Coming Soon: A Tax Break for Nonprofit Employers?

Included in the massive jobs bill passed by the US House of Representatives last week is a plan to give tax breaks to nonprofit and other employers that hire unemployed workers. The measure would exempt employers from paying Social Security taxes in 2010 for employees hired this year. 

Employers would also get an additional $1,000 tax credit for each worker they kept on for a full year, but this would apply to income taxes so would not benefit nonprofit groups.  The Alliance for Children and Families has estimated the Social Security savings could help nonprofit groups create up to 18,000 jobs.

The bill was sent back to the Senate and is awaiting passage.