The National Automatic Merchandising Association today praised Sens. Maggie Hassan (D-NH), Tim Scott (R-SC), Mark Warner (D-VA), Shelly Moore Capito (R-WV) and Ben Cardin (D-MD) for introduction of the Employee Retention Tax Credit Reinstatement Act.
The bipartisan bill, introduced today, is a companion to H.R. 6161 introduced in the House of Representatives less than a month after meetings between convenience services industry representatives and members of Congress during the 2021 NAMA Fly-In event.
It comes on the heels of a NAMA-led multi-industry coalition letter urging the Biden administration and Congress to restore the Employee Retention Tax Credit (ERTC). Signed by nearly 70 trade associations and charitable nonprofits representing small businesses, the letter noted that the now-prolonged recovery has stalled rehiring and cast a veil of financial uncertainty over the nation’s small businesses.
“NAMA applauds the bipartisan leadership of Sens. Hassan, Scott, Warner, Capito and Cardin in introducing legislation in the Senate to restore the Employee Retention Tax Credit,” said NAMA president and chief executive Carla Balakgie. “Bipartisan, bicameral support demonstrates the importance of ERTC to the vast number of small businesses for which it remains a lifeline. For many, their future literally rides on this funding.”
The bill would preserve tax relief funds previously set aside by Congress to offset a small portion of employee wages from the fourth quarter of 2021, estimated to be $193 million for the convenience services industry. Access to this relief was cut during infrastructure funding negotiations.
One of the few financial safety nets available to the convenience services industry, ERTC was a vital lifeline to numerous small businesses. Even with ERTC assistance, NAMA estimates that nearly one in three (28.7%) convenience services industry jobs has been lost due to the COVID-19 pandemic. Access an interactive tool at namanow.org/impact to find the economic impact of convenience services in any state or Congressional district.