Progress Made on Unmerchantable Product Tax Credit
NAMA and the Perishable Food Coalition made significant progress this week in efforts to secure a tax credit for operators to take for the cost of products that expired during COVID-19 shutdowns.
On Friday, Sen. Catherine Cortez Masto (D-NV) introduced Hospitality and Commerce Job Recovery Act of 2021 – legislation that provides COVID relief for hospitality industries.
NAMA and the coalition worked directly with the Sen. Cortez Masto’s office to include the provision that provides a temporary credit for unmerchantable inventory between March 13, 2020 and September 30, 2020 at 90 percent of the qualified unmerchantable food and beverage costs.
The tax credit would apply to any taxpayer engaged in active trade of sale of food or beverage as a manufacturer, importer, wholesale distributor, or retailer during the covered period.
A comprehensive summary of the bill can be found HERE.