Senate Bill 136 provides tax credits to businesses who hire Alaskan veterans

ANCHORAGE-Today, the Alaska State Legislature passed Senate Bill 136, which will give Alaskan businesses income tax credits for hiring unemployed veterans. SB 136, sponsored by Senator Bill Wielechowski (D-Anchorage), provides a $2,000 credit for each veteran hired who works at least 1,560 hours within a 12-month period, or approximately 30 hours a week. The bill also includes a $3,000 tax credit for hiring a disabled veteran, and $1,000 tax credit for the seasonal hiring of a veteran if that person is employed for 500 hours or more for three consecutive months.

“No veteran who served this country should ever have to worry about finding work once he or she comes home,” said Senator Wielechowski. “It is our job to make sure veterans returning to civilian life get the support they need so they can land on their feet, make a decent living and support their families.”

Despite many employers acknowledging the advantages of hiring someone who has served in the Armed Forces, veterans continue to see higher than average unemployment rates. According to the Department of Defense, as of June 2011, one million veterans were unemployed and the jobless rate for post-9/11 veterans was 13.3%, with young male veterans (ages 18 to 24) experiencing an unemployment rate of 21.9%.

In order to qualify for a tax credit, a business must hire a veteran who has been unemployed for at least four weeks and been released from the military not more than two years before the date of employment. For a disabled veteran, the tax credit is available for not more than 10 years after release from military service.

Senate Bill 136 also includes a provision sponsored by Rep. Dan Saddler toallow the Division of Motor Vehicles (DMV) to add the word “veteran” and a United States Flag insignia to state drivers’ licenses or identification cards signifying the holder’s status as a veteran, and would allow DMV (with the permission of person) to share that information with the state’s veterans benefit office. By giving veterans a reliable and convenient proof of their status on state-issued identification cards, this bill would help them more easily enjoy the full range of personal, business and social benefits offered to them by a grateful state.

Senate Bill 136 now heads to Governor Parnell for his signature.

For more information, please call Senator Wielechowski at 242-1558 or Kendra Kloster 465-2435.