less than such minimum excise.
(d) A business corporation that is eligible for and claims the credit allowed under this section in a taxable year with respect to a qualified veteran shall be eligible for a second credit of $2,000 in the subsequent taxable year with respect to such qualified veteran, subject to certification of continued employment during the subsequent taxable year in the manner required by the secretary. A credit allowed under this section shall not be transferable or refundable. Any amount of the credit allowed under this section that exceeds the tax due for a taxable year may be carried forward to any of the 3 subsequent taxable years.
(e) The total cumulative value of the credits authorized pursuant to this section and subsection (u) of section 6 of chapter 62 shall not exceed $1,000,000 annually.