About tax program

The New Employment Credit is a CA income tax credit for businesses located in former enterprise zones, as well as areas with high unemployment or poverty. It excludes temporary help agencies, retailers, and food services, unless those businesses have less than $2 million in gross receipts (small businesses).

The amount of the tax credit award depends on each company’s unique set of factors, focused primarily on future capital investment, employment growth and economic impact to the state of California.

Benefits you’ll love

Carrazco’s competitive strength resides in its people, methods, and tools. Our professional team is talented, credentialed and driven to succeed.

NEC can reduce an employer’s state income tax liability by as much as $87,000 per qualified employee hired

Dollar-for-dollar reduction in your state income tax liability Improved cash flow

Improved cash flow

And More

STATE INCOME TAX LIABILITY REDUCTION

Who qualifies?

Credits are generated when companies hire qualified net new employees each year. Qualified employees are those employees who:

  • Are hired after January 1, 2014
  • Receive starting wages that are at least 150% of the state’s minimum wage
  • Are salaried full time employees or hourly employees working at least 35 hours per week
  • Meet one of 5 conditions
  • Unemployed for six months or more, not having completed a degree or course of study more than 12 months prior to hire (unemployed means not receiving wages, not self-employed, and not a full-time student)
  • Veteran, separated from the armed forces within the past 12 months
  • Recipient of the federal Earned Income Credit in the previous tax year
  • Ex-offender convicted of a felony; or
  • Сurrent recipient of CalWORKS or county general assistance (public assistance)

Over 100 industry leading companies love us

As a rapidly growing Company, we were beginning to see the dramatic tax consequences of our growth and good fortune. In lieu of our growing tax liabilities we engaged Carrazco and our expectations were dramatically exceeded. Through their Innovative Tax Strategies, Carrazco secured hundreds of thousands of dollars in tax savings for our Company. Needless to say, RB Spencer is proud to have a business relationship with a Firm that delivers on their promises.”

BOB SPENCER

President - RB Spencer, Inc

Carrazco - Innovative Tax Solutions thoroughly analyzed current and future tax saving opportunities as well as prior year possibilities. By implementing Carrazco's Innovative Tax Strategies our company was able to realize over $200K in tax refunds and future offsets, increasing company cash flow and dramatically improving our bottom line.

RYAN ROGERS

Lakeview Petroleum

Although we had some understanding of the tax incentives available through the Yuba-Sutter Enterprise Zone, we had never thoroughly pursued it under the impression that our Company was too small to benefit. That changed when we met the folks at Carrazco who guided us to take full advantage of the benefits we were entitled. Carrazco's business philosophy of ”No Results, No Fee” made it so we had nothing to lose and everything to gain. The process was efficiently streamlined to make things simple...the results, on the other hand, were extraordinary!

RANDY FLETCHER

Fletcher Insurance Services, Inc.

Don’t let unclaimed tax credits pass you by.