Credit for job training by successful companies

(a)

In General

Subpart D of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 (relating to business-related credits) is amended by adding at the end the following new section:

45S.

Job training by successful companies

(a)

General Rule

For purposes of section 38, the successful company job training credit determined under this section for the taxable year is an amount equal to the amount paid or incurred by the employer in providing qualified job training during the taxable year. (b)

Qualified job training

For purposes of this section— (1)

In general

The term qualified job training means job training provided to a United States employee within the 4-week period beginning on the hiring date of such employee. The preceding sentence shall apply only to those United States employees who first begin work for the taxpayer after the date of the enactment of this section. (2)

Items included

Such term includes— (A)properly allocated labor, material, and associated overhead costs for the trainers, (B)non-working paid training hours, and (C)associated overhead for the trainees. (3)

Items excluded

Such term does not include general and administrative costs. (c)

United States employee

For purposes of this section— (1)

In general

The term United States employee means an individual who is lawfully present in the United States and employed full time by the taxpayer in the United States. (2)

Valid social security account number required

Such term shall not include any individual who does not have a valid social security account number. (3)

Social security account number

The term social security account number means a social security number issued to an individual by the Social Security Administration (other than a social security number issued pursuant to clause (II) (or that portion of clause (III) that relates to clause (II)) of section 205(c)(2)(B)(i) of the Social Security Act). (d)

Other definitions

For purposes of this section— (1)

Successful company

The term successful company means any United States company or enterprise which the Secretary determines— (A)maintains a long-term United States growth plan that meets the criteria established by the Secretary under this section, (B)as of the time of the determination, is experiencing financial performance and achieving a balance sheet would have qualified such company or enterprise for a certain level of loan from primary lending sources of such company or enterprise as of June 1, 2008, on the basis of credit and underwriting criteria in effect on such date, but cannot get access to loans from such lending sources as of the date of such determination because of current tighter credit and underwriting criteria, and (C)in the most recent calendar year had an average of not fewer than 5 employees and not more than 500 employees. (2)

Hiring date

The term hiring date has the meaning given such term by section 51(d)(11). (3)

United States

The term United States includes the District of Columbia and the possessions of the United States. (e)

Special rules

(1)

Monetization of credit

At the election of the taxpayer, the credit allowed under this section shall be treated as a credit allowed under subpart C and not allowed under subsection (a). (2)

Election Not To Claim Credit

This section shall not apply to a taxpayer for any taxable year if such taxpayer elects to have this section not apply for such taxable year. (f)

Termination

Subsection (a) shall not apply to taxable years beginning after December 31, 2014.

(b)

Credit To be part of general business credit

Subsection (b) of section 38 of such Code (relating to general business credit) is amended by striking plus at the end of paragraph (35), by striking the period at the end of paragraph (36) and inserting , plus, and by adding at the end the following new paragraph:

(37)the successful company job training credit determined under section 45S(a).

(c)

Clerical amendment

The table of sections for subpart D of part IV of subchapter A of chapter 1 of such Code is amended by inserting after the item relating to section 45R the following new item:

Sec. 45S. Job training by successful companies.

(d)

Effective Date

The amendments made by this section shall apply to taxable years beginning after December 31, 2009.